Victoria Proposes New Rental Standards for 2025

Victoria’s state government is set to introduce significant changes to rental property standards, aiming to improve the quality, safety, and sustainability of rental homes. These proposals, which were open for public consultation until July 1, 2024, are expected to be finalized by October 2024, with compliance commencing from October 30, 2025.

What Are the Proposed Changes?

Building upon the existing 14 Minimum Standards, the new regulations will focus on enhanced energy efficiency and renter safety.

Here are the key changes rental providers need to prepare for:

• Ceiling Insulation: Properties without existing ceiling insulation must meet minimum insulation requirements.
• Draught Sealing: External doors must have weather seals to reduce energy loss.
• Energy-Efficient Appliances: Outdated hot water and heating systems must be replaced with energy-efficient electric alternatives at the end of their lifespan.
• Cooling Standards: Rental properties must feature a cooling system with a minimum 3-star energy rating in the main living area.
• Water Efficiency: Showerheads must meet a 4-star water efficiency rating.
• Blind Cord Anchors: Safety anchors must be installed for all blind cords to reduce hazards.

Why Are These Changes Being Proposed?

The proposed rental laws aim to improve the comfort, safety, and energy efficiency of rental properties. By reducing draughts, improving insulation, and replacing old appliances, renters can expect lower energy bills and a higher standard of living.

Concerns About Housing Supply and Affordability

While these updates aim to benefit renters, some experts have raised concerns about potential unintended consequences. The added costs of compliance might discourage rental providers, possibly reducing the availability of rental properties in an already tight housing market. This could further impact affordability for tenants.

When Will the New Standards Take Effect?

The new rental standards will be introduced in phases, with the compliance deadline set for October 30, 2025. This phased approach allows rental providers time to update their properties to meet the new regulations.

Preparing for the Changes

Rental providers are encouraged to begin reviewing their properties’ compliance with the proposed standards. By planning ahead, providers can avoid last-minute costs and ensure their properties remain competitive in the rental market.

For renters, these changes promise greater comfort and peace of mind, with safer, more energy-efficient homes becoming the standard across Victoria.

Stay Informed
As these regulations are finalized, staying informed will be crucial for renters and rental providers alike. Subscribe to our blog for the latest updates and expert advice on navigating these changes.