In this current rental market, we are experiencing a very high demand for rental properties.
This has forced the prices of homes to increase significantly in our local area, as a result many investors are taking the opportunity to increase the weekly rent.
Can rent be increased during a fixed term tenancy?
A tenants rent can be increased during a fixed term tenancy, so long as it is stated in the tenancy agreement.
The Form 18a General Tenancy Agreement must state the amount the rent will be increased, the new rental amount (or how it will be worked out. & when it will be increased.)
The agent/owner of the property, will need to notify the tenants in writing 2 months prior, and it must be at least 6 months since the tenancy started or since the last rent increase.
Can rent be increased during a periodic agreement?
The rent during a periodic tenancy can be increased, the property manager/owner of the property must notify the tenants in writing at least 2 months’ prior to the increase.
It must also be at least 6 months after the last rent increase, or since the tenancy started.
Can the rent be increased for new agreements?
There is no requirement to serve a notice about the increase for new tenancy agreements. The property manager/owner and tenant can agree to a rent increase at the end of a fixed term agreement by entering into a new agreement. However, it must be at least 6 months since the last rent increase
If a new agreement is not signed, the agreement becomes periodic with the same terms and conditions as fixed term. The property manager/owner must then issue a notice for any rent increase.
Thinking of switching property managers? Please feel free to contact Stacy Matthews Realty
0473 383 354 or via email – admin@stacymatthewsrealty.com.au.