Rental Changes in NSW

Changes to rental laws: What it means for you.

New changes to rental laws in NSW have increased rights for renters and those looking to rent across the state.

What are the changes and what is their impact on both renters and landlords?

Ending no-grounds evictions

The biggest change coming into effect is an end to ‘no-grounds’ evictions. This means a landlord will not be able to evict their tenants without one of the specific legislated circumstances. These include moving into the property yourself, selling the property, or serious renovations. Landlords are now also required to give proof of whatever reason they are relying on for the eviction.

The notice periods have also changed and are:

- 90 days to end a fixed-term agreement of over 6 months;

- 60 days to end a fixed-term agreement of under 6 months; or

- If the property is being sold, 30 days to end a fixed-term or periodic agreement.

If certain of these reasons are relied upon, there are time restrictions for when the property is allowed back on the rental market.

12-month limit on rental increases

Starting 31 October 2024, a 12-month limit on rental increases came into effect meaning a landlord cannot increase the rent more than once in any 12-month period. This also applies to new agreements or renewals where the landlord and at least one tenant remains the same.

Pets

The changes also make it much easier to rent with pets. Landlord consent is still required, however there are now much more set reasons for why a landlord can refuse a pet. Further, a landlord cannot impose unreasonable conditions on you keeping your pet. As such, a blanket ban on pets is not permissible.

Banning additional fees

After a recent spate of tenants being requested to pay for background checks to assist in their rental application, the changed legislation bans this practice.

Additionally, all renters must be provided with a fee-free and accessible way of paying their rent. These options must include bank transfers and using the Australian Government’s Centrepay.

Toilet ratings

Starting 23 March 2025, landlords must ensure that any toilets installed in their rental properties meet a minimum 3-start Water Efficiency Labelling and Standards rating. If these standards are not met, water usage charges are not able to be passed onto the tenant.

What does this mean for you?

This is good news for renters and will help to minimise unexpected and unfair evictions and the types of ancillary costs that are sometimes associated with renting.

For landlords, this will limit their ability to quickly evict tenants and will require them to maintain certain standards within their rental properties.

As more and more people are becoming renters, ensuring that you remain aware of your rights as both a tenant and landlord is critical.

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