Market rent
The market rent of a property is what the property could be rent for in the private market. The initial market rent of your property is in your residential rental agreement.
The market rent value is reviewed every year to make sure it's fair. If your market rent amount changes because of the review, we will write to let you know.
Every dollar from market rent paying households goes back into making public housing better. This includes upgrades, maintenance, safety checks and modifications. This is so housing is safe, suitable and meets the needs of existing and future renters.
How market rent is determined
A qualified independent valuer works out the market rent value. It is based on the private rental market in the same area.
Every five years, the Valuer General Victoria reviews and sets the market rent values. They consider the size, location, bedroom, age, property type, and comparable private market prices. In the four years between, the market rent is set through rental market indices.
Market rent review
Market rent reviews take place once a year in line with section 44 of the Residential Tenancies Act 1997.
The department conducts routine reviews of public housing rents. This is to ensure households pay a fair amount.
Changes to market rent
Sometimes, rents go up because the cost of living or the market rent has changed. We only change the market rent once a year.
The majority of public housing households receive a rental rebate. This keeps what they pay at no more than 25% of the total household income. When a household's income increases, this is captured as part of the department's rent review process. This may result in an increase to the household rent (up to 25% of household income).
Notification of changes to weekly payment amounts
The department writes a letter to renters to notify them of changes to their rent. Renters will receive at least 60 days notice of any change to their market rent.
I think my rent is too high, what can I do?
You can apply for a rental rebate anytime. We want to make sure you don't pay more than 25% of your total household income on rent.
You can talk to Consumer Affairs Victoria for advice about changes to your market rent.
You can ask Consumer Affairs Victoria to review your market rent in writing within 30 days of receiving the rent increase notice.
Contact Consumer Affairs Victoria by
- visiting the Consumer Affairs Victoria website
- calling the renting helpline on 1300 555 81 81.
Rental rebates
All public housing renters in Victoria can apply for a rental subsidy called a rental rebate. The rental rebate is the difference between 25% of the total assessable income of all household members and the market rent of the property.
If you do not apply or are not eligible for a rental rebate, you are charged market rent.
If you receive a rental rebate, you may have to also pay a service charge. This is for water, heating, laundry or other services that are made available to you.
We review your rental rebate twice a year, every six months. This is called a rent review.
This may change your weekly payment amount. If this happens, we will send you a letter to let you know what your new rent is.
Apply for rental rebate
You can apply for a rental rebate at any time in one of the following ways:
- You can apply for a rental rebate by updating your household and income details using Housing Vic Online Services, or
- Complete the Application for rental rebate (Word). Ensure that all renters complete the declaration. Submit the completed application to your local housing office.
The guide to completing the application for rental rebate (Word) has information to help you.
Weekly rental amount
Your weekly rental amount is how much rent you pay. Either market rent or a rental rebate.
Weekly payment amount
Your weekly payment amount depends on your household income.
If the market rent of the public housing property you live in is:
- More than 25% of your household income: you may be eligible for a rental rebate.
- Less than 25% of your household income: you will have to pay the market rent amount.
Your weekly payment amount includes all charges on your account including:
- your weekly rental amount (mark rent or rental rebate),
- any service charges, such as energy and water, and
- any repayment agreements for rent or maintenance owing.
Why am I asked for information about my household and income?
We need to know about your household and income to make sure your rent is calculated fairly and correctly based on your current circumstances.
What household income includes
Your total household income includes the combined incomes of all household members 18 years of age or over. When working out your rent, we take most of your income into account. Some income, such as payments made for specific purposes, is not taken into account.
If you are self-employed or receiving wages, we will ask for 13 weeks of income information. This could be bank statements with payslips or profit-and-loss statements.
All the household incomes are averaged over 13 weeks. We do this to ensure all incomes are combined. Then we can see if there is a total increase or decrease in household income.
How to update income and household details
You can update your information using Housing Vic Online Services. This is a safe and easy way for renters to manage housing information and services. You can access the online services through your myGov account.
You can also contact your local housing office.
What happens after submitting for a rental rebate
We assess your eligibility for a rental rebate based on the household income and assets information you provided.
You will have provided information either by:
- updating your household and income details using Housing Vic Online Services, or
- submitting a completed Application for rental rebate (Word) to your local housing office.
The department will write to you within 14 days if we need more information to assess your eligibility for a rental rebate.
We will write to you within 28 days from the date we receive your completed application to tell you what your new weekly payment amount will be and when it will start.
The guide to completing the application for rental rebate (Word) has information about:
- when new weekly payments will start,
- certain circumstances when your rental rebate may be cancelled.
Rent Review
Every six months households that receive a rental rebate have their eligibility reassessed. This rent review looks at the reported household income and information.
As a result of the review, households will receive a letter with the payment amount for the next six months. The payment amount may be the same or may change.
All public housing renters receive a letter from the department as part of the rent review. This is to inform renters about any changes.
What can I do if I'm not happy with changes to what I pay?
Housing staff are here to help you. They can help you understand how to use online services. You can talk with them about changes to your household. Contact your local housing office.
If you are still not happy, there is a process you can follow. Visit Feedback, complaints and appeals for more information.