Understanding Rent, Bond & Deposits in NSW

Renting a home in New South Wales? It's essential to understand your rights around rent, bond, and holding deposits. Knowing these can empower you and help protect your interests in any rental agreement. Below, we break down critical legal aspects every tenant in NSW should be aware of.

Rent in New South Wales

Rent Increases

In NSW, landlords can increase rent at certain intervals, depending on whether you're on a fixed-term or periodic tenancy. During a fixed-term agreement of less than two years, rent can only be increased if the lease agreement includes a specific term that allows it. For periodic (month-to-month) tenancies, rent can be increased, but the landlord must provide 60 days' written notice.

Always check your rental agreement for rent increase terms and ensure they're notified in writing.

Rental Bonds

Upon starting a rental agreement, tenants usually pay a bond. In NSW, this is typically equivalent to four weeks' rent and must be lodged with the NSW Rental Bonds Online service. The bond serves as security for the landlord against potential damage or unpaid rent.

To lodge your bond, use the Rental Bond Lodgement form. Make sure you receive confirmation of this transaction.

Holding Deposits

A holding deposit may be requested to secure a rental property before signing a lease. This deposit is part of your first rent payment if you decide to proceed. However, if you change your mind, the landlord may keep the deposit.

For more details on handling deposits, please refer to the NSW Fair Trading website.

Understanding Your Rights

The Residential Tenancies Act 2010 is the primary legislation guiding renter rights in NSW. It covers everything from lease agreements to bond disputes and is an invaluable resource for tenants.

If disputes arise with your landlord over a bond or rent issue, the NSW Civil and Administrative Tribunal (NCAT) is where you can lodge a case. They provide a formal setting to resolve tenancy disputes.

FAQs

1. What happens if my landlord doesn't lodge my bond? If your landlord fails to lodge your bond, immediately contact NSW Fair Trading for assistance.
2. How often can my rent be increased? Rent can be increased during a fixed-term agreement only if specified in the lease, or at no less than 60-day notice for periodic tenancies.
3. Can I cancel after paying a holding deposit? You can cancel, but you may forfeit the deposit unless otherwise agreed upon with the landlord.

Need Help? Resources for Renters

• NSW Fair Trading - For information on rental bonds, renter rights, and dispute resolution.
• NCAT - To lodge and resolve tenancy disputes.
• Community Legal Centres NSW - For legal advice and support on tenant issues.

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Key Takeaways:

• Ensure your rental bond is lodged through NSW Rental Bonds Online for security.
• Always receive notification and give consent for rent increases as per terms.
• Use available resources for disputes and tenant support in NSW.

Footnotes

• NSW Fair Trading.
• Commonwealth Legislation.
• NSW Civil and Administrative Tribunal.

Categories

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