A guide to tenants' rights for landlords

Landlord and tenant

The relationship between tenant and landlord should ideally be based on mutual respect.

But, as with most relationships, issues may arise - and this is precisely why every jurisdiction in Australia has clear residential tenancy laws in place.

Simply put, as a landlord, you can’t do whatever you want. You may own the property but your tenants live there and they have rights too.

According to Global Property Guide, Australia’s regulations for landlords and tenants are judged to be neutral, meaning both parties are well protected.

If you're a landlord, this article aims to give you a rundown of the essentials to ensure you say on the right side of the law - and your tenants. 

Tenants' rights: landlord inspections

Landlords are not allowed to just show up at a property unannounced. This constitutes a violation of tenants' privacy.

In all but extreme circumstances, you’ll need to provide written notice to the tenants, informing them of any upcoming routine inspection and observing a minimum notice period.

The minimum notice periods, as well as the frequency of these visits, are different for each state and territory, as follows:

These regulations also apply to a property agent if you've appointed one. Entries can be allowed outside of the stated times if tenants give written consent.

Generally, landlords are allowed greater access to the property in the event that something requires immediate or urgent maintenance, such as a gas leak.

As a landlord, you are allowed to take photos of the property when you arrive, although tenants are within their rights to request that no photos are taken which identify them.

Tenants' rights: repairs and maintenance

As a landlord you have a responsibility to ensure the property is maintained and stays in a liveable condition, requiring a prompt response to requests for repairs by either yourself or the property manager.

Repairs

There’s generally a distinction between urgent repairs and non-urgent ones. Urgent repairs are things that can cause danger or significant inconvenience to a person’s health (like electrical faults or a roof collapsing) or hygiene (like a broken toilet). Other examples include:

• gas leaks
• broken utilities
• flooding
• storm and fire damage
• broken staircases

These urgent repairs usually require a landlord to legally respond and attempt to fix the issue as soon as possible, although time frames differ from state to state.

But completing urgent repairs doesn’t have to be done straight away but there are time frames depending on your state:

If there's no response, renters can pay for repairs themselves (up to a limit) and the landlord must reimburse them.

Non-urgent repairs, on the other hand, are things tenants expect to be in a “reasonable working order” when they move in but aren’t crucial to their short-term wellbeing.

Non-urgent repairs could be things like:

• a broken dishwasher
• a busted air conditioner
• faulty kitchen appliances etc.

Tenants can inform their landlords of these requests for repairs but they can't withhold rent because of them.

In some states, it's within tenants' rights to terminate their lease if repairs aren't attended. (Check the rules for your state or territory below.)

Maintenance

Aspects of the property the tenants are responsible for maintaining will be listed in the tenancy agreement, otherwise the responsibility falls to the landlord. For example, it’s common to see gardening listed in a rental agreement as a tenant’s responsibility.

Tenants are also usually responsible for:

• connecting and paying for utilities (gas and electricity)
• maintaining the lawns, weeding, and pruning
• fixing internal fixtures (such as lightbulbs) if safe or arranging for them to be attended to

Tenants are not responsible for any maintenance that might put them in danger, such as cleaning gutters or fixing faulty wiring.

1. Savings.com.au's two cents

Administering your own rental property is a major job, requiring you to be on call, responsive, have a working knowledge of your state or territory tenancy laws, and know what to do if things go pear-shaped.

That's why around three in four Australian property investors appoint a property manager to look after things for them. For a fee - anywhere between 5-12% depending on the location and services provided - a property manager can handle matters on your behalf.

Yes, it costs money but property managers also have access to tenancy databases that provide rental history information to screen prospective tenants. This can give you a better chance of avoiding problems down the track than if you were to choose tenants based on your assessment.

It can be money well spent and property managers can be worth their weight in gold if things get rocky.  

Tenants' rights: rent increases and decreases

As a landlord, you have the right to set the weekly rent on your property, and the market will determine if anyone is willing to pay your price.

If you decide the current rent your tenants are paying is too low - say, for example, the median weekly rent in that area has stepped up - you are able to increase the rent but not straight away. There are rules and regulations you'll need to observe.

In all jurisdictions, there are limits as to how often a landlord can increase a property's rent. All states, bar the Northern Territory, require landlords to give tenants at least 60 days notice, allowing them time to review the rent increase or find another property to live in.

Often you’ll find rents can’t be increased during the lease period unless this has been added to the tenancy agreement prior to the tenants signing. There are links to each state’s tenancy laws at the bottom of this page so you can check.

If you decide to raise your rent, you should send your tenants a written notice that:

• identifies the new rental amount in clear, unambiguous terms, and
• clearly identify the date from which the new rent comes into effect

How much can you increase your rent by?

Strictly speaking, there’s no limit to how much you can increase the rent you charge, except in the ACT where a percentage cap rule applies for existing tenancies, based on the consumer price index (CPI).

In other jurisdictions, if a tenant deems a rental increase to be 'excessive', they might choose to dispute it through their state’s tribunal service - these are also linked at the bottom of the page. These tribunals will assess the proposed rent increase against the CPI as well as rents for similar properties in the area.

There’s often no clear ruling on what an excessive rent increase is but tribunals may deem rental increases excessive if:

• the condition of the property has deteriorated or not improved
• the rent had only recently been increased
• the market value of the property has not improved
• things that are detrimental to the property (like a high-rise construction going up right in front of it) have appeared
• if no other nearby properties have had rent increases

Can tenants request rent decreases?

Tenants are generally able to request a rent decrease in writing if the quality of the property has substantially deteriorated.

Similar to the list above, a major new construction next door that wasn’t there when the tenants moved in might be such a reason. A significant drop in market rents, broken appliances, and property damage can also be grounds for a rent reduction.

Landlords are obliged to consider their tenants' requests. If tenants have provided enough evidence (photos, notes etc.) that the property is not worth the rent they’re paying and you choose to turn them down, it's worth remembering they're likely to look elsewhere once their lease expires.

Meeting them halfway can be an ideal solution, but do your own research and contact your property agent (if you have one) to establish your position.

Tenants' rights: ending a tenancy

An ideal tenant is someone who wants to stick around long term and pays their rent on time, but this doesn’t always happen.

You generally can’t evict a tenant during a fixed-term lease unless they’ve breached the tenancy agreement and, in most jurisdictions, landlords are required to provide two weeks for the tenant to rectify the breach before moving to terminate the lease.

There is no such thing as a 'no reason/no fault' request to end a tenant's lease. There must be valid grounds.

Notice periods are also required in order to give tenants time to find a new place to live, as follows:

Tenants can apply terminate a lease early provided they have grounds to do so. Such grounds might include:

• significant financial hardship
• the tenant moving away for work
• the premises not being fit for living
• false and misleading statements made by the landlord/agent prior to them moving in
• the landlord refusing to make urgent repairs
• the death of another tenant

Tenants might also have to pay a break fee under certain circumstances. Check your state's relevant tenancy act to see what conditions apply.

Tenancy agreements can also be terminated at any time as long as there is a mutual agreement. But if tenants feel they are being unfairly or unlawfully evicted, they can take their landlord to the relevant tenancy tribunal. This is why it’s important for both parties to keep written and photographic records should any disputes arise.

Tenants' right: pets

Australia is one of the world’s most pet-loving nations with pet ownership rates jumping during the pandemic.

Pets in rental properties can be a contentious issue for many landlords but it's worth noting many states and territories have introduced legislation in recent years making it more difficult for landlords to refuse tenants having pets. But, in most jurisdictions, landlords do have the right to impose conditions.

Our article, The case for - and against - allowing pets in your rental property, provides a comprehensive guide and also runs through the pros and cons of allowing pets in your rental property. 

Here's a state-by-state snapshot of national regulations:

In all cases, landlords cannot refuse their tenants' assistance animals from living in the property. However, the laws don't prevent landlords from choosing non-pet owners as tenants. 

What are tenants' rights when a landlord sells a rental property?

Tenants should be aware that landlords can sell the property at any time. After all, they own it. But this doesn’t mean the tenants have to move out for the property to be put on the market.

Tenancy laws are quite clear stating that as long as the lease is fixed, landlords cannot force tenants to leave. 

If ownership of the property changes, the new owner must honour the existing lease until it ends. The new owner may try to negotiate to end the lease early if they choose. But tenants and landlords must come to a mutual agreement on this. There is no obligation for tenants to leave.

Keep the property in a reasonable condition

When the property is up for sale, the landlord is permitted to hold inspections while tenants are still living in the property. In most states, landlords need to give tenants 14 days' notice before the first viewing. However, subsequent sale inspections may only require 24-48 hours' notice, depending on the state or territory.

Tenants do not have to be home when these inspections take place, but consent is required to publish any photos or videos of tenants' belongings. If this permission isn't obtained, landlords can only use exterior shots of the property in their marketing material.

Can a tenant refuse an open house?

Tenants can refuse open house requests in Queensland. But generally, in other jurisdictions, open home inspections can take place between 8 am and 8 pm but not on Sundays or public holidays.

In New South Wales, tenants can limit such inspections to two per week while in Victoria, tenants can receive monetary compensation from the landlord for each sales inspection.

As a landlord, you’re required to give tenants the required period of notice before holding an open house (often at least 24-48 hours). When holding an open house, sales agents must try to minimise the disruption of the tenants’ peace and wellbeing if they’re in the home.

Living with the landlord: are tenants' rights any different?

Living with tenants in a sharehouse-style arrangement doesn’t change too much in terms of rules, as many of the relevant tenancy laws still apply.

As the landlord, you’d still be responsible for things like repairs and maintenance. While you live in the property and can see what’s going on inside, you still have to comply with the relevant advance notice rules should you wish to have an independent property manager do an inspection.

As a landlord living with a tenant, you should understand the tenant has the same right to live in and enjoy the property that you do.

A good way to avoid any difficulties when living with tenants is to establish a set of rules and obligations at the start, as well as making sure all legal avenues are covered. You may still choose to go through a property manager to help with this.

Landlord tenant dispute: how to avoid conflicts

Finding the right balance is important. Landlords don’t have to put up with unruly tenants who mistreat their properties, but all situations must be handled within regulatory frameworks.

Documentation is important. Both you and your tenants should complete an entry report prior to them moving in. This should help resolve issues regarding property damage and who is responsible for repairs or restitution. 

It's important to ensure you stick to the lease agreement you made with the tenant and ensure all communications are made clearly and politely.

If you do have a tenant who is deliberately making life difficult, or just doesn’t seem to care very much, you have rights too. These are covered in more depth via the links below.

Each state’s Residential Tenancies Act

• NSW
• VIC
• QLD
• WA
• SA
• TAS
• ACT
• NT

Each state’s residential tenancies tribunal

• NSW
• VIC
• QLD
• ACT
• WA
• SA
• TAS
• NT