How to navigate rental law changes in NSW this year
Staying informed about changes to rental laws in New South Wales is essential whether you're a landlord or tenant.
This year brings several updates aimed at creating fairer and more transparent rental agreements. Here’s what you need to know and how to navigate these changes.
Why rental laws are changing
The recent changes to rental laws are designed to address evolving housing needs and create a more balanced relationship between landlords and tenants.
With rising living costs and increased demand for rental properties, these reforms aim to enhance tenant security, improve property standards, and ensure fair rental practices.
The government seeks to provide more predictable rental costs, better living conditions, and stronger protections for renters, while also supporting landlords with clear guidelines on their responsibilities.
These updates are part of a broader effort to create a fairer and more sustainable rental market in NSW.
Key changes to rental laws
New regulations focus on improving tenant rights, enhancing property standards, and ensuring clearer communication between landlords and tenants.
Two important rental law changes happened on the 31 October 2024:
- Rental increases: Rent increases are now limited to once every 12 months for tenancy agreements, aiming to provide more financial stability for tenants.
- Extra Fees: Preventing extra fees at the start of a tenancy, including fees for background checks and preparing a tenancy agreement
Further changes to be implemented early in 2025, with a date yet to be set:
- Termination notices: Extended notice periods are required for certain lease terminations, giving tenants more time to secure alternative accommodation. Landlords will also need a reason to end a tenancy for both periodic and fixed term leases.
- Paying rent: Property owners and agents will be required to offer a way to pay rent that is electronic and without additional fees. Renters will be able to choose a bank transfer method or payment via the Commonwealth Government’s Centrepay.
- Keeping pets: The new laws will make it easier for renters to have pets in their home. A renter will be able to apply to keep a pet, with the landlord only able to decline for certain reasons.
Tips for landlords
- Review your lease agreements: Ensure your current lease agreements comply with the new regulations. Update clauses related to rent increases, property maintenance, and termination notices.
- Conduct property inspections: Regular inspections help ensure your property meets the minimum standards. Address any issues before they become costly repairs.
- Communicate with tenants: Clear and open communication builds positive relationships. Provide tenants with written notice of any changes that may affect their lease.
- Stay informed: Keep up to date with further legislative changes by following NSW Fair Trading and industry publications.
Tips for tenants
- Know your rights: Familiarise yourself with your rights regarding rent increases, maintenance requests, and lease terminations. NSW Fair Trading’s website is a reliable resource.
- Request repairs in writing: For urgent repairs, notify your landlord or property manager in writing to ensure prompt action.
- Document property conditions: Take photos and keep records of the property's condition at the start and end of your lease.
- Seek advice if needed: If you face issues with your tenancy, seek help from organisations like Tenants’ Union NSW.
How your Northern Districts property manager can assist
A skilled property manager plays a crucial role in helping both landlords and tenants navigate these legislative changes. Their expertise ensures that properties comply with the latest standards and that both parties understand their rights and responsibilities.
Here’s how your property manager can support you:
Regulatory compliance
Property managers stay updated with current legislation and ensure lease agreements, rent increases, and property maintenance align with the new laws.
Property maintenance
By coordinating regular inspections and overseeing repairs, property managers help landlords meet minimum property standards while ensuring tenants have a safe and comfortable home.
Tenant communication
Clear and professional communication between landlords and tenants is essential. Property managers act as intermediaries, ensuring any changes are communicated in writing and that tenants' concerns are promptly addressed.
Lease management
From drafting compliant lease agreements to managing termination notices, property managers streamline the leasing process, ensuring all legal requirements are met.
Ongoing support
Property managers provide ongoing guidance to landlords, helping them adapt to legislative changes while ensuring their investment remains profitable. Tenants can also rely on their property manager for assistance with repairs, disputes, and understanding their rights.
By partnering with a knowledgeable property manager, both landlords and tenants can confidently navigate the evolving rental landscape in NSW, ensuring a smooth and compliant rental experience.
Thinking of renting your Northern Districts home?
Understanding and adapting to these rental law changes is crucial for both landlords and tenants. If you're considering leasing your Northern Districts home, reach out to Page & Co for expert guidance and property management services tailored to the latest legislative requirements.
