Major rental law changes in NSW are rolling out in 2025, aimed at improving transparency, tenant protections, and fairness in the rental market. These reforms impact lease terminations, rent increases, pet ownership, re-letting restrictions, and rent payment options.

Whether you're a tenant, landlord, or property manager, it's essential to understand what’s changing—and when.

Key NSW Tenancy Law Changes Coming from 1 July 2025

1.    No More ‘No-Grounds’ Evictions in NSW

One of the biggest changes is the end of “no-grounds” tenancy terminations. Landlords will now be required to provide a valid reason when ending a lease, including both fixed-term and periodic agreements.

• Supporting documents may be required
• Non-genuine terminations may incur penalties
• Landlords must give tenants a Termination Information Statement
• Data on reasons for tenancy termination will be collected via Rental Bonds Online

2.    New Notice Periods for Ending a Lease

NSW tenancy reforms increase the minimum notice period landlords must give:

• 60 days’ notice for leases 6 months or shorter
• 90 days’ notice for leases longer than 6 months

This gives renters more time to find alternative housing.

3.    Restrictions on Re-letting Properties

If a landlord ends a tenancy for a reason like selling or renovating, they may face a mandatory wait period before re-letting the property.

• Re-letting earlier is only allowed if NSW Fair Trading approves a change in the landlord’s circumstances
• Landlords must provide evidence to support their application

4.    Pet Ownership Rights for Renters

New rules make it easier for tenants to have pets in rental properties:

• Tenants can apply to keep a pet using a standard form (available from 19 May 2025)
• Landlords can only refuse for specific reasons
• If no response is given within 21 days, the pet is automatically approved
• No-pets allowed statements in ads will be banned

This change supports more pet-friendly rental policies in NSW.

5.    Fee-Free Rent Payment Options

Tenants must be offered at least one fee-free, electronic rent payment method:

• Options include bank transfer and BPay
• Tenants cannot be required to use a specific service provider
• Centrepay must also be offered later in 2025 (only if the tenant requests it)

These updates aim to reduce unnecessary costs for renters.

NSW Rental Law Changes Already in Effect (Since 31 October 2024)

Some changes are already live and impacting current leases:

1.     No Pre-Tenancy Fees

Landlords and agents can no longer charge fees for:

• Background checks
• Identity verification
• Lease agreement preparation

This protects renters from upfront costs when applying for a property.

2.    Rent Increases Limited to Once Per Year

• Rent can only be increased once every 12 months, no matter the lease type
• Applies to new, renewed, or rolling leases
• Exception: Changes to social housing rent rebates

These NSW tenancy law updates reflect a growing push for fairer rental agreements, greater tenant security, and clear landlord responsibilities. Landlords, agents, and renters should ensure they're informed and compliant before 1 July 2025.

Need More Information?

For more information on all NSW rental reforms and how it impacts you, contact the BTR Property Management Team, who are happy to discuss how the changes impact you.

‍