Where you live in Australia plays an important role in what you’ll be charged for your rental bond. Here’s what you need to know.
A rental bond is requested by landlords, or property managers on behalf of a landlord, from a tenant as financial protection should the tenant breach their lease agreement or incur unplanned costs for the owner when exiting the property, such as additional cleaning.
Here are some important facts about rental bonds
- Rental Bonds are normally up to 4 weeks rent in most states. In VIC, QLD, SA and WA there are some variations to this. See table below for details.
- The bond payment is required at the start of the tenancy.
- The bond must be lodged with the state bond authority (except in NT).
- Agents do not receive any commission for the rental bond.
- A pet bond may also be charged if you live in WA.
- At the end of your tenancy a property inspection report will be conducted and costs for any repairs required (other than those associated with fair wear and tear) may be deducted from the bond.
- If you haven’t cleaned the premises to a reasonable standard the costs of cleaning may also be deducted.
- Costs for replacing locks or other security devices if you have changed these without the landlord’s consent may also be recouped from the rental bond
- You will be required to complete a bond claim form to have your bond returned from the Bond Authority.
- Any unpaid rent and other costs, such as water will also be deducted from the bond, should there be enough bond remaining after other costs have been deducted.
- Outstanding rent is a debt you owe, and the landlord or property manager may seek a tribunal judgment against you to recover this. This could also result in a default being lodged on your rental history on the National Tenancy Database or other tenancy databases.
How much bond can you be charged?
|NSW||Maximum 4 weeks' rent|
|VIC||Maximum 4 weeks rent if the weekly rent is $350 or less. For weekly rent of more than $350 (short-term lease) or $760 (long-term lease) the amount of bond can be more than 4 weeks rent and should be negotiated between the property manager/owner and tenant.|
|QLD||Maximum 4 weeks rent if the rent per week is less than $700. For rent $700 or more there is no maximum amount of bond - the amount of bond should be negotiated between the property manager/owner and tenant.|
|WA||Maximum 4 weeks rent, unless the weekly rent is $1,200 or higher, in which case the bond amount is negotiated between the property manager/owner and tenant. A pet bond can be requested if you have a pet, but must be no more than $260, unless the weekly rent is more $1200 per week. Tenants cant be charged a pet bond for an assistance dog.|
|SA||Maximum 4 weeks rent if weekly rent is $250 or less. Up to 6 weeks rent if weekly rent is more the $250.|
|TAS||Maximum 4 weeks rent|
|NT||Maximum 4 weeks rent|
|ACT||Maximum 4 weeks rent|
Are you moving between rentals? Haven’t got your bond back?
You would be required to pay the bond on your new property even if you haven’t received a refund of your bond from your previous properties.
RentBond can assist you with a rental bond loan for up to $10,000. When you get your bond back from your other property you vacated you can continue ‘on the payment plan or pay-off your RentBond without any penalty fee.
For more information about RentBond, call us on 1300 736 810 or email email@example.com.