The rental landscape in New South Wales has just undergone some of the most significant reforms in recent years. Whether you're a tenant or a landlord, it’s essential to understand what these changes mean for your rights and responsibilities moving forward. Here's a quick breakdown of the key updates now in effect:
- No More "No Grounds" Terminations
In a major shift aimed at improving tenant security, landlords can no longer terminate a lease without a prescribed reason for both periodic and fixed term leases. Previously, landlords were able to end a tenancy simply by giving notice - now, they must provide a legally acceptable reason.
This change ensures more stability for tenants and requires landlords to be clear and transparent about the basis for any termination.
- Termination Notices Must Include Valid Reasons - and Supporting Evidence
Whether it’s the end of a fixed-term lease or during a periodic agreement, landlords must now give a prescribed reason for terminating a tenancy. In some cases, they are also required to provide supporting evidence , for example, if the property is being sold or if extensive renovations are planned.
This added layer of accountability is intended to reduce arbitrary or unfair evictions.
- Pets Allowed - Within Reason
Tenants now have more freedom to keep furry companions at home. The act now states that landlords cannot unreasonably refuse a tenant's request to keep up to four pets in the rental property.
While there are still processes in place to handle pet-related concerns, the balance has clearly shifted in favour of pet-friendly tenancies - great news for animal lovers.
- Free Electronic Payment Options Must Be Available
Finally, a step toward modernising rental payments: tenants must now be offered a free electronic method to pay rent. This could include direct deposit or online banking, and ensures tenants aren't forced into costly or inconvenient payment platforms.
Why These Changes Matter
These reforms are part of a broader push to modernise rental laws and better reflect the needs of today’s tenants - many of whom rent long-term. For landlords, the changes mean clearer obligations and more structured processes for managing rental properties.
Whether you're a property owner or a tenant, it’s a good idea to familiarise yourself with the full details of the changes to stay compliant and avoid disputes.
Need Help Navigating the New Laws?
If you’re unsure how these changes affect your current lease or property management strategy, consider speaking with a qualified property manager or legal adviser.