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Market rent is the maximum amount of rent you can be charged. It’s based on the SA Valuer-General’s annual assessment of the property and takes into account its size, nature and location.
Community housing providers can choose to use an independent valuer, who must update the market rent at least every 2 years. Providers manage both social - general and supported - and affordable housing.
Tenants are charged the lower amount of income-based rent and market rent.
Rent in general tenancies
All of a household's Commonwealth Rent Assistance (100%) is included in the income assessment.
If you’re no longer eligible for subsidised rent, you’re charged market rent. Community housing providers can query market rent.
Moderate household incomes
Rent if you have a moderate household income is 30% of your total assessable household income before tax.
Types of income that are assessed
You have a moderate household income if both these apply:
- your total assessable household income before tax is equal to or more than the moderate rent limits
- you or your partner don’t receive an income support payment from Centrelink or Department of Veterans’ Affairs, for example JobSeeker, Disability Support Pension, Age Pension.
Subsidised rent - 25% of your total assessable household income before tax if your income is less than the moderate rent limits.
Rent in supported tenancies
Supported tenancies will be charged a maximum rent that is no more than both:
- 25% of gross non-Commonwealth Rent Assessment income
- all CRA income available to that household
This amount applies if the tenancy:
- meets community housing eligibility criteria
- has an approved package of support attached
up to maximum of market rent. Service levies cannot be charged in addition to the maximum rent. A provider can charge rent to supported tenant households below this maximum rent amount but must detail how the figure will be assessed in its own rent policy.
Community Housing Addenddum 2 Rent procedure for supported tenancies
Affordable tenancies
Community housing providers can decide what income is used when working out how much rent to charge for supported and affordable tenancy types. Providers could exclude or only partly assess some income types but they are not required to.
Affordable tenancy households will be charged a maximum rent that is no more than the total of both:
- 30% of a household’s gross non-Commonwealth Rent Assessment (CRA) income
- all CRA income available to that household
up to the maximum market rent.
Community Housing Addendum 3 Rent Procedure for Affordable Tenancies
Providing proof of income
All members of your household who receive an income will be included in your rent assessment.
You must tell your community housing provider as soon as possible if:
- your household income changes
- someone has moved in or out of your property.
Every six months you will be asked to provide proof of income for everyone in your household. This is to make sure you are being charged the correct amount of rent.
If you or anyone in your household is receiving an income from Centrelink, you can choose to have your income details provided directly from Centrelink to your community housing organisation.
Voluntary charges
Housing Co-ops (also called volunteer member-tenant managed organisations) can charge tenants an extra fee if they’re not a registered member. This fee can’t be applied if an adult in the household is a registered member.
The fee is generally 10% more than what a member is charged. So if a member's rent is $80 per week, a non-member would be charged $88 per week.
Some co-ops choose not to charge the fee, but might require people to become members before they house them. See Voluntary Charges in the Community housing rent procedure for General Tenancies
Service charges
If a community housing provider has engaged service providers for gardening, maintenance, rent or financial management, it may pass these charges on to its tenants as service levies based on the estimated costs of the services provided. See Additional Services Levies in Community housing rent procedure for General Tenancies
Rent increases and decreases
The market rent of the property is reviewed annually by the Valuer-General.
Lease agreements dated on or after 1 March 2014
Market rent cannot be increased until at least 12 months have passed since the start of the agreement or when the market rent was last increased. Increases in market rent can't be capped.
If your rent has increased due to a change in your income or household, you will be given 14 days written notice before the full amount of the new rent will be charged.
Rent decreases will be passed on from the next rent period after a change in household circumstances.
Lease agreements dated before 1 March 2014
If the market rent for your property goes up, your rent will increase by no more than $10 per week every 6 months until the new amount is reached (General tenancies).
Addendum 1 - Rent procedure for general tenancies
How long visitors can stay
Visitors can stay with you for up to 12 weeks without it affecting your rent. A person is considered to be a visitor if they have a residential address elsewhere that they intend to return to.
If your visitor has no other residential address or doesn't intend to return to another property, they are considered to be part of your household. Their income must be included in the assessment for rent as soon as they move into your property.
What happens when your rent is in arrears
Rent must be paid in full, 14 days in advance. The person listed on the lease agreement is responsible for the rent being on time, regardless of who else is living at the property or their income.
If you are unable to pay in full or have fallen behind in your rent, you might be able to make an affordable repayment arrangement with your housing provider.
You should tell your community housing organisation as soon as possible if you can't:
- pay the full amount of rent by the date it is due
- maintain a repayment arrangement.
If you don't pay the rent you are breaching your lease agreement. This could lead to eviction.
It's not counted as having paid rent if you pay only part of the rent when it is due for that period. You are still considered to be in rent arrears from the date the full amount was due. You will no longer be in rent arrears when the remainder of the full rent amount is paid.
Related information
Resolve problems with your community housing provider
Community housing master agreements - policies
For an alternative version of a document on this page contact SA Housing Trust