Qld rental law changes: what you need to know as a landlord
If you are a landlord, or looking to become a landlord soon, it’s important to keep yourself up to date with changing property laws.
New rental laws passed by Queensland Parliament on 23 May 2024 are now in effect under the Residential Tenancies and Rooming Accommodation and Other Legislation Amendment Act 2024. This act covers general tenancies, rooming accommodation and moveable dwelling tenancies for Queensland, and amends the Residential Tenancies and Rooming Accommodation Act 2008. Penalties may apply in situations where the legislation is not followed, so it pays to make sure your property and the associated bond and paperwork are compliant with the law.
Rent Increases
One significant change to rental laws in Queensland relates to increasing rent for your tenants. From 6 June 2024, rent can only be increased 12 months after the previous rent increase became payable for the premises.
The 12 month minimum still applies even if there is a change of rental property manager, owner or tenant. From 6 June 2024, property managers and/or owners are required to provide the date of the last rent increase in a general tenancy and rooming accommodation agreement. There is no specific exemption if the property is purchased within 12 months of a new tenancy starting, and property managers/owners do not have the information of the date of the last rent increase. An exemption could be granted, however, if this occurs within 12 months of the new law change commencing.
Rent can only be increased once in a 12 month period. If an owner intends to increase the rent, at least two months notice for general tenancy and four weeks written notice for rooming accommodation must be given.
Rent bidding
Under the new law changes, rent bidding or accepting rent offers higher than the advertised price, are banned. A landlord, owner or property manager found to be soliciting, inviting, or accepting offers of rent higher than advertised can be prosecuted.
Negotiations around the amount of rent in advance a tenant pays at the start or their tenancy are also banned. For a fixed term tenancy agreement, a landlord, owner or property manager may not ask for more than one month’s rent in advance at the start of their tenancy. For rooming accommodation and moveable dwellings, a landlord, owner or property manager may not ask for more than two weeks rent in advance.
Given these new restrictions to rent increases, it makes sense to keep up to date on the new regulations. Book a complementary rental appraisal with us, to ensure you are legally maximising your investment.
Penalties for violations
Compliance with the Residential Tenancies and Rooming Accomodation Act 2008 is monitored by the RTA. The RTA takes “effective and proportional enforcement actions in the public interest to protect Queenslanders from repeat, opportunistic and serious non-compliant behaviours”
There are three main steps followed by the RTA to ensure compliance with rental laws. The action taken by the RTA will depend on the seriousness of the breach.
- For minor breaches, a Notice of Non-Compliance may be issued. This notice outlines the recipient’s legislative requirements under the Act and states that the outcome for any future breaches of the same section of the Act may result in further, more serious enforcement actions. It may also mean ongoing investigation and compliance monitoring.
- Penalty Infringement Notices (PIN) are issued by the RTA when there is a breach of the Act that is not suitable for prosecution and includes one or multiple breaches relating to one or multiple tenancies. It is usually raised against an individual or a corporation and usually has a fine attached to it. The amount of which will vary depending on the seriousness of the breach.
- The final and most serious step taken by the RTA is prosecution. You can read about some specific cases involving landlords and tenants violations of the different rental laws, the prosecution process and penalties here.
At McGrath Aspley, we understand that being a landlord and staying abreast of legislation can be daunting. We have developed a comprehensive guide to renting out your property to help you navigate the rules and regulations. You can find our helpful guide here.
Many owners choose the support of a property manager, to ensure that their rental property is compliant at all times, maximising their investment and taking the hassle and paperwork out of the process. At McGrath Aspley we have a team of experienced, knowledgeable property managers – please check out our team here, or contact us to discuss your property management needs
References:
Sources, links and date of access. Scientific references only required for large medical device or if specifically requested.
Ongoing Rental Law Changes. Accessed Tuesday 13th August 2024 from https://www.rta.qld.gov.au/forms-resources/rental-law-changes/ongoing-rental-law-changes
Overview-RTA Compliance. Accessed Tuesday 13th August 2024 from https://www.rta.qld.gov.au/compliance-enforcement/overview-rta-compliance-and-enforcement
Prosecutions. Accessed Tuesday 13th August 2024 from
https://www.rta.qld.gov.au/compliance-enforcement/outcomes-from-an-rta-investigation/prosecutions