Victoria’s New Rental Advertising Rules: What section 65B Means for Landlords and Developers

Victoria’s New Rental Advertising Rules: What section 65B Means for Landlords and Developers

Recent amendments to the Residential Tenancies Act 1997 (Vic) introduce a new rule that will significantly impact how rental properties, particularly off the plan and build to rent assets are marketed. From November 2025, rental providers must not advertise or offer to let a property unless it already complies with Victoria’s rental minimum standards. These standards cover essential safety and amenity requirements, including secure doors and windows, functional heating, adequate ventilation, kitchen and bathroom facilities, and overall structural soundness. They were introduced to ensure renters are not placed in unsafe or undignified housing but applying compliance at the point of advertising rather than occupation has created challenges for the property sector.

The new section 65B makes it an offence to advertise a dwelling whether online, in print or otherwise, if it does not already meet the minimum standards. Advertising is not defined, so it captures its ordinary broad meaning. While this is straightforward for existing dwellings, it presents a practical problem for properties still under construction. Many build to rent, affordable housing and large multi-unit developments rely on preleasing as a key component of commercial feasibility. Preleasing provides certainty to financiers, enables early tenant engagement and is critical for developers and community housing providers planning staged delivery. Under s 65B, these projects risk non-compliance simply because a listing goes live before the dwelling physically exists in its completed form.

This creates tension with broader state and federal housing policy. Governments nationally are seeking to accelerate delivery of new rental supply, including thousands of social, affordable and build to rent dwellings. These projects depend on early marketing to demonstrate demand and viability. A strict interpretation of s 65B forces providers to delay advertising until very late in the construction program, reducing market visibility and potentially slowing the delivery of urgently needed housing.

There is another, more balanced regulatory approach available. Rather than prohibiting advertising until minimum standards are met, the law could treat the standards as a clear and enforceable obligation that applies when the renter takes possession of the property. The Act already uses this model for smoke alarms, providers must ensure alarms are installed, working and maintained at the commencement and throughout the tenancy. Applying the same logic to minimum standards would ensure renters receive safe, compliant homes while still allowing developers and rental providers to undertake essential preleasing activities. Enforcement could remain focused on the actual condition of the home at the start of the tenancy, which is the point at which compliance genuinely affects renter safety and wellbeing.

Until legislative reform or regulatory clarification occurs, rental providers, developers and community housing organisations should carefully review their marketing strategies for Victorian rental projects. Public advertising of under construction dwellings may carry risk, and project timelines should be structured to ensure minimum standards can be certified before tenants move in. Providers should also stay alert to further guidance from Consumer Affairs Victoria as industry consultation continues.

marshalls+dent+wilmoth advise community housing providers and institutional owners on the implications of s 65B and the minimum standards framework. Our team can assist with compliance strategies, transactional documentation and engagement with regulators on the practical impact of these reforms. For tailored guidance on how s 65B may affect your project or rental portfolio, please contact our Commercial & Property team.