Minimum Rental Standards in Victoria – What to Do Before You Buy

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Minimum Rental Standards in Victoria – What to Do Before You Buy

Don’t buy a rental property in Victoria without checking this first

Excerpt:
If you’re buying a property to rent out, don’t assume it meets the current or upcoming minimum standards. You could be stuck with a house you can’t lease—and a renovation bill you didn’t expect. Talk to us before you buy.

Buying an investment property in Victoria sounds straightforward. But from March 2021, and with more changes coming in October 2025, there are strict minimum rental standards that all leased properties must meet.

These standards cover:

  • Heating

  • Insulation

  • Draught sealing

  • Electrical safety

  • Ventilation

  • Secure locks

  • Hot and cold water

  • And more

If the property doesn’t comply—and you buy it thinking you can rent it out—you’re in for a shock.

As we explained in our earlier article “Renting Out Property in Victoria – Understanding Minimum Standards and the 2025 Changes”, you now have to meet these standards before listing the property for rent, not just before tenants move in.

The problem? You often won’t know until it’s too late

The property might look fine. But:

  • The insulation may not meet the R5 standard

  • The heating might be non-compliant

  • The switchboard may lack the required safety switches

  • Or, the upgrades may be impossible due to age or design

If you don’t find this out until after you’ve bought it, you could be stuck with a property that’s unlettable—or one that costs tens of thousands to bring up to standard.

How we help

At Victorian Property Settlements, we draft special conditions for the contract before you sign. These can:

  • Make your offer subject to professional inspections

  • Allow you to walk away or renegotiate if minimum standards can’t be met

  • Require estimates of upgrade costs so you can make an informed decision

  • Ensure you’re not forced to settle on a dud

You wouldn’t buy a car without knowing it can be registered. So don’t buy a house without knowing it can be leased.

Speak to us before you buy

Too many purchasers come to us after the contract is already unconditional. At that point, your hands are tied.

If you're planning to rent out the property—even if not right away—get in touch with us before you commit.

We’ll review the contract, add the right clauses, and protect your interests from day one.

Victorian Property Settlements – Trusted for over 25 years by Victorian buyers and sellers.
Visit: www.victorianpropertysettlements.com.au