By Proppi Editorial Team 9 min read

New South Wales Rental Law Changes 2026

A New South Wales-specific rental compliance guide for property owners covering rent increases, no-grounds termination changes, pet requests, payment options, bond survey records, and evidence files.

Part 11 of the Rental Rule Changes Watch 2026 series.

New South Wales rental compliance in 2026 is a state-specific evidence problem. New South Wales Fair Trading says recent changes limit rent increases to once per year, require reasons for ending leases, make pet requests harder to refuse, restrict start-of-tenancy fees, require fee-free bank transfer rent payment, and add Centrepay from 2 March 2026. Property owners should keep the notice, form, calculation, supporting document, and tenant-response evidence behind each step.

New South Wales tenancy compliance is not the same as Australian federal tax compliance.

The Australian Taxation Office sets national rental tax expectations. New South Wales Fair Trading and New South Wales tenancy law set the practical rental rules for notices, pets, payments, and termination evidence in New South Wales.

This guide is for New South Wales, Australia. It does not describe tenancy rules for Queensland, Victoria, South Australia, Western Australia, Tasmania, the Australian Capital Territory, or the Northern Territory.

The Reform Timeline To Keep In The File

New South Wales Fair Trading says the New South Wales Parliament passed rental-law changes on 24 October 2024. Some changes started on 31 October 2024, most started on 19 May 2025, and the final Centrepay change started on 2 March 2026.

For a property owner, the dates matter because each date changes the evidence file.

Keep a simple timeline for each property:

  • 31 October 2024: rent increase limits and start-of-tenancy fee changes
  • 19 May 2025: reasons required to end a lease, pet rules, and bank transfer rent payment
  • 20 June 2025: extra supporting-document requirements for significant renovations or repairs terminations
  • 1 July 2025: Rental Bonds Online end-of-tenancy survey records
  • 2 March 2026: Centrepay rent payment option

Key Takeaway

New South Wales rental reform is easiest to manage as a timeline. Store every rent, pet, payment, termination, and bond record against the date the rule applied to that tenancy.

Rent Increases: Once Per Year And 60 Days Written Notice

New South Wales Fair Trading says rent increases can only be made once per year for all lease types from 31 October 2024.

The New South Wales Government rent-increase guidance also says a landlord or agent must give at least 60 days written notice before the increase takes effect. The notice must state:

  • the proposed new amount of rent
  • the date from which the increased rent is payable
  • the tenant details and property address
  • the signature and date

The file should include:

  • the current rent
  • the proposed rent
  • the date of the last rent increase
  • the written notice
  • service evidence
  • the calculation or market evidence used internally
  • any tenant response or challenge

For fixed-term agreements that started before 13 December 2024 and were for less than two years, Fair Trading notes different rules can apply if the increase was written into the agreement with the amount or exact calculation method. Do not rely on a vague lease clause such as “market rent” without checking the source rule.

Ending A Tenancy: Reasons, Supporting Documents, And Re-Letting Restrictions

New South Wales Fair Trading says landlords now need a reason to end a tenancy for both periodic leases and leases at the end of the fixed term.

The reform overview lists reasons such as tenant breach, non-payment, sale with vacant possession, significant renovations or repairs, demolition, no longer using the property as a rental home, landlord or family occupation, employment-related housing ending, eligibility ending, purpose-built student accommodation, and key worker housing needs.

The practical evidence file should include:

  • the termination notice
  • the information statement given with the notice
  • the reason relied on
  • supporting documents where required
  • service evidence
  • tenant response
  • property manager advice
  • any tribunal or dispute records

New South Wales Fair Trading also says heavy penalties can apply if a termination notice is given on a non-genuine ground or with false or misleading supporting documentation.

If the tenancy ends for certain reasons, there may also be a re-letting restriction. Store the reason and restriction period in the property file so a future leasing decision does not accidentally contradict the termination ground.

Pets: 21 Days, Specific Refusal Grounds, And No Extra Bond

New South Wales changed pet rules from 19 May 2025.

The New South Wales Government pets guidance says tenants must get consent to keep an animal, except an assistance animal. Tenants can apply using the standard pet application form, and the landlord must respond within 21 days.

If no response is given within 21 days after the application is given to the landlord, the pet is automatically approved without conditions.

Keep:

  • the pet application form
  • the date received
  • tenant and pet details
  • strata approval records, if relevant
  • written consent or refusal
  • reasons for refusal, if refusing
  • any reasonable conditions
  • tenant communications
  • New South Wales Civil and Administrative Tribunal records, if disputed

New South Wales Fair Trading says a landlord can only refuse consent for specific reasons, and cannot ask the tenant to increase the bond, increase the rent, or provide another form of security as a condition for allowing the pet.

That makes pet requests a form-management problem. A missed response can become approval.

Fees And Rent Payment Options

New South Wales Fair Trading says changes that started on 31 October 2024 clarify that a tenant or prospective tenant cannot be charged extra costs while searching, applying for, or starting a tenancy. This includes fees for background checks and preparing a tenancy agreement.

From 19 May 2025, landlords and agents need to offer rent payment by bank transfer without additional fees.

From 2 March 2026, landlords and agents must also offer Centrepay and support payment by Centrepay if the tenant chooses it.

Keep:

  • advertised payment options
  • payment instructions given to the tenant
  • bank transfer details offered
  • Centrepay communications, if relevant
  • any tenant-selected payment option
  • fee and charge records

This is separate from Australian rental tax records. Payment records can support both tenancy compliance and tax reporting, but the compliance rule is New South Wales-specific.

Bond Survey And End-Of-Tenancy Records

New South Wales Fair Trading says that from 1 July 2025, landlords or their agents must complete a mandatory survey in Rental Bonds Online when claiming or releasing a rental bond. If the landlord ended the tenancy, they must give the reason. Landlords and agents have 14 days from the initial bond claim to complete the survey.

Keep:

  • bond lodgement evidence
  • bond claim or release records
  • Rental Bonds Online survey confirmation
  • the recorded reason the tenancy ended
  • condition reports
  • entry and exit photos
  • invoices for claimed work
  • tenant communications

End-of-tenancy evidence now needs to connect the bond action with the reason the tenancy ended.

How Proppi Would Structure A New South Wales Compliance Folder

For each New South Wales rental property, use folders such as:

  1. tenancy agreement
  2. rent increase notices
  3. rent calculation evidence
  4. termination notices
  5. termination supporting documents
  6. pet applications and responses
  7. rent payment options
  8. fee and charge records
  9. bond records and Rental Bonds Online survey evidence
  10. condition reports, repairs, and disputes

That structure keeps New South Wales tenancy evidence separate from Australian federal tax evidence.

For the tax side, see Australia Rental Tax Changes 2026: What the ATO Is Watching.

Common 2026 Mistakes

The most avoidable mistakes are process mistakes:

  • treating rent increases as a lease-renewal reset when the tenant and property continue
  • failing to keep the 60-day rent increase notice and service evidence
  • issuing a termination notice without the required reason and supporting documents
  • forgetting the re-letting restriction after some termination grounds
  • missing the 21-day pet response period
  • asking for extra bond, extra rent, or another security for a pet
  • not offering fee-free bank transfer or Centrepay where required
  • losing the Rental Bonds Online survey evidence after the tenancy ends

Source Note

This article is specific to New South Wales, Australia. It relies on New South Wales Fair Trading guidance, New South Wales Government rent and pet guidance, the Residential Tenancies Amendment Act 2024, and the Residential Tenancies Amendment Regulation 2025. It does not describe tenancy rules in other Australian states or territories.

Rental Rule Changes Watch 2026

Published guides in this series:

Keep Reading

The Short Version

  1. New South Wales rental compliance is state-specific.
  2. Rent increases are limited to once per year, with at least 60 days written notice.
  3. Landlords need a reason to end a lease and may need supporting documents.
  4. Pet requests require a written response within 21 days, and extra pet bond or rent cannot be used as a condition.
  5. Keep New South Wales tenancy evidence separate from Australian federal tax records.

Last reviewed: May 2026. State and territory tenancy laws, forms, notice periods, dispute pathways, and bond procedures are subject to change. The figures and rules above reflect publicly available guidance current at the date of publication — confirm the current rules with the relevant state or territory tenancy authority before acting on any obligation. This guide is general information, not legal advice — consult a qualified legal adviser for advice on your specific circumstances.

Suggested citation

Proppi Editorial Team, "New South Wales Rental Law Changes 2026", Proppi, 2026-05-02.

Sources used

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