Recently, in several locations around Australia, there have been changes to the Bond requirements when entering into a tenancy agreement for a rental property.
Ensuring tenants/renters have a clear understanding of their rights and responsibilities is at the heart of the Tenancy Skills Institute’s philosophy.
So, we’ve created an overview of each state and territory’s current Bond requirements, ensuring you have the information you need relevant to your location at the ready.
What is a Bond?
- A rental bond is money paid by the tenant/renter at the start of a tenancy agreement. It serves as financial protection for the landlord (lessor/rental provider) in the event the tenant/renter breaches the terms of the tenancy agreement.
Queensland
- From 30 September 2024, a rental Bond cannot exceed four (4) weeks’ rent. Tenants should only pay the Bond after securing the tenancy and signing the tenancy agreement.
- The tenant(s), the property manager or the property owner can lodge the requested Bond money with the Residential Tenancies Authority (RTA) via the RTA Bond Lodgement web service.The RTA is a government body of the Queensland Government.
Visit the link below for more information:
https://www.rta.qld.gov.au/starting-a-tenancy/rental-bond
Victoria
- If your rent is $900 a week or less, the maximum Bond amount is one (1) month’s rent. This applies whether you have a pet or not.
- Rental providers or their property manager must lodge the Bond with the Residential Tenancies Bond Authority (RTBA) within ten (10) days of receiving the Bond.The RTBA is an independent government body (Victorian Government) that holds Bonds in trust during rental agreements.
Visit the link below for more information: https://www.consumer.vic.gov.au/housing/renting/rent-bond-bills-and-condition-reports/bond/bond-payments-and-amounts
New South Wales
- A rental Bond cannot exceed four (4) weeks’ rent. The most Bond you can be required to pay is an amount equal to four (4) weeks’ rent (that is, the amount of rent you agreed to pay at the start of the tenancy).
- Your property manager or self-managing landlord must be registered with Rental Bonds Online and offer the service to you as the first option to lodge your rental Bond.Fair Trading NSW (NSW Government) manages Rental Bonds.
Visit the link below for more information: https://www.nsw.gov.au/housing-and-construction/renting-a-place-to-live/residential-rental-bonds/rental-bonds-online-for-tenants
Australian Capital Territory
- A Bond can be any amount up to a maximum of four (4) weeks’ rent.
- Landlords must lodge the Bond with The Rental Bonds Office and provide the tenant with a receipt for the Bond.ACT Revenue Office (ACT Government) manages The Rental Bonds Office.
Visit the link below for more information:
https://www.revenue.act.gov.au/rental-bonds
Tasmania
- A Bond cannot be more than four (4) weeks, and it cannot be increased during the tenancy.
- It is illegal for property owners to receive a bond from a tenant and for a tenant to pay their Bond to a property owner.Once the property manager/property owner lodges the Bond details via MyBond, the tenant will receive a notification from MyBond asking them to pay the Bond amount.Consumer, Building and Occupational Services (Tasmanian Government) manages MyBond.
Visit the link below for more information:
https://www.cbos.tas.gov.au/topics/housing/renting/bonds/bond-lodgement-and-paying-a-bond-contribution
Northern Territory
- The maximum Bond that a landlord can require from a tenant(s) is the equivalent of four (4) weeks’ rent.
- When the tenant(s) pay a Bond to the landlord, the amount is held in trust by the landlord for the tenant(s).The landlord must pay the Bond into a bank account, and the Bond remains in this account for the period of the tenancy. The landlord must give the tenant(s) a receipt for payment of the Bond.
To find out what the receipt must include and other information, visit the link below:
https://nt.gov.au/property/private-renters/find-out-about-rental-costs/security-deposits-bonds
South Australia
- If your rent is $800 a week or less, the maximum rental Bond amount is the equivalent of four (4) weeks’ rent. If your rent is more than $800, the maximum rental Bond is the equivalent of six (6) weeks’ rent.
- Property managers must use the Residential Bonds Online (RBO) to lodge the Bond. Landlords, tenants and park residents (e.g. if you live in a residential park or caravan park as your primary residence).Consumer and Business Services (South Australian Government) manages the RBO.
Visit the link below for more information:
Western Australia
- If your rent is $1,200 a week or less, the maximum Bond amount is four (4) weeks’ rent. This applies whether you have a pet or not. In addition, a $260 ‘pet Bond’ may be charged as well. Both Bonds need to be lodged and identified as such when lodged.
- It is the landlord’s responsibility to lodge the tenant(s)’s rental security Bond with Bonds Administration as soon as possible and no later than (fourteen) 14 days after the tenant pays.Department of Commerce (Western Australian Government) manages Bonds Administration.
Visit the link below for more information: https://www.consumerprotection.wa.gov.au/rental-bonds
Keen to learn more about renter rights and responsibilities in your state or territory?
Why not undertake our Skillsets for Successful Tenancies self-paced online course. All content is localised to your state and territory, covering everything you need to know to strengthen your next rental application and what to do once you get the keys to the rental property!
Affordably priced at $39, upon completion, you will receive a Certificate of Attainment recognised by thousands of property managers throughout Australia.
Start your learning journey for rental success here.