David Bonaddio, Real Estate Reporter
First published 28 Oct 2026, 5:00am
Moving out of a sharehouse does not automatically end a renter’s financial responsibilities, with tenants warned they could remain liable if their name stays on the lease.
A Melbourne rental household was almost kicked to the kerb over a 50 cent underpayment of their rent in what has been labelled a warning for the state’s rising sharehouse population.
The tenants only discovered the shortfall after an automated email from the property manager’s firm threatened them with eviction.
The case is among the experiences uncovered in new Swinburne University research into the financial risks of sharehousing, as rising rental costs leave some Victorians reliant on housemates.
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The study, published in Housing Studies earlier this month, involved interviews with 25 current or former Victorian sharehouse renters aged 23 to 39.
One participant faced eight extra days of rent after a housemate refused to sign departure paperwork.
Another lost bond money over damage caused in somebody else’s bedroom.
Swinburne University researcher Zoë Goodall uncovered a case where a renter only discovered their housemate had stopped paying when the landlord threatened eviction.
Lead researcher Zoë Goodall said rental laws had improved, but sharehouses could still leave people exposed to debts and damage caused by others.
“There’s been really, really good progress on rental protections for tenants in the last few years,” Ms Goodall said.
But she warned of “these messy little things that fall through the cracks that actually do have quite major implications for people”.
She said some working adults were staying in sharehouses beyond their early 20s, although there were insufficient statistics to establish how widespread the change was.
Ms Goodall suggested specialist sharehouse support, potentially including temporary help when one housemate could not pay, and urged renters to document their arrangements.
“Putting everything down in writing is probably your best protection,” she said.
A housemate’s unpaid rent can become everyone’s problem under a joint rental agreement, even when the other occupants have paid their share.
Tenants Victoria lead community education lawyer Ben Cording said people on a joint lease could be liable for the household’s rent, not only their own contribution.
Ordinary disputes between co-renters generally fell outside VCAT’s residential tenancy jurisdiction, meaning recovering unpaid contributions could require a claim in the Magistrates’ Court.
“I think the reality is that many, many renters will be in a position where they probably won’t take further action and cop the loss,” Mr Cording said.
He said a tenant moving out might remain financially responsible unless their name was removed from the agreement, while incoming occupants could face disputes over damage dating back years.
Victoria’s rental shortage is putting pressure on households, with the REIV calling for more investment as some renters find themselves unable to afford living alone.
Mr Cording called for clearer procedures to change names on leases and wider tribunal powers to deal with disputes between housemates.
He said the existing arrangements meant “renters get stuck in situations that they can’t get out of or can’t deal with”.
Renters and Housing Union secretary Adu Hani said the group had dealt with cases where tenants covered housemates’ unpaid rent to keep their accommodation.
“Often, we see friendships break apart because of conflict underpinned by renting arrangements,” the secretary said.
“We are consistently hearing that people are being forced to live in share homes, as that’s the only affordable option.”
Real Estate Institute of Victoria chief executive Toby Balazs says the industry is open to reviewing sharehouse protections, but warns a shortage of rental homes is hurting choice.
Real Estate Institute of Victoria chief executive Toby Balazs said the 50c shortfall appeared to be a mistake and would not warrant a formal notice.
He said the REIV would consider stronger co-renter protections if further examination showed they were needed, but argued too few rental homes were leaving tenants without affordable alternatives.
“So we just have to address the supply issue,” Mr Balazs said.
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