Understanding Rent, Bond & Holding Deposits in SA

Renting a home in South Australia brings with it certain rights and obligations, particularly surrounding rent payments, bonds, and holding deposits. As a renter, it's crucial to understand these elements to ensure you're treated fairly and protect your financial interests.

Your Rights Around Rent

Every tenant should know their rights regarding rent payments. In South Australia, rent can only be increased under specific conditions as outlined in the Residential Tenancies Act 1995. Your landlord must provide a written notice of a rent increase at least 60 days in advance, and increases can only occur once every 12 months for fixed-term tenancies.

Challenging a Rent Increase

If you believe a rent increase is unfair, you have the right to challenge it. Begin by contacting your landlord for clarification and negotiation. If unresolved, consider lodging an application with the South Australian Civil and Administrative Tribunal (SACAT).

Bonds and Their Purpose

A rental bond acts as security for the landlord in case of property damages or outstanding rent. In South Australia, the bond amount should not exceed four weeks’ rent for properties with rent less than $250 a week, or six weeks’ rent if more than $250.

It is mandatory for landlords to lodge bonds with Consumer and Business Services (CBS) within two weeks of receipt. Upon vacating, tenants can apply for a bond refund provided there are no outstanding issues.

Disputing Bond Deductions

If you find yourself in disagreement over bond deductions, immediately request a clear statement of the deductions. If both parties cannot agree, consider applying to SACAT for resolution.

Understanding Holding Deposits

Holding deposits are optional payments that secure a property before the lease is signed. In South Australia, this amount is typically equivalent to one week's rent.

Always ensure to receive a receipt for any holding deposit made to safeguard your rights.

Should the lease not proceed, the landlord must refund the holding deposit unless there's a breach of agreement on your part.

1. Is my landlord allowed to keep my holding deposit? A holding deposit should be refunded if the lease doesn't go ahead, except where you breach the agreement.
2. What can I do if my bond is not lodged? Report the situation to Consumer and Business Services who enforce bond lodgement.
3. How often can my rent be increased? Rent increases are permitted once every 12 months for fixed-term agreements, with appropriate notice.

Need Help? Resources for Renters

If you need further assistance, here are some resources available to South Australian renters:

• Consumer and Business Services (CBS) for bond issues and renter rights.
• South Australian Civil and Administrative Tribunal (SACAT) for dispute resolutions.
• Access community legal centers for independent legal advice.

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1. Residential Tenancies Act 1995 (SA)

2. Fair Trading Act 1987 (Cth)

3. Consumer and Business Services - Renting and Letting

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