What are the rules for rent increases for rooms in Melbourne in 2026?

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The rules for rent increases in Victoria changed significantly in 2026. Here is exactly what landlords can and cannot do.

Key rules for rent increases in Melbourne in 2026:

Notice period: Landlords must give a minimum of 90 days' written notice before any rent increase — this was extended from 60 days as part of the 2026 Victorian rental reforms.

Frequency: A landlord can only increase rent once every 12 months for periodic (month-to-month) tenancies. For fixed-term leases, rent can only be increased during the fixed term if the lease explicitly allows for it.

Amount: Victoria does not currently have a fixed cap on the percentage increase for private rentals (unlike social housing). However, the Rent Controls Bill introduced on 1 April 2026 is being debated in Parliament — if passed, it would introduce a percentage cap. Check vic.gov.au for the latest status.

What the notice must include:

The new rent amount
The date from which the new rent applies
The date of the notice

Disputing a rent increase: If you believe a rent increase is excessive:

Apply to VCAT for a rental increase review within 30 days of receiving the notice
VCAT will assess whether the increase is excessive compared to market rent for similar properties

Tips for tenants:

Calendar the 12-month anniversary of your last rent increase — your landlord cannot increase before this date
If you receive a notice with less than 90 days, the increase is not legally enforceable until 90 days have passed from the date of a valid notice
Keep all written rent increase notices — these are evidence if a dispute arises