Landlords are always looking for ways to increase rental payments in order to improve their earnings from the property investment. Tenants, however, want more cuts in the rental payments. It is possible to increase and decrease the rental amount but certain rules are to be followed regarding this. For better property management, it is a good idea to engage the services of expert property managers. They are more close to the property market and can provide better guidance regarding changing rental rates. They can ensure that rights of both parties are well protected.

There are certain rules that are to be followed regarding increasing rent. Rent cannot be increased before at least a six month period after the current amount of rent became payable. Before increasing the rental amount, it is required by the lessor or the agent to give two months notice in writing. In this written notice, the lessor or agent has to mention the increased amount of rent and the date from which this amount will be applicable.

For example, in the event a tenant is still in the same premises and is on their third six month agreement, then the above rules apply. If their current agreement was commenced in September, and the last rent increased occurred on the first of June (under the previous agreement), then the next rental increase can only take effect after December that year.

Part of the tenants' rights is to raise a complaint about significant increases in rental fee implemented by the agent or lessor. This can be done through the lodgment of a Dispute Resolution Form through the states Residential Tenancies Authority (RTA) or through applying to the states Civil and Administrative Tribunal. These disputes can be lodges after the new agreements have been signed however they must be lodged within 30 days after entering into a new contract. The case might be decided in favor or against the tenant. In case it is decided by the Tribunal that the increased rental amount is reasonable, the tenant becomes bound to pay this amount during the tenancy agreement.

Certain situations can also call for the necessary decrease in rental payments. For example, this can happen in the event the tenant requests a decrease in the rental amount because the landlord has reduced certain services or facilities that were previously offered. Again, in the event the changes were to be disputed either by the tenant or the landlord, the Tribunal would have the final say after assessing the particular property and or circumstance.

In some places, the landlords and tenants can freely agree on any rental amount. However, changes can be made to this amount depending on certain circumstances. Property managers can be consulted to handle all legal and other matters related to increase and decrease of rental payments.