For many Australians, renting a home is a fact of life—especially in today’s red-hot property market, where buying can feel out of reach.
But what happens when you do everything right as a tenant, only to find yourself caught in a nightmare you never saw coming?
That’s exactly what happened to a pair of renters, whose story has sent shockwaves through the rental community.
After paying a whopping 12 months’ rent in advance—an eye-watering sum of over $30,000—they were blindsided by their landlord’s sudden decision to sell the property just four months into their lease.
Before signing on the dotted line, the tenants were assured by their landlord that there were ‘no intentions’ to sell the property in the coming year. Feeling secure, they handed over a full year’s rent upfront—a move that, while not required by law, is sometimes used to secure a lease in a competitive market.
But just a few months later, the landlord changed their tune, announcing plans to put the property on the market. The tenants, both working demanding jobs from home and one managing a serious autoimmune condition, were suddenly faced with the prospect of constant open inspections and the stress of an uncertain future.
‘I’ve done everything right. I paid up front. I gave notice. I was respectful and patient. Why am I being punished for that? This is not just unfair, it’s inhumane,’ the tenant shared in a heartfelt post on social media.
When the tenants asked for a refund of the unused rent so they could move out and find a new home, the landlord dropped another bombshell: she ‘didn’t have the funds’ to pay them back until the property was sold. In other words, the tenants’ own money was being held hostage, leaving them unable to move on with their lives.
The situation quickly escalated, with the landlord pushing for sales inspections and the tenants refusing, citing the impact on their health and well-being. The emotional and physical toll has been severe, with the renters describing the ordeal as ‘distressing’ and ‘unbearable’.
This story has struck a nerve with renters across the country, prompting many Australians to comment on the post and urge the tenant to seek advice from Consumer Affairs Victoria (CVA) and Tenants Victoria. Others recommended taking the matter to the Victorian Civil and Administrative Tribunal (VCAT).
‘I’d apply for an emergency hearing at your state-based tribunal, asking for your rent to be returned within a fair notice period for both parties (60 days?) and one inspection per month within that time, given your health concerns,’ one person wrote. ‘Offering a reasonable option will make it more likely to be found in your favour.’
In Victoria, while landlords are not permitted to ask for more than one month’s rent in advance if the weekly rent is under $900, there is no law preventing tenants from offering to pay more upfront.
Should a landlord decide to sell the property during an active lease, tenants generally have the right to end a fixed-term agreement early, provided they give at least 14 days’ notice.
During the sales process, landlords are allowed to conduct up to two one-hour inspections per week, but they must give written notice beforehand.
Although tenants cannot refuse entry if proper notice is given, landlords are expected to act reasonably and take any health-related concerns into consideration.
A real estate property manager weighed in on the situation, saying, ‘The agent should’ve advised against the tenant doing this. Very poor form of the agency. While the agency does work for the owner, they have a duty of care to the tenant and an ethical responsibility.’
While paying rent in advance can sometimes help secure a property, it’s not without risks. As this case shows, you could be left out of pocket if your landlord’s circumstances change unexpectedly. While most landlords and agents do the right thing, not all are aware of—or willing to follow—the rules.
What are your thoughts on paying rent in advance—should there be tighter regulations? How should disputes like this be handled when circumstances change mid-lease? Share your experiences and thoughts in the comments below.
Also read: Australia’s growing cohort of tenants fear they will rent forever
Whether you pay rent in advance or not the landlord should be held to the rental agreement, if a lease is signed for 12 months then they should wait and not be able to sell it beforehand. This landlord was a disgrace, if she wanted them out early and they agreed the advance rent must be paid back immediately, the arse can take out a personal loan if need be. Quite frankly if that happened to me I’m not sure the landlord would still be alive.!!