Rent Increase - How the Rent may be Increased

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The landlord/agent may increase the rent provided that:

  • they give you correct written notice of the increase
  • a rent increase is permitted under your residential tenancy agreement.

If you are a tenant of a social housing provider, see ‘Social housing tenancies’.

How often the rent may be increased

This depends on the type of tenancy agreement you have – see the table below. A fixed-term agreement is for a specified period (e.g. 6 months). A periodic agreement is one where the fixed term has expired or no fixed term is specified.

 

Fixed-term agreements of 2 years or less

The landlord/agent cannot increase the rent if you have a fixed-term tenancy agreement of 2 years or less – unless your agreement sets out the amount of the increase or the method of calculating it.

Correct notice of a rent increase

The landlord/agent must give you 60 days written notice of a rent increase. The notice must specify:

  • the increased rent
  • the day from which the increased rent applies.

If a notice is posted to you, an extra 4 working days must be allowed for delivery. If you are not given correct notice, you do not have to pay the increased rent – the landlord/agent must issue another notice if they want to increase the rent. Even if details of the rent increase are set out in your residential tenancy agreement, you must still get a rent-increase notice before the rent can be increased.

Rent increase – long-term fixed-term agreement

You can give a 21-day termination notice. You do not have to pay the landlord compensation or other additional amount for ending the agreement early.

The termination notice
The termination notice must be in writing, signed by you and set out:

  • the premises concerned
  • the day by which you will give the landlord vacant possession
  • the ground (if any) for the notice.

You must properly ‘serve’ the notice on the landlord/agent in person, by post, by fax, or hand-delivered in an addressed envelope to a mailbox at their residential or business address. If serving by post, you must allow an extra 4 working days for delivery. Keep a copy of the notice for yourself and record how and when you sent or delivered it.

Withdrawal of termination notice
You may withdraw a termination notice at any time with the landlord’s consent. You may give a further notice on the same or another ground however.

 

Information supplied courtesy of the Tenants Union of NSW

Further information and advice for NSW tenants can be sourced from www.tenants.org.au