rent increase valuers ?

[Patosan]

G'day all,

In discussing potential rent increases and leases for next year my agent told me of system in place to prevent unfair increases. I never knew that their was someone who would come out, inspect the property and compare it to others in the area. Apparently www.consumer.vic.gov.au is called for the valuation. If they deem the rise to be high it would have to be reduced or sorted out at VCAT.

Out of curiousity has anyone had experience with rent increase valuers ?

 

[dave99]

A friend of my sisters just had his rent increased 10% - the agent told him "That's the maximum increase". So agents are aware of it I think.

The rent increase has to be excessive, considering market value. If you are at market, I don't think it would be a problem.

- Dave99

 

[Patosan]

Well I find it curious that in all the threads on raising rents I've ever read here I don't recall hearing about such a system to keep landlords in check. I doubt that I'll have to worry about it ... just wondering how much others know about it ... it theory and practice.

 

[Bandita]

As a tenant myself in Melbourne, we're given the "Residential Tenancies Act" and the "Consumer Affairs Victoria booklet" (must admit, haven't pulled it out till now - but probably would if landlord increased rent suddenly) - anyways, it says:

"If the tenancy agreeement is a fixed-term agreement, the landlord or agent cannot increase the rent before the end date, unless the agreeement states is otherwise.

In any case, a landlord or agent must not increase the rent payable under a tenancy agreement more than once in any six-month period.

The landlord or agent must give the tenant at least 60 days notice of any rent increasing using the 'Notice of Rent Increase to Tenant/s of Rented Premises' form.

When a tenant thinks the rent is too high :

In certain circumstances, tenants can write to to the Deparment of Consumer Affairs Victoria for a rental assessment if they think the rent or proposed rent is too high.

This can only happen when:

- the landlord or agent has given a 'Notice of rent increase to tenant/s of rented premises' that the tenant thinks is excessive (after considering market rent) or
- the landlord or agent has reduced or withdrawn services, facilities or other items that are part of the existing tenancy agreement

A requesr for a rental assessment must be made in writing within 30 days of receiving the 'Notice of Rent Increase to Tenants/s of Rented Premises".

The tenants has 40 days from receiving the rent assessment report in which to apply to VCAT for a hearing. VCAT may set a maximum rent, which then stays in force for 12 months."

There may be differences in your state - I created a post on this info before:

http://www.somersoft.com/forums/showthread.php?p=255330&highlight=vic#post255330

Cheers,
Jen



Cheers,
Jen