Queensland Rent Increase Limits: What Property Investors Must Know

Being updated with the latest rental property management rules, especially legislation changes, is essential for property investors in Queensland. One significant update is the limit on rent increases, which came into effect on 6 June 2023. For property investors and landlords, understanding these changes is crucial to maximising returns and maintaining compliance. 

At Cairns Property Collective, we are here to guide you through these new rules and ensure your property investments are well-managed.

New Legislation: Limits on Rent Increases

The recent legislation mandates that rent for a property can only be increased once every 12 months. This rule applies to the property itself, not the tenancy. Therefore, even if a tenant vacates and a new one moves in within a six-month period, the rent cannot be increased until a full 12 months have passed since the last increase. This regulation is unique to Queensland and aims to create a fair and balanced rental market for both tenants and landlords.

As stipulated by the Queensland Government, “From 1 July 2023, rent was unable to be increased unless it has been at least 12 months since the current amount of rent became payable by the tenant. More frequent rent increases written into tenancy agreements prior to 1 July 2023 no longer apply.” This means property owners need to be strategic about their rental pricing to ensure they are maximising their investment returns over the long term.

Impact on Fixed-Term Leases

Another critical aspect of the legislation is its impact on fixed-term leases. Under the new rules, landlords cannot agree to a six-month lease with plans to increase the rent at its conclusion. Instead, rent must remain consistent for at least 12 months, drawing rent increases into fixed-term leases. This change requires landlords and property managers to be meticulous when setting initial rental prices to ensure they reflect market conditions and forecasted property values accurately.

Importance of Professional Property Management

With these changes, the role of an experienced property manager becomes even more pivotal. At Cairns Property Collective, we understand the intricacies of the Queensland rental market and the importance of setting the right rental price from the outset. Our expertise ensures that property investors can achieve the highest possible rent when going to market, knowing that they are bound by the 12-month rent increase restriction.

In this regulatory environment, having a property manager who is confident and knowledgeable is crucial. You need someone who can set a competitive rental price that reflects the property's true value and market conditions.

Maximising Returns with Expert Advice

Our team at Cairns Property Collective combines decades of experience with a fresh perspective on property management. We are committed to helping property investors navigate these legislative changes and optimise their returns. Here’s how we can assist you:

1. Market analysis and pricing strategy: We conduct thorough market analyses to determine the optimal rental price for your property, ensuring it aligns with current market trends and conditions.
2. Comprehensive property management: From tenant screening and lease management to maintenance and compliance, our full-service approach ensures your property is well-maintained and your tenants are satisfied.
3. Legal compliance: We keep ourselves updated with the latest legal developments, ensuring that your property complies with all regulations, including the new rent increase limits.

Why Choose Cairns Property Collective?

Choosing Cairns Property Collective means partnering with a team that combines professional expertise with a personal touch. Our roots in Cairns run deep, offering unparalleled insights into the local market. We pride ourselves on delivering exceptional service, tailored to meet the unique needs of each client.

Our founder, Ben Lee Long, has served three terms on the Property Management chapter with the Real Estate Institute of Queensland (REIQ), contributing to the current best practice guidelines. His extensive experience and commitment to client care set the standard for our team.

The new legislation limiting rent increases in Queensland represents a significant change for property investors. Being compliant with the rules while maximising rental returns requires a strategic approach and expert management. At Cairns Property Collective, we are dedicated to helping you navigate these changes with confidence and achieve your property goals.



For more information or assistance, visit our contact page. Let us help you make the most of your investment in the evolving Queensland rental market.