RentingOnRecord

All topics

What changes when my fixed term ends?

44 quoted answers, each with its source

The short answer

From 25 November 2025, a Victorian fixed-term agreement automatically becomes a periodic lease when it ends unless a new fixed-term agreement is signed or the rental provider gives a valid notice to vacate; certain notices to vacate have a minimum notice period of 90 days, and a rental provider cannot issue a notice to vacate at the end of a fixed term without a valid reason. During a fixed term, rent cannot be increased unless the agreement allows it and states how the increase will be calculated; for rooming house and caravan park agreements starting after 29 March 2021, rent cannot be increased more than once every 12 months. A renter who breaks a fixed-term agreement does not pay a penalty but may have to cover certain costs, the rental provider must try to re-let quickly, the renter does not pay rent after re-letting, a re-letting fee is limited to the same proportion of time left on the agreement, and a renter past the end of the first fixed-term lease cannot be charged advertising or re-letting fees to find a new renter. One point is unresolved: Landlord Wise says the one-month-per-year cap on lost rent applies to all standard-form agreements, while Consumer Affairs Victoria states it applies to fixed-term agreements longer than 5 years.

Every part of this comes from the quotes below. How we write these.

What the rules actually say25

Quoted straight from Consumer Affairs Victoria, the Residential Tenancies Act or a tribunal.

#

Consumer Affairs Victoria states that rental agreements which have an end date are fixed-term agreements.

first-party
1 quote from 1 source
Rental agreements that have an end date are fixed-term agreements. Most go for 5 years or less.
#

Consumer Affairs Victoria states a periodic agreement starts automatically when a fixed-term agreement ends unless a new fixed-term agreement is agreed and signed.

first-party
1 quote from 1 source
People usually start a periodic agreement when a fixed-term agreement ends – this happens automatically unless a new fixed-term agreement is agreed and signed.
#

Consumer Affairs Victoria states a rental provider cannot increase the rent during a fixed term agreement unless the rental agreement says this is okay.

first-party
1 quote from 1 source
A rental provider can’t increase the rent during a fixed term agreement unless the rental agreement (lease) says this is okay.
#

Consumer Affairs Victoria states that where a rental agreement allows an increase during the fixed term, the agreement must state how the increase will be calculated.

first-party
1 quote from 1 source
If the rental agreement allows for an increase during the fixed term, the agreement must state how the increase will be calculated.
#

Consumer Affairs Victoria states rental providers cannot issue a renter with a notice to vacate at the end of a fixed term agreement without a valid reason.

first-party
1 quote from 1 source
Rental providers (landlords) cannot issue a renter with a notice to vacate at the end of a fixed term agreement without a valid reason.
#

Consumer Affairs Victoria states that renters do…

  • not have to pay a penalty for breaking a rental agreement.
  • have to cover certain costs when breaking a rental agreement.
first-party
1 quote from 1 source
Renters do not have to pay a penalty for breaking the agreement, but they do have to cover certain costs so the rental provider doesn’t lose money when the agreement is broken.
#

Consumer Affairs Victoria states that for fixed-term agreements longer than 5 years VCAT cannot order compensation of more than one month's rent for every 12 months remaining on the agreement.

first-party
1 quote from 1 source
For fixed-term agreements that are longer than 5 years, VCAT cannot order the compensation of more than one month’s rent for every 12 months remaining on the agreement.
#

Consumer Affairs Victoria states that where a rental provider applies to VCAT for compensation because a renter left early, VCAT must consider whether the renter would have experienced severe hardship if the agreement had continued.

first-party
1 quote from 1 source
If a rental provider has applied to VCAT for compensation because a renter has left early, VCAT must consider whether the renter would have experienced severe hardship if the agreement had continued.
#

A fixed-term agreement in Victoria is stated by Tenants Victoria to automatically turn into a periodic month-by-month lease once the fixed term ends.

1 quote from 1 source
In Victoria, when a fixed-term lease is about to expire it will automatically turn into a periodic (month-by-month) lease once the fixed term ends.
#

Tenants Victoria states that a renter already past the end of their first fixed-term lease at a property cannot be charged…

  • advertising costs to find a new renter.
  • a re-letting fee to find a new renter.
1 quote from 1 source
Costs that the landlord is not allowed to claim, such as advertising fees to find a new renter (as opposed to the fees to find you), or any advertising and re-letting fees if you are past the end of your first fixed-term lease at this property
#

Tenants Victoria states that lease-break costs are…

  • meant to compensate the landlord for expenses paid in renting the property to the departing renter.
  • not meant to compensate the costs of finding a new renter.
1 quote from 1 source
Lease-break costs are meant to compensate the landlord for expenses they paid in renting the property to you, not the costs to find or advertise to a new renter or to prepare a new lease.
#

Tenants Victoria states a re-letting fee charged to a departing renter must be based on the fee the agent charged the landlord for preparing that renter's lease, not the new renter's lease.

1 quote from 1 source
This must be based on the fee that the agent charged the landlord for preparing your lease, not for preparing the lease of the new renter.
#

Tenants Victoria states that in its second-fixed-term example the landlord…

  • did not have to pay advertising or letting costs for the second lease.
  • cannot ask the renter to pay advertising or letting costs for the second lease.
1 quote from 1 source
Because the landlord did not spend any money for advertising or letting fees for your second lease, they cannot ask you to pay any of those costs.
#

Tenants Victoria states that if a lease is for a fixed term the rent cannot be increased at all during that term unless the lease includes a rent increase clause.

1 quote from 1 source
If your lease is for a fixed term, the rent cannot be increased at all during that term, unless the lease includes a rent increase clause, which says how or by how much the rent will be increased.

Practical effect2

What is observed to happen in practice, as distinct from what is documented.

#

Tenants Victoria states VCAT may find a landlord did not take reasonable steps to re-let where the landlord put up the rent or unreasonably refused a new renter the departing renter found.

medium confidence
1 quote from 1 source
If the landlord or agent does anything to make it harder to find a new renter, such as putting up the rent, or they do not make an effort to find a new renter, or they unreasonably refuse a new renter that you have found, VCAT may find they did not take reasonable steps and you should not pay those compensation costs.
#

Tenants Victoria states most fixed-term leases are for an initial fixed period of 12 months.

medium confidence
1 quote from 1 source
Most commonly, fixed-term leases are for an initial fixed period of 12 months.

Changed on6

A dated change. This is where advice quietly stops being true.

#

From 25 November 2025, a Victorian fixed-term agreement…

  • automatically becomes a periodic lease when it ends.
  • does not automatically become a periodic lease when it ends if the parties agree a new fixed-term agreement.
  • does not automatically become a periodic lease when it ends if the rental provider issues a notice to vacate for a valid reason.
first-partyvendor
2 quotes from 2 sources
When a fixed-term agreement ends, it will automatically become a periodic (month-by-month) lease unless a rental provider and renter agree to enter into a new fixed-term agreement or the rental provider issues a notice to vacate for a valid reason.
This has always been a tightly regulated area, but the rules changed significantly on 25 November 2025. Victoria banned no-fault evictions entirely, extended most notice periods from 60 to 90 days, and removed the ability to issue a notice to vacate simply because a fixed-term agreement is ending.
#

A fixed term agreement has a minimum notice period of 90 days for certain notices to vacate in Victoria from 25 November 2025.

first-partyvendor
3 quotes from 3 sources
90 days (previously 60 days)
notice periods for rent increases and certain notices to vacate have lengthened from 60 days to 90 days. This applies to all rental properties, rooming houses, caravan parks and residential parks
This has always been a tightly regulated area, but the rules changed significantly on 25 November 2025. Victoria banned no-fault evictions entirely, extended most notice periods from 60 to 90 days, and removed the ability to issue a notice to vacate simply because a fixed-term agreement is ending.
#

The rent cannot be increased more than once every 12 months for…

  • rooming house agreements starting after 29 March 2021.
  • caravan park agreements starting after 29 March 2021.
first-party
1 quote from 1 source
for rental agreements for rooming houses and residential or caravan parks starting after 29 March 2021, the rent can’t be increased more than once every 12 months

Disputed between sources4

Sources that do not agree, presented without picking a winner.

#
  • Landlord Wise states that the one-month-per-year cap on lost rent claims applies to all standard-form agreements.
  • Consumer Affairs Victoria states that the one-month-per-year cap on lost rent claims applies to fixed-term agreements that are longer than 5 years.
first-partyvendor
2 quotes from 2 sources
This cap applies to all standard-form agreements — not just long-term ones.
For fixed-term agreements that are longer than 5 years, VCAT cannot order the compensation of more than one month’s rent for every 12 months remaining on the agreement.
#
  • The Real Estate Institute of Victoria describes the removal of no-fault evictions as a likely deterrent to rental providers.
  • Consumer Affairs Victoria states rental providers cannot issue a notice to vacate without a valid reason even at the end of a fixed-term agreement.
medium confidencefirst-partyvendor
2 quotes from 2 sources
Of the measures in the Consumer and Planning Legislation Amendment (Housing Statement Reform Bill) introduced into the Victorian Parliament today, the REIV warns some are likely to create further deterrents to rental providers in an already challenging market. These include an expansion of factors that can be considered by Consumer Affairs Victoria and VCAT in rent reviews, removal of no-fault evictions, and increases in notice to vacate terms to 90 days.
Rental providers cannot issue a renter with a notice to vacate without a valid reason, even at the end of a fixed-term agreement.

Often said, but we could not find it in the rules7

Lots of people say this. We went looking for an official source that backs it up and could not find one, so treat it as something people repeat rather than something settled.

#

Collings Real Estate states that for fixed-term agreements under 5 years rent increases are allowed only if the amount or method of calculation is specified in the lease.

medium confidencevendor
1 quote from 1 source
Fixed-term agreements under 5 years: increases only if the amount or method of calculation is specified in the lease
#

The standard form rental agreement at clause 16.1 limits a claim for rent foregone to no more than one month's rent for each year remaining on the agreement.

medium confidencevendor
1 quote from 1 source
The standard form rental agreement (clause 16.1) limits the amount of rent foregone you can claim to no more than one month’s rent for each year remaining on the agreement.
#

Landlord Wise states the one-month-per-year compensation cap applies to all standard-form agreements, not just long-term ones.

medium confidencevendor
1 quote from 1 source
This cap applies to all standard-form agreements — not just long-term ones.
#

Landlord Wise states a self-managing rental provider who does not use an agent has no re-letting fee to recover.

medium confidencevendor
1 quote from 1 source
If you self-manage your property and do not use an agent, there is no re-letting fee to recover.
#

Landlord Wise states that a rental provider cannot charge the renter a penalty for breaking the lease.

medium confidencevendor
1 quote from 1 source
You cannot charge the renter a penalty for breaking the lease.
#

Landlord Wise states that a fixed early-termination fee is unenforceable where the agreement gives no explanation of how the figure was calculated.

medium confidencevendor
1 quote from 1 source
If the agreement says “the renter will pay $2,000 for breaking the lease” with no explanation of how that figure was calculated, the clause is unenforceable.
#

Landlord Wise states a no-fault notice to vacate is of no effect if it specifies a termination date earlier than the end of the fixed term.

medium confidencevendor
1 quote from 1 source
For no-fault reasons (sale, renovation, demolition, business use, family member, public purposes), a notice is of no effect if it specifies a termination date earlier than the end of the fixed term.