Rental payments in SDA

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The information on this page applies to SDA providers. If you are a resident, go to Paying rent in SDA.

Rent payments

You and the resident can agree in the residency or rental agreement that the resident pays rent weekly, fortnightly or monthly.

Residents can pay their rent using a fee-free method or by Centrepay, unless the provider is Homes Victoria, or Homes Victoria's agent.

An SDA provider or their agent must ensure that a rent payment method that incurs no extra costs (other than bank fees or account fees payable on the SDA resident's bank account) is reasonably available to the SDA resident.

An SDA provider or their agent must not require an SDA resident to pay rent by a cheque or other negotiable instrument that is post-dated.

Before an SDA resident chooses a payment method, you must tell them about any fees they may incur by using that method.

Residents can ask for a receipt when they pay the rent. If they pay you directly, you must give the resident a receipt straight away.

Download and use our:

Specialist Disability Accommodation (SDA) residency agreement

You can only ask residents to pay up to 30 days’ rent in advance.

Residential rental agreement (short-term and long-term)

If the resident pays rent weekly, you cannot ask for more than 14 days’ rent in advance. If the resident pays fortnightly or monthly, you can only ask for one month’s rent in advance, unless the weekly rent is more than $900.

For more information, go to Paying rent and rent in advance.

Reasonable rent contribution

The NDIS (Specialist Disability Accommodation) Rules 2016 say you can receive a reasonable rent contribution (RRC) from residents. This applies to SDA residency and Residential rental agreements.

If a resident receives the disability support pension, their RRC cannot exceed:

  • 25% of the basic rate of the disability support pension
  • plus 25% of any pension supplement they receive
  • plus 25% of any youth disability supplement they receive
  • plus all Commonwealth rent assistance they receive.

If a resident does not receive the disability support pension, their RRC cannot exceed:

  • 25% of the basic rate of the disability support pension
  • plus all Commonwealth rent assistance they receive.

Rent increases

SDA residency agreement

You cannot increase the rent more than once every 6 months.

You must give the SDA resident and their guardian or administrator (if they have one), at least 60 days’ written notice.

Although there is no prescribed form for issuing a proposed notice of rent increase where an SDA residency agreement is in place, you can download and use our:

The law says for a notice of rent increase to be valid:

  • residents, and their guardian or administrator (if they have one), must be given at least 60 days’ notice of any rent increase, and
  • the notice must include:
    • the amount of the rent increase, and
    • the method by which the rent increase was calculated, and
    • a statement informing residents of their right to ask us, if they think the rent is too high, to investigate and report on the proposed rent. The resident can only ask for a rent assessment within 30 days of getting the notice of rent increase, and
  • you must not increase the rent more than once every 6 months.

Download and use our:

Residential rental agreements

In most cases, you cannot increase the rent more than once every 12 months.

You must give the resident at least 60 days' written notice.

Download and use our:

For more information, go to Rent increases.

What if the rent is too high?

When you increase the rent, the resident can ask us to investigate if they think the rent increase is too high. We will give the resident a report of our findings. They can use this report to apply to VCAT for a decision. The resident can only ask for a rent assessment within 30 days of getting the notice of rent increase.

While VCAT decides the matter, the resident must pay the lesser amount of either the:

  • rent increase amount, or
  • previous rent amount plus 10%.

For more information, go to Challenging a rent increase.

Rent arrears

If a resident does not pay their rent on time, they are 'in arrears'. If a resident is more than 14 days' in arrears, you can give them a Notice to vacate.

If you have an SDA residency agreement, go to Notices to end an SDA residency.

If you and the resident signed a Residential rental agreement, go to Late or unpaid rent.