Tenancy law has changed in NSW

The new laws on evictions, rent increases, pets, and ways to pay rent, apply to all tenants who have a tenancy agreement under the Residential Tenancies Act 2010 (NSW) – including both fixed-term and periodic (ongoing) tenancies. 

There are different laws for other living arrangements such as student accommodation, renters without a tenancy agreement, and people living in a boarding house – for more information see Factsheet: Share housing and Factsheet: Boarders and lodgers. 

If you have a tenancy agreement and you live in a Residential Land Lease Community, you are considered a renter for the purposes of the Residential Tenancies Act 2010 (NSW), and these reforms apply to you. For more information see our factsheets for tenants in land lease communities. Other laws for people living in Residential Land Lease Communities are also changing – for more information see the Noticeboard for land lease communities.

If you are unsure about whether the new laws apply to your situation, it is a good idea to get advice from your local Tenants Advice and Advocacy Service.

New eviction rules came into effect on 19 May 2025. ‘No grounds’ evictions are now unlawful. The landlord must have a valid legal reason with evidence, to evict you. This applies to all residential tenancy agreements – both fixed-term and periodic (ongoing) agreements. The changes are summarised below, but for more information, see our fully updated Factsheet: Eviction – landlord ends tenancy.

What were ‘no grounds’ evictions?

Before 19 May 2025,  NSW landlords could end a tenancy for any reason or no reason at all, as long as they provide the required notice period. This was commonly known as a 'no grounds' eviction. See Blog: Time to end the trauma of no grounds evictions.

What are ‘reasonable grounds’ for eviction?

The new legally valid reasons for eviction include:

• Significant renovations/repairs or demolition of the property, that mean you need to move out of the property
• A change in the use of the property, in situations where the property will no longer be used as a rental (e.g. it will be used for a business or a short-term holiday rental) 
• The owner or a ‘relevant person’ from their family will move into the property
• The landlord will sell the property
• Eligibility:
  • The renter is living in affordable or transitional housing and is not eligible for that housing program any more or the program has ended
  • The renter is living in purpose-built student housing and is not enrolled as a student anymore
  • The premises are part of NSW government key worker housing scheme and are needed to house a priority key worker

These reasons existed previously, and are still valid:

• Breach by the tenant (such as non-payment of rent)
• Sale of premises requiring vacant possession
• The agreement is an employee or caretaker agreement, and the employment or caretaker arrangement has ended
• Other extraordinary grounds, including hardship to the landlord, death of tenant, ‘uninhabitability’, and others.

For more information see ‘What reasons can the landlord use to end my tenancy?’ in our updated Factsheet: Eviction – landlord ends tenancy. 

Have notice periods changed?

Previously, ‘no grounds’ eviction provisions only provided 30 days notice at the end of a fixed-term and 90 days notice for periodic (ongoing) tenancies.

The new notice periods for non-breach reasons are:

• The landlord must usually give at least 90 days notice to end a fixed-term agreement of over 6 months, or a periodic agreement. 
• The landlord must usually give at least 60 days notice to end a fixed-term agreement of 6 months or less.
• In the case of actual sale of property, the landlord must give at least 30 days notice to end a fixed-term or periodic agreement
• For employee or caretaker agreement, the termination date in the notice must be 30 days from when the notice is given, or from the notice period for termination in your agreement, whichever is later

It is still the case that if you breach the agreement (e.g. for overdue rent), you can be issued a 14-day termination notice. There are also still circumstances where the landlord/agent can give an immediate notice of termination or seek immediate termination at the NSW Civil and Administrative Tribunal. 

For more information see ‘How much notice must the landlord give me?’ in our updated Factsheet: Eviction – landlord ends tenancy. 

If you have received a termination notice, and you want to leave before the date in the notice, the rules have changed for how you can do this in a fixed term agreement (the rules are the same as before for periodic). If you are in a fixed-term agreement and you have received a termination notice from the landlord/agent  you may leave before the termination date listed on the notice – by giving the landlord a 14 day early exit notice. Different time limits apply. ‘See If I want to leave before the date given by the landlord’ in our updated Factsheet: Eviction – landlord ends tenancy. 

Requirements for a valid termination notice

For a termination notice to be valid, it must:

• be properly sent or delivered to you – by email (to an email address you have specified for documents of that kind); or by post; or by hand (in an addressed envelope to a mailbox at your home or business address); or in person;
• include the address of the property;
• include the date by which the landlord/agent wants vacant possession, with the proper number of days notice;
• have a termination information statement attached that includes:
  • the reason under the law for ending the agreement,
  • particular evidence to show that the reason is genuine (depending on the reason),
  • that it is an offence to give a notice that is not genuine or provide false or misleading evidence,
  • that you have a right to challenge the validity of the termination notice or argue that the notice was issued in a retaliatory manner, and
  • how you can contact NSW Fair Trading.

For more information see ‘Is the termination notice valid?’ in our updated Factsheet: Eviction – landlord ends tenancy. 

What if the reason given is not genuine?

If the NSW Civil and Administrative Tribunal decides that the landlord/agent has given false or misleading information or not provided the specific evidence required, then the reason given for ending the tenancy may be considered not genuine. In this case, your tenancy will continue. It is also an offence for the landlord/agent to give you a termination notice that is not genuine – they could face significant penalties.

If you want to dispute the reason given for eviction as not genuine, you have the right to challenge the validity of the termination notice at the Tribunal. You can do this when you receive the notice, or when the landlord applies to the Tribunal for an eviction order. The time-limit to apply to the Tribunal is 90 days from receipt of the notice. At the Tribunal, evidence is very important.

Since 1 July 2025 the landlord/agent is required to report the reason for the tenancy ending, after the bond is claimed. The reason can then be checked and significant penalties applied if it is not genuine.

If you move out and find out later that the reason was not genuine, you may be able to apply to the Tribunal for compensation or make a complaint to NSW Fair Trading. Make sure you keep written evidence – such as correspondence from the landlord/agent and receipts for your moving costs.

Relet exclusion periods

The landlord/agent is also banned from re-letting the property for a certain period, depending on the reason for ending the tenancy. This is called a relet exclusion period. The relet exclusion periods are: 

• 4 weeks relet exclusion period for significant renovations/repairs 
• 6 months relet exclusion period for proposed sale; landlord/family moving in; or demolition
• 12 months relet exclusion period for the property no longer being used as a rental under the Residential Tenancies Act 

For more information see ‘What if the reason given is not genuine?’ in our fully updated Factsheet: Eviction – landlord ends tenancy.

From 19 May 2025 it became much easier than before to keep a pet at your rental home. However, like before, you still require the landlord’s consent. There is now a structured process with clear rules on when the landlord can ‘refuse’ permission or when the landlord can impose ‘conditions’ with the permission. For full details see our updated Factsheet: Pets. 

The landlord/agent cannot refuse your request without a valid reason, or impose unreasonable conditions that make it impossible to keep your pet.

NSW Fair Trading will have a much more active role in mediating disputes about pets and the NSW Civil and Administrative Tribunal (NCAT) will have the final word on whether you can keep your pet.

The new pet laws apply to all new and existing tenancy agreements, regardless of when you started your tenancy, or what type of agreement you have. The only minor exception is for students in purpose-built student accommodation (PBSA) where these new pet laws do not apply.

If you already had an approved pet before the start of the new laws, you do not have to re-apply again for consent for the same approved animal.

Also, it is now unlawful for a landlord or agent to advertise that pets will not be permitted at the premises. If this has occurred, you should gather evidence and make a complaint to NSW Fair Trading.

Key steps to get permission for a pet at your rental home

1. Start the process of getting consent using the NSW Fair Trading Pet Application Form. Complete Part A of the form and give that to the landlord/agent. If there are co-tenants in the tenancy, all co-tenants will have to jointly apply for the pet consent.
2. Allow 21 days for the landlord/agent to provide you with a written response in Part B of the same Form. If the landlord does not respond within 21 days, your request is taken to have been approved.
3. Review the landlord’s response. If you are not happy with the response, consider if:
   • the refusal is on permitted grounds, or
   • the conditions being imposed are unreasonable.
4. Negotiate with the landlord. Seek clarification on conditions that appear unreasonable or a refusal that appears unlawful.

The landlord/agent can only refuse consent for you to keep a pet using one of the permitted reasons under the Residential Tenancies Act. And they can only impose conditions that are ‘reasonable.’ They cannot set unreasonable conditions.

If you want to challenge the landlord’s response, start by reading our fully updated Factsheet: Pets. Then contact NSW Fair Trading for assistance and/or apply to the Tribunal for a ruling, within 28 days of the refusal or the imposition of unreasonable conditions.

From 31 October 2024 a 12 month cap on rent increases (for most agreements) came into effect. This means that, for most tenancies, the landlord cannot increase the rent:

• within the first year of the start of the tenancy, or
• more than once in any 12 month period

For more information, see our updated Factsheet: Rent increases.

The new limit on rent increases applies to all periodic (ongoing) agreements, and most fixed-term agreements. 

There are a small number of ‘excluded agreements’, which are fixed-term agreements of less than 2 years, signed before 13 December 2024, and with a built-in rent increase. If you are not sure if your agreement is excluded or not, contact your local Tenants Advice and Advocacy Service for advice.

The 12 month limit on rent increases also applies to any new agreement or renewal of a fixed-term agreement for the same premises – as long as the landlord and at least one tenant remains the same.
 

These other changes to tenancy laws are also in effect. 

Fee-free way to pay the rent

From 19 May 2025, the landlord/agent must allow a fee-free and accessible option for paying your rent. This must include bank transfer and the Australian government’s Centrepay, ensuring that you have choices for paying your rent without incurring additional fees.

For more, see our new Factsheet: Rent payment. 

Ban on fees for background checks

Landlords, agents and third party companies are no longer allowed to charge prospective renters for background checks when applying for a rental property. This measure aims to address a recent trend of rental application platforms asking renters to pay a fee for a background check to improve their chances of securing a home.

See also Factsheet: Starting a tenancy

From 23 March 2025, all toilets in rentals must be dual flush, with a minimum 3-star Water Efficiency Labelling and Standards (WELS) rating, to meet legally prescribed water efficiency measures. If the landlord does not meet the water efficiency standards, they cannot pass on water usage charges to the tenant.

For more information, see Factsheet: Utilities – water, energy, internet. 

The NSW government has announced that its portable bonds scheme, ‘Smart Rental Bonds’ is almost here. The scheme encountered some delays but is now set to start in mid-2026. 

Here’s how the scheme will work in practice: 

1. You are getting ready to move out of your old rental home. Your application for a new rental home has been approved. The landlord/agent for the new rental sets up a request for the bond to be paid. 
2. You log into your Rental Bonds Online account and are given the option to pay a new bond or initiate a bond transfer. If you choose transfer you pay a fee of $25. If the total amount of the new bond is more than the total amount of the old bond, you are also required to pay the shortfall at this point.
3. The bond on the new rental property is covered by the NSW government (while the old bond is being assessed against any potential deductions).
4. You sign the new lease and are able to move into your new home.      
5. The previous tenancy ends. If there is no claim on the old bond by the previous landlord, the full amount is transferred and you don’t need to make any further payment to cover the new bond. If the landlord makes a claim on your old bond, and you agree with the claim, the remaining amount is transferred. If you disagree with the landlord’s claim you can take the matter to NCAT to resolve it.
6. Once you and the former landlord agree on a claim, or NCAT makes an order for payment, you are asked to pay any gap back to the government within 28 days. 

The Tenants’ Union welcomes the scheme, which is similar to a version we first proposed in 2018. We recognise that it will ease some of the financial burden on tenants, particularly at the stressful and expensive time of moving home. 

However we again call on the government to scrap the $25 user fee — a charge that will fall hardest on the lower-income renters the scheme is designed to help by avoiding costly loans or other financial stress. 
 

Factsheets:

• Eviction – landlord ends tenancy
• Pets
• Rent increases
• Rent payment
• Sale of rented premises
• Starting a tenancy
• Utilities – water, energy, internet

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Webinars and community eduction:

The Tenants’ Union has been running information sessions and producing legal resources as detail on the changes becomes available. Further information sessions will be advertised via our email newsletters. 

On 20 May 2025, Legal Aid and the Tenants' Union hosted a webinar on Renting and the Law, as part of Law Week 2025. This is also available as a podcast.

On 20 March 2025, the Tenants' Union put on a webinar on the new laws in which CEO Leo Patterson Ross and Solicitor (Aboriginal Support) Lehana de Silva outlined what we knew about the changes and answered questions about what the new laws mean for renters.