Rent Increase SA: Guide for Landlords

This guide is about residential rent increases in South Australia for landlords and tenants. It does not cover rent repayment orders, compensation claims, tribunal penalty orders, rent arrears, bond claims, or non-SA rent increase rules.

If you’re a self-managing landlord in South Australia, increasing the rent is one of the more straightforward parts of tenancy management — but only if you follow the rules precisely. The Residential Tenancies Act 1995 sets strict limits on when you can increase rent, how much notice you must give, and what happens if you get it wrong.

The core rule is simple: you can only increase rent once every 12 months, and you must give at least 60 days’ written notice. But the detail matters. Since the 2024–2026 rental reforms, SA has tightened these rules further — banning rent bidding, closing a loophole around “mutual agreement” increases, and giving SACAT expanded criteria for assessing whether a rent increase is excessive. The penalties for breaching rent provisions were also dramatically increased in March 2024, with maximum fines now reaching $35,000.

If you’re changing rent during an existing tenancy, it helps to review the SA lease agreement guide and the broader SA residential tenancies act guide first. If money is later disputed at the end of the tenancy, our SA rental bond guide guide is the other page you’ll most often need.

The 12-Month Rule

The foundational restriction on rent increases in SA is found in Section 55(2)(c) of the Act. The date you fix for a rent increase must be at least 12 months after the date the tenancy agreement commenced, or — if there has been a previous increase — at least 12 months after the last increase took effect. This applies to both periodic and fixed-term agreements.

This means you cannot increase rent during the first year of any tenancy, regardless of whether the agreement is periodic or fixed-term, and regardless of what the agreement says. Even if your tenant agrees to an increase within the first 12 months, the increase is not permitted under the Act.

The Series of Agreements Rule

One of the more important provisions landlords miss is Section 55(7). If you have a series of tenancy agreements with the same tenant for the same property — whether on the same terms or different terms — the Act treats them as a single agreement for the purpose of rent increases. The 12-month clock does not reset simply because you sign a new fixed-term agreement with the same tenant.

For example, if you sign a 6-month fixed-term agreement with a tenant and then sign a second 6-month agreement when it expires, you cannot increase the rent at the start of the second agreement unless 12 months have passed since the rent was last fixed or increased. The two agreements are treated as one continuous tenancy.

This provision was amended by the Residential Tenancies (Miscellaneous) Amendment Act 2023 to clarify that it applies “whether on the same terms or otherwise” — closing a potential argument that a new agreement on different terms might restart the clock.

The January 2026 Clarification on Incremental Raises

From 15 January 2026, SA law explicitly prohibits advance agreements for incremental rent increases within a 12-month period. Before this amendment, there was an argument that a landlord and tenant could agree upfront to a series of smaller increases throughout the year — for example, $10 per week every quarter. The January 2026 amendment put this to rest: the once-per-year rule applies regardless of whether the increases are structured as a single jump or a series of smaller steps.

This change was part of a package of minor technical amendments that commenced on 15 January 2026, which also clarified that the 6-month re-letting restriction after certain terminations starts from the date of termination for both fixed-term and periodic tenancies.

Increasing Rent Under a Fixed-Term Agreement

If your tenant is on a fixed-term agreement, the default position under Section 55(2)(b) is that rent cannot be increased during the term. The agreement is taken to exclude an increase unless it specifically allows for one.

To preserve your ability to increase rent during a fixed term, the agreement must contain a term that specifically provides for an increase in rent — this is the statutory requirement under Section 55(2)(b). In practice, the CBS standard fixed-term lease agreement goes further and requires the clause to indicate how the increase will be calculated — for example, by a fixed dollar amount, a percentage, or in accordance with the Consumer Price Index (CPI). While the Act itself only requires that the agreement “specifically allows for an increase,” specifying the method of calculation is strongly recommended and is what the standard-form agreement expects.

A vague clause like “the landlord may increase the rent during the term” may technically satisfy the statutory test, but it is best practice to state the calculation method clearly. The CBS standard form includes an optional rent variation clause where you can specify this.

Even where the agreement allows for an increase, the 12-month rule still applies. You cannot increase rent during the first 12 months of the agreement or within 12 months of the last increase. And you must still give at least 60 days’ written notice.

What If the Agreement Is Silent on Rent Increases?

If your fixed-term agreement does not contain a clause allowing for rent increases, you simply cannot increase the rent until the fixed term expires. There is no mechanism to override this — even if the tenant agrees to an increase, Section 55(2)(b) operates as a statutory default that the agreement is taken to exclude rent increases during the term.

This is why it matters what you include in the agreement at the outset. If you are entering into a fixed-term agreement of 12 months or longer and want the option to increase rent, you must include a rent variation clause with a stated method of calculation.

Increasing Rent Under a Periodic Agreement

For periodic agreements, the process is more straightforward. You can increase the rent at any time, provided two conditions are met: at least 12 months have passed since the start of the agreement (or the last increase), and you give the tenant at least 60 days’ written notice.

There is no requirement for the periodic agreement to contain a rent increase clause. The right to increase rent under a periodic agreement comes directly from Section 55(1) of the Act.

How to Give a Rent Increase Notice

Section 55 requires the notice to be in writing and to specify two things: the amount of the increase, and the date on which the increase takes effect.

There is no prescribed form for a rent increase notice in SA. Unlike termination notices — which must use specific prescribed forms (Form 5, Form 8, Form 9, etc.) — a rent increase notice can be in any written format, provided it clearly states the new rent amount (or the amount of the increase) and the date the increase starts.

However, there are practical requirements you should follow. The notice should be dated and addressed to the tenant. It should state the current rent, the new rent, and the date the new rent takes effect. The effective date must be at least 60 days after the notice is given and at least 12 months after the tenancy started or the last increase.

The notice must be given to the tenant — not just posted on the fridge or left on the kitchen bench. Service requirements under the Act apply: you can deliver it personally, post it to the tenant’s address (in which case allow additional days for postal delivery), or, if the tenant has agreed to electronic communication, send it electronically.

What “60 Days’ Notice” Actually Means

The 60-day period runs from the date the notice is given to the tenant, not the date you write or sign it. These are calendar days, not business days. If you hand the notice to the tenant on 1 March, the earliest the increase can take effect is 30 April (60 days later). If you post it, you need to allow additional days for delivery — the notice is taken to be given when it would be delivered in the ordinary course of post.

Getting this wrong is one of the most common mistakes landlords make. If the effective date is less than 60 days after the notice was given, the notice is deficient. The tenant is not required to pay the increased amount until a valid notice has been given with the correct notice period.

Mutual Agreement Increases

Section 55(2a) allows rent to be increased at any time by mutual agreement between the landlord and tenant. This might seem like a way around the 60-day notice requirement — and it is, in the sense that you do not need to give formal written notice if both parties agree to the increase.

However, Section 55(2b) — inserted by the 2023 Amendment Act — imposes the same 12-month restriction on mutual agreement increases. The increase must still be at least 12 months after the start of the agreement or the last increase. You cannot use mutual agreement to circumvent the once-per-year rule.

There is also a risk with mutual agreement increases. If a tenant later claims they were pressured into agreeing, SACAT can take this into account when assessing whether the rent is excessive. Section 56(2)(fb) specifically requires SACAT to consider “whether the tenant was put under undue pressure to agree to the increase.” Relying on informal mutual agreements rather than formal written notices can leave you exposed if the tenant disputes the increase.

Rent Bidding Is Banned

Since 1 September 2023, rent bidding has been banned in South Australia. Under Section 52A of the Act, you must advertise rental premises at a fixed amount and must not solicit or otherwise invite offers for higher rent. You cannot advertise a rent range, put properties up for rent auction, or encourage prospective tenants to offer above the advertised price.

This applies to the initial setting of rent when advertising a vacancy. It does not affect your right to increase rent during a tenancy under Section 55 — but it does mean you cannot use the re-letting process to effectively auction the property to the highest bidder.

The penalty for breaching the rent bidding prohibition is up to $20,000 (expiation fee $1,200). Under Section 52B, third parties facilitating tenancy applications are also prohibited from rating or assessing prospective tenants based on offers of higher rent, with the same maximum penalty.

What Happens If a Tenant Challenges the Increase

There is no cap on the amount by which you can increase rent in SA. You can increase by $10 per week or $100 per week — the Act does not set a maximum. However, a tenant who believes the rent increase is excessive can apply to SACAT for a declaration to that effect under Section 56(1).

The 90-Day Window

If the tenant’s challenge is based on a rent increase under Section 55, they must apply to SACAT within 90 days after the notice of increased rent is given. This 90-day limitation was inserted by the 2023 Amendment Act (Section 56(1a)) and applies specifically to increase-based challenges. A general challenge to excessive rent (not based on a recent increase) is not subject to this time limit.

What SACAT Considers

When deciding whether rent is excessive, SACAT must consider the factors listed in Section 56(2):

The general level of rents for comparable premises in the same or similar area. The estimated capital value of the property. The outgoings for which you are liable under the agreement — such as council rates, land tax, insurance, and maintenance. The estimated cost of services provided by both the landlord and tenant under the agreement. The nature and value of any furniture, equipment, or other personal property you provide for the tenant’s use. The state of repair and general condition of the premises. The estimated cost of any goods and services under a collateral domestic services agreement. Whether the tenant was put under undue pressure to agree to the increase (this factor applies specifically where the increase was by mutual agreement under Section 55(2a)). Whether the increase was disproportionate considering the amount of rent payable. And any other relevant matters.

The last two criteria — undue pressure and disproportionate increase — were added by the 2023 Amendment Act and represent a significant expansion of SACAT’s assessment framework. “Disproportionate” is not defined in the Act, but it gives SACAT the power to consider whether a large percentage increase is justified relative to the existing rent level. A $50 per week increase on a property renting at $300 per week (a 17% increase) may attract more scrutiny than the same dollar increase on a property at $800 per week (a 6% increase).

What SACAT Can Order

If SACAT finds that the rent is excessive, it can fix a maximum rent for the property for a period of up to 12 months under Section 56(3). During that period, you cannot charge more than the amount SACAT has set. Breaching a SACAT rent order carries a maximum penalty of $25,000 (expiation fee $1,200).

The Walters v Crump Decision

In Walters v Crump [2025] SACAT 7, SACAT found a rental increase to be excessive — one of the first reported decisions under the expanded assessment criteria introduced by the 2023 Amendment Act. While every case turns on its own facts, this decision signals that SACAT is willing to use the new “disproportionate increase” criterion. Landlords should be aware that large percentage increases may face closer scrutiny, particularly where the property’s condition or the local rental market does not justify the jump.

Rent Reduction by Agreement

Section 55(3) allows rent to be reduced by mutual agreement at any time. Unlike increases, there is no 12-month restriction on rent reductions.

Section 55(4) also allows a reduction to be made on a temporary basis — so the rent reverts to its previous level at the end of a specified period. This is useful in situations where a tenant is experiencing temporary financial hardship, or where part of the property is temporarily unavailable (for example, during repairs). A temporary reduction does not count as a new “increase” when the rent reverts to its original level.

If the rent is increased or reduced under Section 55, the terms of the tenancy agreement are varied accordingly by operation of Section 55(5). You do not need to sign a new agreement or formally amend the existing one — the variation happens automatically.

Payment of Rent — Related Rules

While not strictly about rent increases, several related provisions in the Act affect how you manage rent:

Rent in Advance

Under Section 54, you cannot require a tenant to pay more than two weeks’ rent in advance. You also cannot require post-dated cheques or other post-dated negotiable instruments for rent. If a tenant voluntarily pays more than two weeks in advance, you can accept it — but you cannot require it. The maximum penalty is $25,000 (expiation fee $1,200).

Payment Method

Section 56A(1) requires you to ensure that rent can be paid in a reasonably convenient manner. You must allow at least one method of payment that is electronic and does not involve a third party charging the tenant a fee. The maximum penalty for failing to provide a convenient payment method is $25,000 (expiation fee $1,200). Separately, Section 56A(2) prohibits you from charging or receiving a fee from the tenant for the payment or collection of rent — with a higher maximum penalty of $35,000 (expiation fee $2,000).

Record Keeping

Section 57 requires you to keep proper records of all rent and other payments received under the tenancy agreement. You must record the date and amount of each payment, and the period to which each payment relates. The maximum penalty for failing to keep proper records is $20,000 (expiation fee $1,200). Making a false entry in a rent record carries a maximum penalty of $25,000.

Receipts

Under Section 58, if a tenant asks for a statement of payment information, you must provide it within 7 days. If rent is paid by a method other than direct deposit into a bank account, you must give the tenant a receipt within 48 hours. From 15 January 2026, it is explicitly confirmed that receipts can be issued electronically or on paper. The maximum penalty for failing to provide a receipt or statement is $25,000 (expiation fee $1,200).

If a rent dispute ends with the tenancy changing or ending, pair this page with our SA eviction notice guide and SA break lease guide guides.

Common Mistakes Landlords Make

Increasing Rent Within 12 Months of the Last Increase

This is the most common error. The 12-month rule is absolute — it applies to all agreement types, cannot be contracted out of, and is not reset by signing a new agreement with the same tenant. If your last increase took effect on 1 March 2025, the earliest date for the next increase is 1 March 2026, with the 60-day notice given no later than 31 December 2025.

Increasing Rent During a Fixed Term Without an Increase Clause

If your fixed-term agreement does not specifically allow for rent increases, you cannot increase the rent during the term. While the Act only requires the agreement to “specifically allow” for an increase, best practice — and the CBS standard form — also requires stating how the increase will be calculated. A verbal agreement with the tenant to increase does not override the statutory default in Section 55(2)(b).

Giving Less Than 60 Days’ Notice

The notice period is a minimum of 60 days from the date the notice is given to the tenant — not the date you wrote it. If you post the notice, you need to allow additional time for delivery. If the effective date is less than 60 days after the tenant received the notice, the increase is not valid.

Structuring Incremental Increases Within 12 Months

Since 15 January 2026, the Act explicitly prohibits advance agreements for incremental raises within a year. You cannot agree with your tenant at the start of a 12-month lease to increase rent by $10 per week every quarter. One increase, once per year — no exceptions.

Not Specifying the Amount and Date in the Notice

The notice must state both the amount of the increase (or the new rent amount) and the date it takes effect. A notice that says “your rent will be going up soon” without specifying the amount and date is not a valid notice under Section 55.

Pressuring Tenants to Agree to an Increase

If you pressure a tenant into agreeing to a rent increase — whether through threats of termination, withholding repairs, or other coercive behaviour — SACAT can consider this when assessing whether the rent is excessive. Section 56(2)(fb) specifically targets undue pressure in the context of mutual agreement increases under Section 55(2a). If SACAT finds pressure was applied, it is more likely to declare the rent excessive and fix a maximum rent.

Frequently Asked Questions About Rent Increases in SA

How often can I increase rent in SA? Once every 12 months. The increase must be at least 12 months after the start of the tenancy agreement or the last rent increase, whichever is later. This applies to both periodic and fixed-term agreements, and cannot be overridden by agreement between the parties.

How much notice do I need to give for a rent increase in SA? At least 60 days’ written notice. The notice must specify the amount of the increase and the date it takes effect. The effective date must be at least 60 days after the notice is given to the tenant and at least 12 months after the tenancy started or the last increase.

Is there a cap on how much I can increase rent in SA? No. There is no statutory limit on the amount of a rent increase. However, a tenant can apply to SACAT within 90 days of receiving the notice to have the increase declared excessive. SACAT will consider comparable rents in the area, the property’s condition, whether the increase is disproportionate, and other factors.

Can I increase rent during a fixed-term lease in SA? Only if the agreement specifically allows for an increase. The Act requires the agreement to “specifically allow” for rent increases during the term — without such a clause, rent cannot be increased until the fixed term expires. Best practice (and the CBS standard form) also requires stating how the increase will be calculated (for example, a fixed amount, a percentage, or by CPI).

Can I increase rent if my tenant and I both agree? Yes, but the 12-month rule still applies. Under Section 55(2a), rent can be increased by mutual agreement at any time — but Section 55(2b) requires that the increase be at least 12 months after the start of the agreement or the last increase. You cannot use mutual agreement to get around the once-per-year restriction.

Can I agree to incremental rent increases throughout the year? No. Since 15 January 2026, SA law explicitly prohibits advance agreements for incremental raises within a 12-month period. One increase per year is the maximum, whether it is a single adjustment or structured as a series of smaller steps.

What is rent bidding, and is it legal in SA? Rent bidding is when a landlord or agent invites or solicits offers of higher rent than the advertised amount. It has been banned in SA since 1 September 2023 under Section 52A. You must advertise at a fixed amount and cannot encourage prospective tenants to offer more. The maximum penalty is $20,000 (expiation fee $1,200).

What can a tenant do if they think my rent increase is excessive? The tenant can apply to SACAT under Section 56 for a declaration that the rent is excessive. If the application is based on a recent increase, it must be made within 90 days after the notice of increased rent is given. SACAT will consider the general level of rents for comparable premises, the property’s condition, whether the tenant was pressured, and whether the increase was disproportionate.

What happens if SACAT finds my rent increase is excessive? SACAT can fix a maximum rent for the property for up to 12 months. You cannot charge more than this amount during that period. Breaching a SACAT rent order carries a maximum penalty of $25,000 (expiation fee $1,200).

Does a new tenancy agreement with the same tenant reset the 12-month clock? No. Under Section 55(7), a series of agreements between the same parties for the same premises is treated as a single agreement. The 12-month period runs from when the rent was last fixed or increased, not from the start of the latest agreement.

Do I need to use a specific form for a rent increase notice? No. There is no prescribed form for rent increase notices in SA. The notice can be in any written format, but it must clearly state the amount of the increase and the date it takes effect. It must also be properly served on the tenant.

Can I increase the rent after the tenant gets a pet? No. Under Section 66C(10), a landlord cannot impose a condition of pet approval that would require the tenant to pay additional rent, a higher bond, any incentive or penalty amount, buy goods or services from a specified person, or provide any form of security. You can set reasonable conditions (such as professional carpet cleaning at the end of the tenancy), but you cannot increase the rent or impose financial penalties because a tenant keeps a pet.

Summary

Increasing rent in SA is governed by a clear set of rules: once per year, 60 days’ written notice, and the increase must be stated in dollar terms with an effective date. For fixed-term agreements, you need a clause that specifically allows for rent increases — and best practice is to state the method of calculation. Without such a clause, you cannot increase rent during the term. Mutual agreement increases are permitted but still subject to the 12-month rule, and from January 2026, incremental raises within a year are explicitly banned.

There is no cap on the amount of an increase, but tenants have 90 days to challenge an increase at SACAT. The expanded assessment criteria — particularly around disproportionate increases and undue pressure — mean that large jumps in rent need to be justified by the local market and the property’s condition. The Walters v Crump decision confirms that SACAT will use these new criteria.

For self-managing landlords, the key is to plan ahead: check the 12-month anniversary, draft a clear written notice with the amount and date, give it at least 60 days before the intended increase date, and keep a record of when and how it was served.

Related guides for SA landlords

If you are building out the full landlord workflow for this state, these guides connect this page to the rest of the tenancy process.

Same-state guides

• SA lease agreement guide
• SA rental bond guide
• SA eviction notice guide
• SA break lease guide

Compare rent increase guides in other states

• WA rent increase guide
• NSW rent increase guide
• QLD rent increase guide
• VIC rent increase guide
• Tasmania rent increase guide
• ACT rent increase guide