SAVINGS.COM.AU ARTICLE: Rent Increase Laws

 

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Words by Bernadette Lunas – 7 September 2026

Rent increase laws: How landlords can set a fair and defensible rent

PROPOHOLIC owner Nat Gordon has contributed to Savings.com.au’s guide to rental increase laws across Australia, explaining how landlords can use current market evidence to determine whether a rent increase is reasonable.

The article looks at the different rules governing rental increases across each state and territory, including how frequently rents can be increased, notice periods and the rights of tenants to challenge increases they consider excessive.

Using comparable properties to assess rent

One of the strongest ways to support a rental increase is through evidence of what genuinely comparable properties are achieving in the current market.

Nat told Savings.com.au:

“Landlords should start by looking at comparable properties currently available for lease in their suburb, as well as very recent leasing evidence where available. Rental markets can move quite quickly, so the more current the evidence, the more useful it is.

The important part of conducting a comparative market analysis (CMA) is to compare like with like. I recommend ranking comparable properties as ‘inferior’, ‘similar’, ‘superior’ to the subject property, taking into account factors such as location, size, condition, parking, outdoor space and other features.”

Should landlords increase rent every year?

While most Australian jurisdictions currently limit rent increases to once every 12 months, being entitled to increase the rent does not necessarily mean a landlord should automatically do so.

Savings.com.au reported that Nat recommends reviewing rent annually and making smaller, incremental increases when justified rather than allowing the rent to fall substantially behind the market and imposing a much larger increase later.

“This can help avoid rental shock and can make increases easier for tenants to budget for.”

The quality of the existing tenancy should also form part of the decision.

“A reliable tenant who looks after the property and pays consistently has real value, and that should form part of the landlord’s decision.”

What is a reasonable rent increase?

Most Australian states and territories do not impose a fixed dollar or percentage cap on rental increases, although the rules vary between jurisdictions.

Nat’s advice is straightforward:

“Landlords shouldn’t simply pick a number.

A reasonable increase should be supported by evidence and comply with the legislation applying in that state or territory.”

Keeping evidence to support a rent increase

If a tenant challenges an increase, evidence showing how the new rental figure was determined can become particularly important.

For increases based on comparative market analysis, Nat recommends retaining copies or screenshots of the listings used, including the date, because:

“as online listings can disappear once a property is leased”.

She also recommends preparing a simple comparison table ranking each property as inferior, similar or superior to the subject property.

“This helps demonstrate that the proposed increase was justifiable and that the landlord or property manager genuinely considered how the property compares with others in the current market.”

The full article, Rent Increase Laws by State: What Landlords Need to Know in 2026, was published by Savings.com.au and examines rental increase requirements across every Australian state and territory.