Residential Tenancy Bill Passed - What Are The New Laws?

On the 17^th October 2018, NSW Parliament passed a series of proposed recommendations to the Residential Tenancies Act 2010. According to the Minister for Innovation and Better Regulation, Matt Kean, the reforms in the Residential Tenancies Amendment (Review) Bill 2018 were “common-sense changes” and were designed to try and “get the balance right” between both landlord and tenant; to increase protection for renters while ensuring landlords can manage their properties effectively.

The key changes include:

A Minimum Standard

Residential premises will now have to meet seven minimum standards before a tenant can move in. Every rented property must have:

1. Adequate lighting – natural or artificial – in each room (this excludes any room intended for storage or a garage).
2. Adequate ventilation.
3. Adequate plumbing and drainage.
4. A water supply service or infrastructure connected (such as a water bore or water tank) that can supply hot and cold water for the purpose of drinking and cleaning.
5. Bathroom facility, including a toilet and washing appliances, which allows privacy for the user.
6. Be structurally sound. The property must not be subject to significant dampness in areas such as the floors, ceilings, walls and supporting structure, and must not be liable to collapse due to defects such as rotting.
7. Electricity or gas with adequate outlets for lighting, heating and appliances.

Rectification orders

NSW Fair Trading will be able to issue rectification orders as well as resolve landlord and tenant disputes over issues such as repairs, maintenance and property damage.

Rent Increases

Landlords throughout New South Wales will now be limited to increasing their rent prices to once every 12 months for periodic leases.

Termination notices from domestic violence victims

Under the new law, tenants who are victims of domestic violence can terminate their tenancy immediately without incurring a penalty. This has been put in place to help protect those in vulnerable positions.

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