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Entering a lease (or 'tenancy agreement) in the ACT can involve substantial financial responsibilities.


Make sure you protect your interests by being aware of your rights and duties.


Become an equal partner in the lessor / tenant relationship!




MPORTANT NOTE: The information provided is based on the current state of ACT tenancy law and details may change. While every effort has been made to ensure the information on this site is up-to-date it is not a substitute for specific legal advice on complex matters.

Please take note of when the page was last updated.

If the information here does not apply to your specific situation we suggest you seek expert assistance and advice.

 


TENANCY TIPS:
Tenancy in the ACT

** last updated: 3/4/07 **

Download a .pdf version of this tipsheet

Entering a lease (or ‘tenancy agreement’) in the ACT can involve substantial financial responsibilities.

Make sure you protect your interests by being aware of your rights and responsibilities.

Become an equal partner in the landlord/tenant relationship

What does the law say?

The Residential Tenancies Act 1997 (RTA) regulates residential renting arrangements including private, public and community tenancies in the ACT.

This legislation provides a framework of basic protections for tenants that can't be taken away.

The RTA sets out ‘standard tenancy terms’ (STTs) that apply to all tenancy arrangements, and are generally provided as the lease or tenancy agreement. All tenancy agreements are deemed to contain the STTs, so they will always apply, whether they are provided in the agreement or not.

It is in your interest to understand these protections and rights so that you can enjoy your home, and get proper value for the rent you pay.

Tenancy disputes can be resolved in the Residential Tenancies Tribunal (RTT). Any party to a tenancy agreement – tenant or landlord – can apply to have their matter heard by the RTT.

What is a tenant?

A tenant is a person who has a right of occupation under a residential tenancy agreement (s 6, RTA).  Essentially, a tenant is someone who exchanges rent payments for accommodation. 

Some rental arrangements including in caravans, student accommodation and boarding and lodging situations are treated differently and exempted from the rules that apply for tenants.   If you are not a tenant you will probably still be covered by the RTA as an occupant. For details about these protections see Occupancy Tips. 

This leaflet concerns tenancy arrangements only.

What is a tenancy agreement?

A tenancy agreement is just what it sounds like - it is an agreement for a tenancy between the landlord and the tenant. It is a contract and is legally binding.

A tenancy agreement can be completely in writing, completely oral, or a combination of both.  If you don’t have something in writing you are still protected by the STTs.  However, it is advisable to have a written agreement for your own protection in case of dispute.

You can download a free copy of the standard tenancy agreement via the Tenants’ Union website (www.tenantsact.org.au), or one can be forwarded free of charge from the Tenants’ Union office.  They are usually provided by the landlord or agent.  It is a good idea to know what is in the standard agreement.

What does the tenancy agreement say?

Read your tenancy agreement carefully, noting the length of the tenancy, the rent, and any special conditions. 

Section 9 of the RTA provides that a term of a tenancy agreement is void if it is inconsistent with the RTA. If a term is  inconsistent with the STTs, it will be valid only if endorsed by the RTT. So if your tenancy agreement contains any term that contradicts the STTs, it will not be enforceable UNLESS you and the landlord apply jointly to the RTT for endorsement (the exception is “posting clauses”, these do not require endorsement).

If, at the time of signing the tenancy agreement, the landlord agrees to make repairs or provide a facility, this agreement should be provided in writing.  If this is not provided, write immediately to the landlord or agent confirming the agreement (include details of work as well as the date, and keep a copy).

Never sign anything if you are not sure of its meaning.

ACT Government Renting Information

Before the commencement of the tenancy agreement the agent or landlord must provide (or advise you of how to obtain) a copy of the Office of Fair Trading booklet, “The Renting Book”. This booklet is a general guide to rights and responsibilities of tenants, landlords and real estate agents.  It is available from their website:

http://www.fairtrading.act.gov.au

What are the terms of the agreement?

A tenancy agreement will either be for a fixed term or periodic basis.

A fixed term tenancy agreement states that the tenancy commences on a certain date, continues for a specified period, usually 6 or 12 months, and ends on a certain date.  If the tenant stays on at the end of the fixed term, the tenancy automatically becomes a periodic tenancy, unless the parties sign a new fixed term tenancy agreement.  A periodic tenancy agreement may also exist where the parties create a tenancy but do not specify a term, such as in public housing.

Your landlord cannot compel you to ‘renew’ a tenancy agreement or sign a new tenancy agreement at the end of the fixed term.  Don't be forced or intimidated into signing anything you don’t want to, and remember that just because you don’t do what the landlord wants you to do doesn’t mean s/he can evict you.

Be clear about who is on the tenancy agreement. The financial responsibility for a tenancy usually rests with the tenants named in the tenancy agreement.  This continues during the fixed term even if you move out of the house. If you sign a fixed term tenancy agreement, it can be expensive if you move out early (see Tenancy Tips: Ending a Tenancy and Breaking a Lease).

Check any special conditions carefully. Be sure they are consistent with the standard terms.

Are there any up front charges?

By law, only the bond and rent in advance can be charged on entering a tenancy (RTA s 15, and STT cl 24 ). The amount of bond cannot exceed four week’s rent (cl 16), and the amount of rent in advance cannot exceed one calendar month (cl 28).

Other charges, such as key money, inspection fees, tenancy agreement preparation costs and the like are illegal (RTA s 15 (1) and STT cl 24).

What is a bond?

A bond is a form of security, paid by the tenant to the landlord or their agent, and then lodged at the Office of Rental Bonds.

A landlord does not have to ask a tenant for a bond, but if there is one, it cannot be more than 4 weeks' rent.  It is a once only payment which can't be increased or ‘topped up’. However if the same parties later sign a new agreement and the original bond is refunded, the landlord can ask for a whole new bond.

When you pay a bond, the landlord is obliged by law to give you a receipt.  All tenants contributing to the bond should complete a Bond Lodgement form, which the landlord must send, with the bond, to the Office of Rental Bonds.  The landlord/agent has 2 weeks to do this.

What is a Condition of Premises Report?

The landlord (or agent) is obliged to give you 2 copies of a completed ‘Condition of Premises Report’ within 1 day of moving in (this is also referred to as an ‘inventory’).  You must return an annotated copy of this form within 2 weeks.  The report details the state of repair of the property and lists rooms and fittings. Check the report very carefully and write down details of any marks on the walls, stains on the carpet, faulty equipment, damage etc.  The report will be used as evidence at the end of the tenancy if there are any disputes.  It is best to be thorough ‑ you can even take photographs if necessary.

If the landlord doesn't give you a report to fill in, then do one of your own as soon as possible after moving in, a form is available from the Office of Rental Bonds.

What are my rights as a tenant?

Many of your rights as a tenant are discussed throughout this leaflet, and other Tenancy Tips.  Some general points you should know are that you have the right:

·         To quiet enjoyment of the premises without interference from the landlord or agent;

·         For the premises to be fit to live in;

·         To receive receipts for all payments made to the landlord;

·         To receive 8 weeks notice of any rent increase, and receive no more than one rent increase every 12 months

·         To not be forced to leave the premises except by order of the Residential Tenancy Tribunal, for a valid legal reason, AND (if you are facing eviction) to have the Tribunal consider the hardship the eviction would cause to you or any other person.

What are my responsibilities as a tenant?

You have certain responsibilities as a tenant which are placed on you by legislation and by the tenancy agreement which you sign.  Your responsibilities include:

·         To pay the rent as agreed;

·         To take care of the premises and not cause a nuisance or annoyance to your neighbours;

·         Not to use the premises for an illegal purpose and to observe the valid terms of the tenancy agreement;

·         To allow the landlord or agent reasonable access to the premises in accordance with the standard terms and the RTA;

·         To repair any damage negligently or intentionally caused by you, your guests, pets or persons under your control (eg children,  sub-tenants) or compensate the owner for the loss incurred; and

·         To notify the landlord of the need for repairs or maintenance.

This is only a summary of rights and responsibilities.  If you have a specific problem, seek detailed advice.

How do I get my bond back?

At the end of your tenancy, you should have the landlord, or their agent, do an inspection of the property to complete another Condition Report and to note any changes in the condition of the property. If there is a dispute, then this report and the one completed at the beginning of your tenancy gives you evidence of exactly what damage, if any, there was.

For more detail about bond see, Tenancy Tips: Bond.

What about leaving early or eviction?

See Tenancy Tips: Ending and Tenancy & Breaking a Lease and Eviction in the ACT.  If these don't answer your particular query, then contact TAS for help.

Discrimination

Discrimination in letting out accommodation in the ACT is unlawful under the Discrimination Act 1991 (this Act covers discrimination on the grounds of sex, sexuality, transsexuality, marital status, status as a parent or carer, pregnancy, race, age, religious or political conviction, physical impairment, illness or intellectual disability).

If you believe you are being discriminated against in applying for a tenancy or in your tenancy, you should seek specific advice, you can contact the Human Rights Office on 6207 1178 or the Disability Discrimination Legal Service on 6247 2018.


This is a summary of your rights and responsibilities.
If you have a specific problem, you should seek more detailed advice.
The information provided is based on the current state of tenancy law and details may change.

Tenancy Tips © 2007 Tenants' Advice Service.  The support of the ACT Government through the Dept. Justice & Community Safety is gratefully acknowledged


 
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