Tenants Victoria is urging Victorian renters who receive a rent increase above the Consumer Price Index (CPI) to challenge it, as new laws come into force today making CPI an additional mandatory consideration in assessing excessive hikes.
With Melbourne CPI currently sitting at 3.3%, the peak body for renters is encouraging renters receiving increases above that figure to seek a free assessment through Consumer Affairs Victoria (CAV) if the increase feels excessive. CPI is now included as one of the factors that CAV and VCAT will now take into consideration, and Tenants Victoria is keen to measure its impact on challenging rent increases.
Tenants Victoria CEO Jennifer Beveridge urged renters to seek an assessment and share the result with Tenants Victoria.
"If your landlord is proposing an increase above inflation, challenge it by asking Consumer Affairs Victoria for a free assessment." she said.
"We're eager to see how the new CPI measure is applied, and how this can put downward pressure on rent increases that have been very high in recent years"
"This is an important fairness measure, and gives renters a much-needed new way to push back against the relentless increases that have smashed household budgets".
"Renters standing up for their rights and asking for rent increase assessments is how we can ensure that the new laws are working."
Renters who do seek a rent assessment for an above-CPI rent increase are encouraged to report the outcome to Tenants Victoria.
Renters who receive a notice of rent increase have 30 days to apply for a free assessment from Consumer Affairs Victoria.
An inspector will consider CPI alongside other factors including state of repair and general condition of the property, the difference between current and proposed rent, and the rent for comparable properties in the area.
The assessment can then be used in negotiations with the rental provider. If agreement cannot be reached, renters can apply to Rental Dispute Resolution Victoria (RDRV), a free service that helps resolve disputes without a formal hearing. Unresolved matters can be referred to VCAT.
Ms Beveridge said the strength of these new protections will be determined by how many renters are willing to use them.
"Every day Tenants Victoria hears of unfair rent increases, and stories of what that does to people's ability to live with dignity. By challenging excessive rent hikes we can use the laws as they are intended and make the experience of renting fairer," she said.
