New data shows renters experiencing higher living costs
Media release: Persistent pressure on Victorian households backs call to lock in renter’s rights
1 October 2026
Victorians are being squeezed even further by the rental crisis, with rents climbing 4.9 per cent over the past year, with Tenants Victoria urging politicians to lock in renter’s rights in the upcoming state election.
The most recent Cotality data shows the national vacancy rate remains trapped at an extremely low 2 per cent, which is far below the average of 3.3 per cent in the decade prior to 2020.
Landlords are enjoying gross rental yields of 3.7 per cent across capital cities even as dwelling values fall, which is the highest since 2019, with Melbourne landlords reaching 4.1 per cent.
The state’s peak advocacy body for renters, Tenants Victoria, has warned that the data paints a grim picture of how renters in Victoria are absorbing higher living costs without gaining greater housing security or stability.
‘A tough rental market makes the rights renters do have even more important. When vacancy rates are this low, longer notice periods when you have to find a new home really matter,’ CEO of Tenants Victoria Jennifer Beveridge said.
‘The rental squeeze is not letting up. Renters make up nearly one-third of all households in Victoria and they are spending massive amounts of their income every week to stay housed.
‘Even though property prices are dropping, we continue to see rents climb which reduces people’s options. In this environment, rental protections really matter.
‘With a tight 2% vacancy rate, renters need to know that the security of tenure they rely on is safe.
‘Victoria has some of the strongest legislated protections for renters in the country and going into this state election we are calling on all political parties to lock in renters’ rights and show that they know a rental is your home.
‘Parties must commit to existing protections such as minimum property standards and bans on no-fault evictions into the future. Housing is an essential service and it is time to ensure that every Victorian renter can live in a safe and secure home.’
Media inquiries: matt@hortonadvisory.com.au