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VIC: Q&A Is There A Maximum Number of Tenants Allowed in Apartments?

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Vic lot owners are wondering: Is there a maximum number of tenants allowed in apartments in Victoria?

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Question: New tenants moved into the small one bedroom unit above mine. There are five adults and two children. This has substantially increased noise and I’m concerned about overcrowding. What do I do when the owners corporation is unconcerned?

I live in a 33sqm one-bedroom unit in Glen Iris. A few months ago new tenants moved into the one-bedroom unit above mine. There are 7 people in total living in this tiny apartment – five adults and two children.

The increase in tenants seriously impacts the noise level above me, increases our water bill and creates a greater strain on the bin capacity.

The landlord of this unit and the owners corporation have advised that there are no laws against how many tenants may occupy the unit, but this surely comes under the concern of overcrowding.

How do I go about reporting this problem when the owners corporation is unconcerned?

Answer: The only point where the Owners Corporation may get involved is regarding the noise levels if they are causing a disturbance to your peaceful enjoyment.

This is a tricky one. The only point where the Owners Corporation may get involved is regarding the noise levels if they are causing a disturbance to your peaceful enjoyment. Refer 6.2 of the Model Rules. You could lodge a complaint with your Owners Corporation on this matter.

In terms of overcrowding, this is difficult, but if you have concerns, you should refer this to the local council officers in your municipality. They are your best bet at investigating, but it may not be a straight forward process.

Strain on services such as water and waste is always a frustrating cost for others to bear. But can, unfortunately, be one of the negatives of apartment living with limited controls in situations such as this.

Joel Chamberlain Horizon Strata Management Group E: joel.chamberlain@horizonstrata.com.au P: 03 9687 7788

This post appears in Strata News #383.

Question: Could you please advise – is there a maximum number of tenants/occupiers allowed in units in Victoria? What is the law around this? In this particular case, a 2 bedroom unit.

Answer: The Act does not stipulate whether there is a maximum number of tenants/occupiers allowed in units, however, all occupants must be listed on the tenancy agreement.

Sharing a property: Is there a maximum number of tenants allowed?

There are generally two types of arrangements when tenants are sharing a property.

In a co-tenancy, every tenant signs the tenancy agreement and all names appear on the bond lodgement form. Usually, the bond amount is divided equally among all tenants. However, each tenant is responsible for the full amount of the bond, not just their share. Remember: In a co-tenancy, any one individual can be held responsible for the actions of all the tenants if, for example, rent is owing or the property has been damaged.

The Residential Tenancies Act 1997 does not stipulate whether there is a maximum number of tenants / occupiers allowed in units, however, all occupants must be listed on the tenancy agreement.

In the case of sub-letting, one or more existing tenants will rent out part or all of the property to other people. The tenants who signed the initial tenancy agreement are the ‘head tenants’ and those tenants renting from them are called ‘sub-tenants’. A tenant must not sub-let without the landlord’s written approval. A landlord must give permission unless there is a good reason to refuse. It is illegal to charge a fee for giving permission. If you sub-let, you will become the landlord to your tenant and must take on those responsibilities.*

In regards to Owners Corporations, normally two adults per bedroom is realistic for normal living conditions. Anything above this number raises the question of overcrowding and could be an Occupational Health and Safety risk in the event of a fire or evacuation. The issue of overcrowding in apartments is a very serious and complex issue that the Victorian Government and local councils have been struggling to find an appropriate solution.

Many cases have been brought before VCAT with varying results and it is an area that needs to be thoroughly explored by the government in the future.

*Source: Consumer Affairs Victoria website

Daniel Hunt General Manager Ace Body Corporate Management 03 9239 5403 daniel.h@acebodycorp.com.au

This article is not intended to be personal advice and you should not rely on it as a substitute for any form of advice.

About Ace Body Corporate Management Ace Body Corporate Management (Ace) is the largest 100% Australian owned strata management company with franchises and their support staff managing property worth an estimated replacement value of $20 billion. All franchisees are members of Strata Community Association; the peak national body that looks after the interests of the community by liaising with Government on strata legislative requirements to keep up with industry change.

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