NSW Rental Laws Take Effect: No-Grounds Evictions Ended, Pet Rules Eased
Millions of renters across New South Wales (NSW) will gain stronger protections under new reforms that end no-grounds evictions, and force landlords to accept pets.
Landlords will now be required to provide a valid reason to terminate a lease—such as a property sale, major renovations, the landlord moving in, or a breach by the tenant.
Termination notices must include evidence, with penalties applying if landlords provide false or misleading reasons.
'Renters have been the forgotten people in NSW for too long and that ends now,' said Premier Chris Minns as the Residential Tenancies Amendment Act 2024, came into effect.
'This brings the rental market into the 21st century. These are sensible reforms. With more than 2 million renters in NSW and over 600,000 investors, we have taken the time to get these major changes right.'
Chris Minns, premier of New South Wales attending an Australia Day event in Sydney, Australia on Jan. 26, 2025.Longer Notice Periods
For fixed-term leases, the notice period for ending a tenancy will increase to 60 days for leases six months or shorter, and 90 days for those longer than six months.
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Periodic agreements remain under existing notice rules. The aim is to give tenants more time to find new housing in a tight and expensive rental market.
Tenants' Union CEO Leo Patterson Ross called the changes historic.
'The end to no-grounds evictions is the single most significant change to residential tenancy law. Millions of renters have felt the impact—whether it was hesitating to ask for repairs or having to find a new home without justification.'
NSW Greens housing spokesperson Jenny Leong credited activists for pushing the government to act.
'These changes start to correct the power imbalance between landlords and renters. Credit belongs to all the organisations and activists who've dragged the government kicking and screaming to these reforms.'
Pets Now Allowed With Conditions
The laws also make it easier for tenants to have pets.
Landlords can no longer impose blanket bans and may only refuse a pet request for limited, specific reasons, such as property suitability, risk of damage, or legal restrictions.
If landlords don't respond within 21 days, the request is automatically approved.
'Renters shouldn't have to choose between a place to live and keeping their companion animal,' said Housing Minister Rose Jackson.
'These changes put common sense into the rental system and end the blanket ban on pets.'
Landlords must now also offer fee-free rent payment methods such as direct bank transfers.
NSW joins Victoria, South Australia and the ACT in banning no-grounds evictions entirely, while Queensland and Tasmania restrict them only for fixed-term leases.
Property Sector Warns Landlords Will Need to Adapt
Real estate professionals say the new legal framework in NSW will require landlords to be more cautious and informed when ending leases.
'For landlords, ultimately this change will require careful planning and an acute understanding of what constitutes legitimate grounds for ending a tenancy to avoid potential penalties and disputes. So, it's natural to feel overwhelmed or concerned by these developments,' said Shead, a NSW-based property agency.
The Real Estate Institute of NSW (REINSW) previously warned such legislation could erode landlords' rights and incentives, meaning less homes available for rent, citing other jurisdictions.
New Zealand's 2021 ban on 'no grounds' evictions drastically reduced rental supply, prompting the introduction of a bill to restore landlords' rights to reclaim possession of their properties.
'The removal of landlords' rights under the guise of populist rental reforms has had a clear negative impact on renters,' said REINSW CEO Tim McKibbin in a statement.
He said the best solution for the rental crisis was to increase supply.
'This means new development, eradicating planning delays, and making it attractive to investors to invest in residential property.'
AAP contributed to the article.
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