Stage 2 Rental Law Reforms
The Stage 2 rental law reforms will commence in two parts.
The first part of the legislative changes commenced on 6 June 2024. These changes include the following:
- A lessor or property manager can no longer accept an offer from a tenant to pay rent above the advertised price.
- When a residential tenancy is advertised or offered, a lessor or property manager can no longer accept an offer from a tenant to pay rent in advance if the amount is more than:
- for a periodic tenancy, rooming accommodation or moveable dwelling, 2 weeks’ rent; or
- for a general tenancy, 1 months’ rent.
- A lessor or property manager can, however, accept rent in advance greater than the statutory limit during a tenancy if offered by the tenant. A lessor or property manager cannot solicit or invite rent in advance greater than the statutory limit during a tenancy.
- The rent increase frequency limit will attach to the property instead of the tenancy. This means that rent must not be increased within 12 months after the date the rent was last increased for the property. This requirement applies regardless of whether there is a change of tenant or lessor in the 12-month period.
- The rent increase provisions will apply retrospectively. A rent increase must be calculated from the date of the last rent increase for the property, even if this date occurred before the laws commenced.
- The tenancy agreement will need to state the date rent was last increased for the property. A tenant will be able to request evidence of the last rent increase for the property, including a copy of the last tenant’s tenancy agreement or rental ledger (redacted). Transitional requirements apply for the sale of property within the first 12 months after the laws commence.
- If a lessor believes they would be caused undue hardship because they are not able to increase rent within 12 months of the last rent increase, the lessor can make an application to QCAT for an order. QCAT can make an order to increase rent by a stated amount.
- A new entry ground will be introduced for rooming accommodation for the installation, maintenance or replacement of smoke alarms.
- The confidentiality requirements under the domestic and family violence provisions will be expanded.
- New ‘head of power’ provisions will allow the Government to create a regulation in future to establish a portable bond scheme, code of conduct and a process for allowing modifications in residential tenancies for accessibility, safety and security.