renting a home - century 21 australia...renting a home a guide for tenants and landlords...

$500 Fine

Landlords and agents must give acopy of this guide to residents on orbefore the day they move in or face afine of up to $500

Renting a homeA guide for tenantsand landlords

Renting a home: a guide for tenants andlandlords is the summary approved by theDirector for Consumer Affairs Victoria of therights and duties of a landlord and tenantunder a Tenancy Agreement.

Under section 66 of the Residential Tenancies Act1997, the landlord must give the tenant thisguide on or before the occupation day.

Additional copiesThis guide is available from Consumer AffairsVictoria at www.consumer.vic.gov.au or1300 55 81 81.

To order more than five copies at a time, fax arequest to (03) 8684 6333 or write to:

Consumer Affairs VictoriaGPO Box 123Melbourne Victoria 3001.

Disclaimer

Because this publication avoids the use of legallanguage, information about the law may havebeen summarised or expressed in generalstatements. This information should not berelied upon as a substitute for professional legaladvice or reference to the actual legislation,particularly the Residential Tenancies Act 1997.

© Copyright State of Victoria 2008

This publication is copyright. No part maybe reproduced by any process except inaccordance with the provisions of the CopyrightAct 1968. For advice on how to reproduce anymaterial from this publication contactConsumer Affairs Victoria.

ISBN 0-9750813-0-6

Published by Consumer Affairs Victoria121 Exhibition Street Melbourne Victoria 3000.

Printed by Gunn & Taylor (Aust) Pty Ltd4 Aristoc Road Glen Waverley 3150.

Renting a Home > i

This guide explains what tenants,landlords and agents must do to followVictoria’s residential tenancy laws. Themain piece of legislation that coverstenants, landlords and agents is theResidential Tenancies Act 1997 (the Act).

Consumer Affairs Victoria producesthe guide as a summary of many ofthe rights and duties of landlords andtenants under a tenancy agreement.It should not be used as a substitutefor the Act, or professional legal advice.

When the guide refers to ‘the premises’it means the house, townhouse, flat,unit or apartment being rented.

Renting a homeA guide for tenantsand landlords

Who this guide is for For advice and information onconsumer and residential tenancymatters:

Consumer Affairs VictoriaVictorian Consumer &Business Centre113 Exhibition StreetMelbourne Victoria 3000Tel 1300 55 81 81 (local call charge)Fax (03) 8684 6001Email [email protected] www.consumer.vic.gov.auTIS 131 450Textphone (TTY) or modem usersonly, ring the NRS on 133 677, thenquote 1300 55 81 81Callers who use Speech to SpeechRelay, dial 1300 555 727 thenquote 1300 55 81 81

ii > Renting a Home

Telephone interpreting service

Renting a Home > iii

INTRODUCTIONUseful contacts ivFines viPrivacy viTips for tenants viiTips for landlords and agents viii

PART ONE Beginning a tenancy 01Applying for a tenancy 01Tenants with children 01Tenancy agreements 02Contact details 03Deposits and charges 04The bond 04Rent in advance 06The difference between the bondand the rent 07

Guarantees 07The condition report 08Clean and vacant premises 09Water meter readings 10Getting connected to utilities 10

PART TWO During a tenancy 11Paying rent 11Rent receipts 12Water expenses 12Replacing water appliances 12Other utility and service charges 13Looking after the premises 13Sub-letting the premises 15New tenants or new landlordsor agents 15

Repairs 16Entry to the premises by thelandlord or agent 18

Rent increases 20

PART THREE Ending a tenancy 21Ways of ending tenancyagreements 22

When the landlord or agent wantsto end a tenancy agreement 23

When the tenant wants to end atenancy agreement 27

Calculating minimumnotice periods 30

When a tenant receives anotice to vacate 31

When the notice period runsout and the tenant has not left 32

PART FOUR Leaving a tenancy aftergiving or receiving notice 33

The bond 33When the landlord cannot locatea tenant and rent is owing 34

Bonds provided by the Director ofHousing 34

When the landlord makes a claimon the bond 35

Landlord claiming compensation 35Final water meter readings 35Belongings left behind 36Providing a forwarding address 38

PART FIVE Solving tenancyproblems 39

Using VCAT 40

Contents

iv > Renting a Home

Residential Tenancies BondAuthority (RTBA)The RTBA holds all residential tenancybonds in a neutral capacity as a trusteefor landlords and tenants. The RTBAcan only repay bonds as agreed by thelandlord and tenant or as directed bythe Victorian Civil & AdministrativeTribunal or a court.

Tel 1300 13 71 64 (local call charge)Fax (03) 8684 6299Email [email protected] www.rtba.vic.gov.auPostal Address Locked Bag No 3040GPO Melbourne Victoria 3001

Victorian Civil & AdministrativeTribunal (VCAT)VCAT operates independently ofConsumer Affairs Victoria. It is similarto a court but not as formal, and dealswith issues in many areas, includingdisputes arising from the ResidentialTenancies Act 1997.

VCAT 55 King Street MelbourneVictoria 3000

Tel (03) 9628 9800Freecall 1800 13 30 55Fax (03) 9628 9822Email [email protected] www.vcat.vic.gov.auPostal Address GPO Box 5408ccMelbourne Victoria 3001

Equal Opportunity CommissionVictoria (EOCV)EOCV provides information andadvice about equal opportunity rightsand responsibilities and helps peopleresolve complaints of unlawfuldiscrimination or harassment throughits impartial, confidential and freeconciliation service.

EOCV 3/380 Lonsdale StreetMelbourne Victoria 3000

Advice Line (03) 9281 7100Fax (03) 9281 7171Freecall (country callers) 1800 13 41 42TTY (03) 9281 7110Email [email protected] www.eoc.vic.gov.au

Useful contacts

Renting a Home > v

Office of HousingThe Office of Housing is a division ofthe Department of Human Services.The Office of Housing provides a rangeof housing services including the BondLoan Scheme and public rentalhousing to eligible residents ofVictoria.

For further information on assistanceprovided by the Office of Housing andapplication forms for the Bond LoanScheme, contact your closest HousingOffice (listed in the White Pages A-Kunder Human Services, HousingServices) or visit their website at:www.dhs.vic.gov.au/housing.

The Real Estate Institute ofVictoria (REIV)The REIV is the peak industryassociation representing Victoria's realestate agents.

REIV 335 Camberwell RoadCamberwell Victoria 3124

Information service1900 937 348(charges for the use of this service willapply)Fax (03) 9205 6699Email [email protected] www.reiv.com.au

vi > Renting a Home

Consumer Affairs Victoria can taketenants, landlords and agents to theMagistrates’ Court for not obeyingcertain obligations under theResidential Tenancies Act 1997 (the Act).In such circumstances, the Magistrates’Court may impose a fine.

Where this guide refers to a fine, itmeans the maximum fine that can beimposed by the Magistrates’ Court. Ifthe court decides to impose a fine it ispayable to the Residential TenanciesFund.

There are clear rules under the Act onwhen a landlord or agent is allowed toenter a tenant’s residence and they arediscussed on page 18 under ‘Entry tothe premises by the landlord or agent’.

If you give personal information tolandlords or agents (such as yourphone number or date of birth), theymay be bound by privacy laws thatrestrict the cases in which thisinformation can be passed on to thirdparties. If you think your informationis being misused, contact ConsumerAffairs Victoria on 1300 55 81 81 orthe Federal Privacy Commissioner on1300 36 39 92 for advice.

Fines Privacy

Renting a Home > vii

It is very important that tenants donot sign a blank form, official orotherwise.

All official and formal notices that aregiven to the landlord or agent mustinclude the name of the landlord.

At the beginning of a tenancy• Seek professional advice if anytenancy issue is unclear.

• Read and sign the ‘ResidentialTenancy Agreement’ and keep acopy.

• Read this guide on rentingpremises in Victoria.

• Thoroughly check that thepremises are completely safe.

• If paying a bond, complete andsign the ‘Condition Report’ andkeep a copy.

• Pay the bond to the landlord oragent.

• Complete and sign the ‘BondLodgement’ form and keep acopy.

• Keep the RTBA receipt whichassists in reclaiming the bond.

• Comply with all parts of the‘Residential Tenancy Agreement’.

• Comply with all regulationsconnected with the ResidentialTenancies Act 1997.

• Check responsibilities regardingthe cost of water usage andsewerage disposal.

• To rectify any situation, it is bestto contact your landlord or agentbefore taking further action.

At the end of a tenancy• Give the correct amount ofnotice when planning to leave.

• Pay the final rent.

• Contact utility providers to getthe telephone, gas, water andelectricity disconnected and paythe final bills.

• Leave the premises in good orderand in the condition in whichyou found them, fair wear andtear excepted.

• Take all your belongings withyou.

• Keep the ‘Condition Report’ incase any disputes arise.

• If you have paid a bond, reachagreement with the landlord oragent regarding the return of thebond.

• Complete and sign the ‘BondClaim’ form, stating any agreeddivision of the bond money andkeep a copy.

• Make sure the completed ‘BondClaim’ form is sent to the RTBA.

Tips for tenants

viii > Renting a Home

• Confirm with your financialinstitution that the RTBA hascredited the bond money to youraccount.

• Leave a forwarding address withyour landlord or agent, the RTBA(on the ‘Bond Claim’ form) andAustralia Post.

At the beginning of a tenancy• Read and sign the ‘ResidentialTenancy Agreement’, give thetenant a copy and keep a copy.

• Give the tenant a copy of thisguide on renting premises inVictoria.

• Thoroughly check that thepremises are completely safe.

• If taking a bond, complete andsign the ‘Condition Report’, givethe tenant a copy and keep acopy.

• Complete and sign the ‘BondLodgement’ form and give thetenant their copy.

• Forward the bond money andthe RTBA’s copy of the ‘BondLodgement’ form to the RTBA.

• Ensure the RTBA receipt isreceived and keep a copy.

• Comply with all parts of the‘Residential Tenancy Agreement’.

• Comply with all regulationsconnected with the ResidentialTenancies Act 1997.

• To rectify any situation, it is bestto contact your tenant beforetaking further action.

At the end of a tenancy• Keep the ‘Condition Report’ incase any disputes arise.

• If you took a bond, reachagreement with the tenantregarding the bond money.

• Complete and sign the ‘BondClaim’ form and make sure allthe tenants sign it, and give thetenants their copy.

• Keep your copy of the ‘BondClaim’ form.

• Ensure the completed ‘BondClaim’ form is sent to the RTBA.

• Apply to VCAT within10 business days if no agreementon the bond is reached.

• Comply with the ResidentialTenancies Act 1997 regarding thetenant’s belongings and personaldocuments.

• See page 39 for details on‘Solving tenancy problems’.

Tips for landlordsand agents

1.0 Beginning a Tenancy > 01

A ‘Residential Tenancy Application’ isavailable from Consumer AffairsVictoria and some estate agents. Whenapplying to rent a property it’simportant to be prepared. It is verylikely that the landlord or agent willask for formal identification such as adriver’s licence as well as employmentdetails and referees.

Normally, a landlord or agent cannotrefuse to rent a property to tenantswith children.

It is discriminatory and thereforeagainst the law to do so.

The landlord or agent can only refusewhen:

• the landlord usually lives in theproperty and will be returning

• the government has provided theproperty exclusively for singlepeople or childless couples

• the property is unsuitable orinappropriate for children.

For information on discrimination inaccommodation, contact EqualOpportunity Commission Victoria.The contact details are on page iv.

Part oneBeginning a tenancy

Applying for a tenancy

Tenants with children

1

02 > 1.0 Beginning a Tenancy

A tenancy agreement is a legal contractbetween a tenant and a landlord oragent. The agreement covers theamount of rent to be paid and themethod of payment, the length oftime the tenant will rent the property,the amount of money required asrefundable security bond, as well asother conditions and rules.

Tenancy agreements can be eitherverbal or written.

Written agreements must be on orfollow the wording of the official‘Residential Tenancy Agreement’ formwhich is available from ConsumerAffairs Victoria. Agents sometimes usetheir own agreement forms whichmay include extra conditions. Theseare valid as long as they comply withthe Act.

Verbal agreements are valid as long asthey comply with the Act.

There are two types of tenancyagreements – fixed-term and periodic.A fixed-term agreement is for a setperiod of time, whereas a periodicagreement goes from week to week ormonth to month.

Even though a fixed-term agreementhas an end date, it is still necessary forthe tenant to give notice in writing orfor the landlord to give a ‘Notice toVacate to Tenant/s of Rented Premises’where a tenant is to move out at theend of the agreement.

Refer to pages 30-31 for informationon calculating minimum noticeperiods when giving a notice. Ifneither party gives notice to end afixed-term agreement the agreementautomatically becomes a periodictenancy agreement.

For information about ‘Ending atenancy’, see page 21.

Keeping the signed tenancyagreementBefore asking a prospective tenant tosign a ‘Residential TenancyAgreement’, the landlord or agentmust give the prospective tenant acopy of the unsigned Agreement.

In the event that both parties havesigned the ‘Residential TenancyAgreement’, the landlord or agentmust give the tenant a copy of thesigned agreement within 14 days. Inaddition, the landlord or agent mustgive the tenant a copy of this guide onor before the day the tenant moves in.

In limited circumstances, there areways of ending a tenancy agreementbefore moving in. See page 9 or callConsumer Affairs Victoria on1300 55 81 81.

Tenancy agreements


Landlord and agent contactdetailsThe landlord or agent must give thetenant certain contact details inwriting on or before the first day thetenant moves in.

The contact details are:

• the landlord or agent’s full name,address, telephone and (agent’sonly) fax number

• an emergency telephone numberthat can also be used out ofbusiness hours.

A $500 fine can be imposed on thelandlord or agent if they do notprovide these details on or before thefirst day of the tenancy agreement.

If any of the contact details changeduring the tenancy, the landlord oragent must tell the tenant in writingwithin seven days. A $500 fine can beimposed for not doing this.

When an agent is managing theproperty, the agent must give certaininformation in writing to the tenant.

The information, which must be inwriting, is:

• whether the agent can authoriseurgent repairs and if so themaximum amount the agent canauthorise

• the telephone or fax numbers tobe used for urgent repairs.

Tenant contact detailsThe tenant should advise the landlordor agent immediately if their contactdetails, such as work or mobiletelephone numbers, change during thetenancy.

Contact details


The landlord or agent is permitted toaccept a deposit from a prospectivetenant.

This money must be refunded whenthe ‘Residential Tenancy Agreement’is signed by both parties.

If no tenancy agreement is madewithin 14 days, the money needs tobe refunded by the next business day.

A $500 fine can be imposed for notrefunding the money.

A landlord or agent cannot charge for:

• showing the premises to aprospective tenant

• issuing a rent payment card• the establishment or use of directdebit facilities

• the making, continuing orrenewing of a ‘ResidentialTenancy Agreement’ (also knownas a premium, bonus,commission or key money).

If the landlord or agent attempts tocharge the tenant for any of the aboveservices, a $1000 fine can be imposed.

The bond is money tenants pay as asecurity deposit. If tenants fail to keepthe premises clean, or cause damage,or don’t pay rent, the landlord oragent can claim some or all of thebond at the end of the tenancy.

A landlord can also claimcompensation from a tenant if thebond does not cover all the monetarylosses incurred by the landlord.

The amount of the bondIf the rent is $350 a week or less, thebond cannot be more than onemonths rent.

A landlord or agent who wants ahigher bond must apply to theVictorian Civil & AdministrativeTribunal (VCAT).

A fine of $500 can be imposed if alandlord or agent requests a higherbond without permission from VCAT.

There are two circumstances where alandlord can take a bond of more thanone months rent without going toVCAT. First is when the ‘ResidentialTenancy Agreement’ states that thepremises are the landlord’s usual placeof residence and the tenant is rentingit until the landlord wishes to resumeliving in it. Second, if the rent is morethan $350 a week.

The bond cannot be increased duringthe tenancy.

Deposits and charges The bond


Looking after the bondThe Residential Tenancies BondAuthority (RTBA) holds the bondduring the tenancy.

If a landlord or agent takes a bondthey must give the tenant a completedand signed official ‘Bond Lodgement’form to sign. The RTBA needs thedetails and signatures on this form soit can pay out the bond at the end ofthe tenancy.

If there is a change of landlord oragent during the tenancy, or a newtenant takes over the tenancy, theRTBA must be notified and mustreceive official transfer forms. See page15 for more information.

‘Bond Lodgement’ forms are availablefrom Consumer Affairs Victoria andthe RTBA. The top sheet is marked‘RTBA’. At the back, there is a ‘Tenant’copy, which the tenant must be givenas an interim receipt. There is anothercopy for the landlord or agent.

The landlord or agent must send thebond and the top sheet (‘RTBA’ copy)of the form to the RTBA within10 business days of receiving thebond. There is a $1000 fine for notdoing so.

Payment must be made by cheque ormoney order payable to the‘Residential Tenancies BondAuthority’. The postal details are onpage iv of this guide and on the ‘BondLodgement’ form.

Under the Residential Tenancies Act1997, the RTBA invests the bondmoney. Interest on the ResidentialBonds Account is paid to theResidential Bonds Investment IncomeAccount. It is applied to meet the costsof administering the central bondmanagement system and alsocontributes to the ResidentialTenancies Fund.

Bonds from the Director ofHousing (DoH)Where the DoH is contributing someor all of the bond, a ‘Bond Lodgement’form specifically designed for the DoHmust be used. The DoH issues thisform with the bond payment when abond loan is approved.

Consumer Affairs Victoria also hascopies of all the relevant forms andnotices.


When a bond payment isdishonouredIf a bond payment to the RTBA isdishonoured (for example, if the fundsare not cleared by the bank becausethe account does not have enoughmoney in it), the bond cannot belodged.

The RTBA notifies the tenant and thelandlord or agent by post the day it isadvised of the dishonoured payment.Landlords or agents can then organiseto either collect the money andre-lodge the bond, or give the tenant a‘Notice to Vacate’ for non-payment ofthe bond.

Providing a receiptThe RTBA must send a receipt to thetenant and the landlord or agent.Anyone who has not received theRTBA’s receipt 15 business days afterpaying a bond should telephonethe RTBA.

When the DoH provides a bond loan,it is advised of the bond lodgement.

If rent is to be paid weekly, thelandlord or agent cannot ask for morethan 14 days rent at the beginning of atenancy.

In any other case, provided the rent is$350 a week or less, the landlord oragent cannot ask for more than onemonths rent in advance. If a landlordor agent does either of the above, afine of $1000 can be imposed.

It is the tenant’s responsibility to payrent and continue to pay rent when itis due. The person who receives therent (usually the landlord or agent)must give the tenant a receipt for therent. See page 12 for details.

Rent in advance


The bond and the rent are separatepayments. A tenant can be fined$1000 for treating any part of thebond as rent.

Tenants must not stop paying rentbecause the landlord or agent refusesto do repairs, the ‘Residential TenancyAgreement’ is in its last month, or thetenant has given the landlord notice oftheir intention to vacate or thelandlord has given the tenant a noticeto vacate.

A guarantee is an agreement wheresomeone other than the tenant agreesto pay the landlord or agent for anylosses as a result of the tenant’s failureto follow the requirements of the‘Residential Tenancy Agreement’ andthe Residential Tenancies Act 1997.

Generally speaking, a landlord or agentcannot ask for a guarantee as well as abond.

A landlord or agent can only ask for aguarantee as well as a bond when:

• the rent is more than $350 aweek, or

• the ‘Residential TenancyAgreement’ states that the tenantis renting the landlord’s ownhome until the landlord resumesliving in the premises.

In any other circumstances, a $1000fine can be imposed if a guarantee isasked for in addition to the bond.

A guarantee cannot be more than theequivalent of one months rent unless:

• the rent is more than $350 aweek, or

• the ‘Residential TenancyAgreement’ states that the tenantis renting the landlord’s ownhome until the landlord resumesliving in the premises.

The difference betweenthe bond and the rent

Guarantees


In cases where a bond has been paid,the landlord or agent must prepare acondition report on the premises. Thisreport notes the general condition ofthe premises, including fittings andfixtures.

The landlord or agent must give twocopies of the signed condition reportto the tenant before the tenantoccupies the premises. A $500 fine canbe imposed if this is not done.

The tenant must fill out and return thecondition report to the landlord oragent within three business days ofmoving in.

The condition report is an extremelyimportant document. It may be usedas evidence if there is a disputesometime in the future about whoshould pay for cleaning, damage, orreplacement of missing items. Allparties should keep their copy of thecondition report until the end of thetenancy.

The landlord or agent may claim someor all of the bond for cleaning,damage, or replacement of missingitems at the end of the tenancy. If thecondition report stated that the workneeded to be done at the start of thetenancy, or the items were not listed,it can help prove that the bond shouldbe returned to the tenant.

Filling in the condition reportConsumer Affairs Victoria has a‘Condition Report’ form that can beused. This form allows tenants,landlords and agents to rate thecondition of the premises and items inthe premises as clean, undamaged orworking.

It is important that tenants make anote on the ‘Condition Report’ if theydisagree on any points.

Tenants should take the time to checkthat everything that is attached to aceiling, wall or a door (for example,light fittings, mantelpieces, hooks andhandles) of the premises are fixedsecurely and aren’t likely to injureanyone.

Tenants should check the safety of thepremises and ask themselves thefollowing questions.

• Are the curtain rods and blindsfixed securely to the wall?

• Are the light fittings likely to falldown from the ceiling or off thewall?

• Is there a gap between the walland any cupboards or shelves?

• Does the stove rock forwardwhen it is pushed or when thedoor is pulled open quickly?

• Does the mantelpiece feel andlook stable?

• Will the built-in bookcases tipover or pull away from the wallwhen they are fully loaded?

The condition report


• Are there any heavy structures(for example, tanks on stands,landscaping features, basketballhoops, or storage units) eitherinside or outside, which are notproperly supported?

• Have any of the structuralsupports for stairs or verandascrumbled or become damaged?

This is not an exhaustive list and theremay be other items in the house or flatwhich are unsafe. Any defects whichmay be a safety risk to tenants shouldbe brought to the attention of thelandlord or agent in writing so theycan then be fixed by an expert.

If the problem is a safety risk and isnot fixed, tenants can take furtheraction. See the section on ‘Repairs’ onpage 16.

If the problem is so serious that itmakes the premises unsafe to live in,the tenant should notify the landlordimmediately. If the problem cannot befixed, the tenant may be able to endthe tenancy agreement. It is best to getadvice on this, contact ConsumerAffairs Victoria on 1300 55 81 81.

The landlord or agent must make surethe premises are vacant andreasonably clean on the day the tenantis due to move in.

If the premises are not vacant orreasonably clean, the tenant:

• may be able to end the tenancybefore moving in (see pages28-29)

• can refuse to move in until theyare vacant or reasonably clean.

The tenant does not have to pay rentwhile waiting for the premises to bevacated or made reasonably clean.

Clean and vacantpremises


In the Melbourne metropolitan area, ifthe premises have a separate meter, thelandlord or agent can arrange for thetenant to be billed for water usage andsewerage disposal. In this case, thelandlord needs to give the tenant’sdetails to the water provider. The waterprovider will read the meter and billthe tenant from that point on.

In places outside the Melbournemetropolitan area, tenants movinginto premises that have a separatemeter must let the water providerknow at least two business days beforemoving in. Otherwise, tenants willhave to pay for the total amount ofwater supplied to the premises fromthe time of the last meter reading.

It is best to confirm the details in aletter to the water provider and keepa copy.

When starting a tenancy, tenantsshould contact the relevant utilityproviders to get the telephone, gas andelectricity connected and arrange forthe bills to be put in their name.

Some estate agents will offer theservices of a connection company thatcan connect utilities for tenants. Theseare an optional service and by tickingthe appropriate box on the propertyapplication form, tenants are onlyconsenting to have the connectioncompany telephone them. Tenants areunder no obligation to tick the box.Tenants can choose the utility theywant connected. However tenantsshould allow enough time to arrangeany connections prior to moving intothe premises.

Getting connected toutilities

Water meter readings

2.0 During a Tenancy > 11

Throughout the period of a tenancy,the tenant and landlord or agent mayneed to contact each other regardingissues such as rent increases, damageto the premises, sub-letting thepremises, and ending the tenancy.

Important matters should always becommunicated or confirmed inwriting. Consumer Affairs Victoria hasa range of forms available for thispurpose, and using them is highlyrecommended. In many cases, theseforms must be used.

It is vital that written communicationsare clear, include all the necessarydetails and are signed, and that copiesare kept by all parties for futurereference.

Tenants are responsible for payingrent. They must continue paying rentuntil the tenancy ends. If any rentpayment is late or not made, thetenant is immediately behind with therent. If the rent is 14 days or morebehind, the landlord or agent can givethe tenant notice to vacate.

Paying rent

Part twoDuring a tenancy 2

12 > 2.0 During a Tenancy

Tenants are entitled to a receipt foreach rent payment.

The person who receives the rent,usually the landlord or agent, must:

• if the rent is paid in person, givethe tenant a receipt immediately

• if the rent is not paid in personbut the tenant requests a receipt,give a receipt within five businessdays

• if the rent is paid in person and areceipt is not requested, keep arecord of the payment for12 months and, on request,provide the tenant with a copyof the record within five businessdays.

A $500 fine can be imposed if the ruleson providing rent receipts are notfollowed.

A rent receipt must be signed by thelandlord or agent.

A rent receipt must also state:

• the tenant’s name

• the address of the premises

• the date the money was paid

• what period the payment was for

• how much was paid

• that it is a receipt for rent.

If the property has its own meter, thetenant is required to pay for waterconsumption and, in the Melbournemetropolitan area, sewerage disposalunless the landlord has agreed to paythese charges.

The landlord or agent must pay allother charges related to water supplyalthough different rules may applywhen a tank is the main source ofwater supply.

If tenants need information theyshould contact Consumer AffairsVictoria on 1300 55 81 81.

If the landlord or agent replaces anywater appliance, fitting or fixture andthe replacement does not have at leasta Standards Australia ‘A’ rating, thelandlord or agent is responsible for allwater consumption charges until an ‘A’rated item is installed.

An ‘A’ rated appliance will have an ‘A’on it. Products in this category preventwater waste and may save money.

Rent receipts Water expenses

Replacing waterappliances


The landlord or agent must pay allinstallation and initial connectioncosts for electricity, gas and oil supply.If there is a separate meter, all othercharges for electricity, gas and oil mustbe paid by the tenant, unlessotherwise agreed. If there isn’t aseparate meter, the landlord or agentmust pay. Where bottled gas isprovided, the landlord or agent paysfor the supply or hire of bottles, andthe tenant pays for the gas.

The landlord or agent must reimbursethe tenant if the tenant has paid thecosts of any utilities for which thelandlord is liable.

The landlord or agent must pay backthe tenant for any rates or taxes paidto a public authority that are not partof consumption charges for theservice. However, the tenant may beresponsible for these costs if theagreement is for a fixed period of morethan a year.

Director of Housing (DoH) tenants,including community rooming housetenants, may be charged separately forexpenses such as heating and laundry.

Tenants, landlords and agents have anumber of responsibilities during atenancy.

Responsibilities of the tenantThe tenant must:

• keep the premises reasonablyclean, unless the ‘ResidentialTenancy Agreement’ says thelandlord or agent must do this

• not cause damage

• notify the landlord or agent inwriting as soon as possible if anydamage is done

• avoid causing a nuisance toneighbours

• make sure that they and theirvisitors respect the rights ofneighbours in regard to privacy,peace and comfort

• make sure the premises are notused for any illegal purpose

Other utility and servicecharges

Looking after thepremises


• get the landlord’s or agent’spermission, preferably in writingto:

• change a lock in a masterkey system

• install fixtures

• make additions or alterationsor do renovations

• give the landlord or agent a keyas soon as possible after changingany lock.

It is very important to remember that,unless otherwise agreed, the tenantmust restore the premises to thecondition they were in immediatelybefore the installation of fixtures,additions, alterations or renovations,fair wear and tear excepted.

Responsibilities of the landlordand agentThe landlord or agent must:

• on or before the occupation date,give the tenant a copy of thisguide

• keep the premises and commonareas in good repair

• ensure that any replacementwater appliance, fitting or fixturehas at least a Standards Australia‘A’ rating

• make sure all external doors havelocks, and windows can besecured

• give the tenant a key as soon aspossible after changing any lock

• let the tenant have peace andquiet in the premises

• not enter the premises to carryout a general inspection untilafter the end of the first threemonths of the tenancy and evenat this time, follow the rulesregarding proper notice periods.


The tenant must get the landlord’s oragent’s written permission beforeassigning or sub-letting the premisesor any part of the premises.

It’s a good idea to seek professionaladvice when considering sub-lettingthe premises and before finalising anyagreement.

The landlord or agent must givepermission for the tenant to sub-letthe premises unless there is a goodreason to refuse. It is illegal to chargea fee for giving permission.

If a tenant believes a landlord or agentis withholding consent unreasonably,they can apply to the Victorian Civil &Administrative Tribunal (VCAT) for aruling.

Where a tenant is living in publichousing, the landlord is generallypermitted to refuse consent.

If the landlord or agent givespermission for the tenant to sub-letthe premises and the tenant takes abond from a sub-tenant, it is then thetenant’s responsibility to lodge thebond. The tenant must lodge the sub-tenant’s bond money with theResidential Tenancies Bond Authority(RTBA) within 10 business days oftaking the money. The RTBA willconsider the tenant as a landlord forthis purpose.

It is important to remember that theRTBA will only pay out the bondmoney to the person registered as thebond holder.

If a new landlord or agent takes overthe property, the previous landlordand the new landlord and theirrespective agents must complete andsign an ‘Agent/Landlord Transfer’ formand send it to the RTBA within fivedays of the changeover. The newlandlord or agent must also give acopy of the form to the tenant.

If a new tenant moves in under theexisting tenancy, the landlord oragent, the current tenant and theincoming tenant must complete andsign a ‘Tenant Transfer’ form tochange ownership of the bond. Theform must be sent to the RTBA withinfive days of the new tenant moving in.

A $1000 fine can be imposed for notsending a transfer form to the RTBA.

Sub-letting the premises New tenants or newlandlords or agents


The Act distinguishes between urgentand non-urgent repairs. Urgent andnon-urgent repairs are the landlord’s oragent’s responsibility, but if the tenantcaused the damage, the landlord canask the tenant to arrange and/or payfor repairs.

There are set procedures that tenants,landlords and agents must followwhen dealing with urgent or non-urgent repairs. Tenants must continueto pay rent even when waiting forrepairs to be done.

However, if the matter has gone toVCAT, the tenant can apply for therent to be paid into a special accountwhile the issue is being sorted out.

It is extremely important tocommunicate all informationregarding repairs in writing and thatall copies of letters, forms and reportsare kept for future reference. It ispreferable that the forms fromConsumer Affairs Victoria are used.

Urgent repairsRepairs are considered to be urgent ifthey are needed to fix:

• a burst water service

• a blocked or broken toilet system

• a serious roof leak

• a gas leak

• a dangerous electrical fault

• flooding or serious flood damage

• serious storm or fire damage

• a failure or breakdown of anyessential service or applianceprovided by the landlord or agentfor hot water, water, cooking,heating, or laundering

• a failure or breakdown of the gas,electricity, or water supply

• any fault or damage in thepremises that makes the premisesunsafe or insecure

• an appliance, fitting, or fixturewhich is not working properlyand causes a substantial amountof water to be wasted

• a serious fault in a lift or staircasein the rented premises.

Repairs


Urgent repairs scenariosIf possible, seek advice on whetheryour repair is urgent or non-urgent.Ideally, the tenant, landlord or agentshould agree that a particular repairjob is urgent.

Scenario 1. A tenant contacts thelandlord or agent and the landlordor agent agrees to do the urgentrepairs.

If a tenant requests urgent repairs thelandlord or agent must respondwithout delay.

Scenario 2. A tenant contacts thelandlord or agent and they do notdo the urgent repairs quickly.

If the landlord or agent does notrespond quickly, the tenant canarrange for the repairs to be done for areasonable cost, up to a value of$1000. (If it is going to cost more than$1000, see scenario number 3.)

The tenant can then give the landlordor agent a notice in writing requestingthat they be paid back for the cost ofthe urgent repairs.

The landlord or agent has 14 daysfrom receiving the notice to pay thetenant for the urgent repairs.

The tenant should keep all receiptsand a record of their attempts toarrange the urgent repairs with thelandlord or agent.

Scenario 3. The landlord or agentdoes not do the urgent repairs andthe repairs are going to cost morethan $1000.

The tenant can apply to VCAT whichwill hear the application within twobusiness days of receiving theapplication. VCAT can order thelandlord or agent to do the repairs.

Scenario 4. The landlord or agentdoes not do the urgent repairs andthe tenant cannot afford to pay forthem.

The tenant can apply to VCAT whichwill hear the application within twobusiness days of receiving theapplication. VCAT can order thelandlord or agent to do the repairs.

Scenario 5. The tenant has paid forurgent repairs but the landlord oragent refuses to pay back the moneyafter the tenant has sent them a14 day notice to pay the costs.

The tenant can apply to VCAT whichwill hear the application and handdown a decision. VCAT can order thelandlord or agent to pay the tenant forthe cost of the repairs.

See page iv for VCAT’s contact details.


Non-urgent repairsFor non-urgent repairs, the tenantneeds to write to the landlord or agenttelling them what needs to be repaired.Tenants should use Consumer AffairsVictoria’s ‘Notice to Landlord ofRented Premises’ form. The landlord oragent then has 14 days in which tomake sure the repairs are carried out.

If the landlord or agent does not carryout the repairs within 14 days ofreceiving the notice, the tenant cansend a copy of their written notice toConsumer Affairs Victoria with a letterasking for an inspection and asubsequent report.

If the repairs still haven’t been doneafter the tenant has received theinspection report from ConsumerAffairs Victoria, the tenant has 60 daysfrom when they receive the report inwhich to apply to VCAT for a repairorder.

Tenants must continue to pay renteven if the landlord or agent has notarranged for the repairs to take place.However, if the matter has gone toVCAT the tenant can apply for therent to be paid into a special accountwhile the issue is being sorted out.

There are rules on when a landlord oragent is allowed to enter a rentedpremises.

Entry at agreed timesA landlord or agent may enter thepremises as long as the tenant agreedto the time and was consulted notmore than seven days in advance.

Entry to the premises bythe landlord or agent


Entry with 24 hours noticeA landlord or agent has the right toenter with 24 hours written notice tothe tenant in order to do any of thefollowing.

• Carry out duties under the‘Residential Tenancy Agreement’,the Residential Tenancies Act 1997or any other Act.

• Value the property.

• Show prospective buyers orlenders through the premises.

• Show prospective tenantsthrough the premises.1

• Verify a reasonable belief that thetenant has not met their duties asa tenant.

• Make one general inspection inany six-month period, but notwithin the first three months ofthe tenancy.

The notice must be hand deliveredbetween the hours of 8.00am and6.00pm or posted (allow extra timefor postage period).

Where a landlord or agent hasprovided a notice in writing for one ofthe reasons listed on this page, with atleast 24 hours notice to carry out oneor more of these tasks, they are onlyallowed to enter between 8.00am and6.00pm, and not on public holidays.

If the tenant is home, they must letthe landlord or agent in. The landlordor agent is allowed to enter thepremises if the tenant is not homeproviding the requirements regardingwritten notices have been met.

1 Landlords or agents can only do this within 14 days of the termination date

specified in the notice from either the tenant or the landlord or agent regarding

vacating.


What landlords and agentscannot doWhether entering at an agreed time, oron 24 hours notice, the landlord oragent does not have the right to:

• enter in an unreasonable way

• stay any longer than necessary todo what is required, unless it iswith the tenant’s permission.

A $500 fine can be imposed if alandlord or agent enters in a way thatcontravenes the Residential TenanciesAct 1997.

If the tenancy agreement is a fixed-term agreement, the landlord or agentcannot increase the rent before theend date, unless the agreement statesotherwise.

In any case, a landlord or agent mustnot increase the rent payable under atenancy agreement more than once inany six-month period.

The landlord or agent must give thetenant at least 60 days notice of anyrent increase using the ‘Notice of RentIncrease to Tenant/s of RentedPremises’ form.

When a tenant thinks the rent istoo high

In certain circumstances, tenants canwrite to the Director of ConsumerAffairs Victoria for a rental assessmentif they think the rent or proposed rentis too high.

This can only happen when:

• the landlord or agent has given a‘Notice of Rent Increase toTenant/s of Rented Premises’ thatthe tenant thinks is excessive(after considering market rent) or

• the landlord or agent has reducedor withdrawn services, facilities orother items that are part of theexisting tenancy agreement.

A request for a rental assessment mustbe made in writing within 30 days ofreceiving the ‘Notice of Rent Increaseto Tenant/s of Rented Premises’.

The tenant has 30 days from receivingthe rent assessment report in which toapply to VCAT for a hearing. VCATmay set a maximum rent, which thenstays in force for 12 months.

Rent increases

3.0 Ending a Tenancy> 21

There are set ways, under the Act, ofending all tenancy agreements,including verbal agreements, fixed-term agreements and periodicagreements.

Even if an agreement has a fixed enddate, notice must be given to end thetenancy.

If a tenant, landlord or agent wants toend a tenancy agreement they shouldcheck:

• the reasons allowed under theAct for giving a notice to end atenancy agreement

• whether the notice should begiven on an official notice orform

• the minimum notice period toallow between giving notice andthe actual end of the tenancyagreement.

See pages 30-31 for details oncalculating minimum notice periods.

Read the following pages carefullyand,if necessary, seek advice fromConsumer Affairs Victoria on1300 55 81 81.

Simply leaving a tenancy and stoppingrent payments is a breach of thecontract between the tenant and thelandlord. The Victorian Civil &Administrative Tribunal (VCAT) canaward compensation to landlords oragents for money lost because of thisbreach of contract.

Also, a landlord or agent can be finedup to $2000 for trying to force atenant to leave, either physically orin some other way not covered bythe Act.

Part threeEnding a tenancy 3

22 > 3.0 Ending a Tenancy

Tenancy agreements can only beended in ways that are legal underthe Act.

It is extremely important to know thatwhen a tenant or landlord or agentattempts to end the tenancyagreement in a way that is not legalunder the Act, the attempt is invalid.

There are three main ways to end atenancy agreement, including:

• agreement of all parties to endthe tenancy early, or

• a landlord or agent gives a‘Notice to Vacate’ to the tenant,or

• a tenant gives notice to thelandlord or agent that theyintend to vacate.

In cases of severe hardship, VCAT canend a fixed-term tenancy early.

Agreeing to end a tenancy earlyThe tenant and the landlord or agentcan agree to end the tenancy early.However, even if everyone agrees, it isimportant to put the decision inwriting. The document should includeany agreed costs, terms andconditions, and the date the tenancy isto end.

Ending a tenancy because ofhardshipIf the parties cannot agree, a party whowants to end the tenancy early becauseof severe hardship can apply to VCATto reduce the period of a fixed-termagreement.

VCAT can reduce the period of thetenancy agreement if:

• staying and/or paying to the endcould cause serious hardship forthe tenant

• the effect on the tenant would begreater than the effect on thelandlord

• the tenant did not know at thestart of the tenancy that theproblem was going to occur.

VCAT can also reduce the period of thetenancy agreement if:

• letting the tenant stay to the endcould cause serious hardship forthe landlord

• the effect on the landlord wouldbe greater than the effect on thetenant

• the landlord did not know at thestart of the tenancy that theproblem was going to occur.

VCAT can also order thatcompensation be paid to the otherperson by the person who has appliedfor the reduced time of the tenancyagreement.

Ways of ending tenancyagreements

3.0 Ending a Tenancy > 23

When a landlord or agent wants toend a tenancy agreement, they mustcomplete the official ‘Notice to Vacateto Tenant/s of Rented Premises’ form.

The ‘Notice to Vacate’ form:

• is addressed to the tenant

• is signed by the landlord or agent

• gives a reason (unless it is a‘Notice to Vacate’ for no specifiedreason)

• gives the date the tenant is toleave.

The ‘Notice to Vacate’ must be:

• sent to the tenant at the rentedpremises by registered post, or

• given to the tenant in person.

Reasons and minimum noticeperiods when a landlord or agentgives a ‘Notice to Vacate’There are a number of reasons allowedunder the Act for ending a tenancyagreement.

The following table is relevant forending both fixed-term and periodicagreements.

When the landlord or agentwants to end a tenancyagreement

Reason for giving a ‘Notice to Vacateto Tenant/s of Rented Premises’

Damage is maliciously caused to thepremises or common areas by tenantor tenant’s visitor.

Tenant or tenant’s visitor putneighbours in danger.

cont.

Minimum notice period for each reason(Allow extra time whether mailing ordelivering by hand. Check pages 30-31to calculate the extra time correctly.)

Immediate notice

Immediate notice



If the premises are:• totally destroyed• partly destroyed and unsafe• unfit to live in.

Tenant owes at least 14 days rent.


Immediate notice

14 days

Tenant has breached a VCATcompliance order or compensationorder.

Tenant has already been given two‘Breach of Duty’ notices and thesame problem occurs.

The premises are being used forillegal purposes.

14 days

14 days

14 days

Other tenants are brought in withoutconsent.

14 days

Tenant did not pay the bond asagreed.

Tenant has a child living at thepremises when the agreement is onewhich does not allow children.

Landlord is a government housingauthority and tenant misled theauthority so they could be acceptedas a tenant.

14 days

14 days

14 days


When the landlord or agent gives oneof these reasons for ending a tenancy,the tenancy end date noted on the‘Notice to Vacate’ cannot be before theend date of the fixed-term tenancyagreement.


The tenancy agreement has a fixed-term or set end date and states thatthe tenant has rented the landlord’sown home and the landlord willoccupy it at the end of the tenancyagreement.

Planned reconstruction, repairs orrenovations (for which all necessarypermits have been obtained) cannotbe properly carried out unless thetenant vacates.

The premises are to be demolishedand all necessary permits have beenobtained.

The landlord wants to do somethingelse with the premises, for example,use them for a business.

The landlord or a member of thelandlord’s immediate family(including parents and parents-in-law) or a dependant of the landlordwill be moving in who normallylives with the landlord.

cont.


14 days

60 days

60 days*

60 days*

60 days*



The premises are to be sold or offeredfor sale with vacant possessionimmediately after the terminationdate of the ‘Residential TenancyAgreement’.

The premises have been sold and anyconditions of the sale have beensatisfied.


60 days*

60 days*

A government authority owns thepremises and needs them for publicpurposes.

It is the end of a fixed-term tenancyagreement of less than six months.

It is the end of a fixed-term tenancyagreement of six months or more.

60 days

60 days

90 days

The landlord is a governmenthousing authority and the tenant nolonger meets its eligibility criteria.

90 days

No specified reason, but not justbecause tenants have been exercisingtheir rights or saying they will do so.

120 days

* NOTE on re-letting

Unless the landlord or agent has permission from VCAT, they cannot re-let theproperty for six months after giving a 60-day notice for these reasons.


Tenants are advised to use the ‘Noticeto Landlord of Rented Premises’ formavailable from Consumer AffairsVictoria.

In cases of severe hardship a tenantcan apply direct to VCAT to end thetenancy early, see page 22 for details orcontact Consumer Affairs Victoria on1300 55 81 81.

The tenant must give the landlord oragent the correct amount of writtennotice when ending a tenancyagreement.

The tenant’s notice of intention tovacate must:

• be in writing

• be signed by the tenant or thetenant’s representative

• give a reason, if applicable (seetable on page 28)

• give the date the tenant plans toleave, taking into account theamount of time required fornotice under the Act (see table onpage 28).

Delivering a notice of intention tovacate must be done in one of thefollowing ways.

• Delivered personally to thelandlord or agent.

• Left for the landlord or agent attheir residence or business with aperson apparently over the age of16 years and apparently living oremployed there.

• If the landlord or agent is acorporation, given to anauthorised officer of thecorporation employed at itsregistered office.

• Posted to the landlord or agent attheir residence or business or, ifthe landlord or agent is acorporation, posted to thecorporation’s registered Victorianaddress.

It’s a good idea to use registered postso there is proof when and where thenotice was sent.

Refer to pages 30-31 for informationon minimum notice periods.

When the tenant wants toend a tenancy agreement


Reasons and minimum noticeperiods when a tenant gives anotice of an intention to vacateThe minimum amount of timerequired for the notice depends onthe reason for giving it.

Reason for giving written notice ofan intention to vacate to thelandlord or agent

Before the tenant moves in, thepremises are:

• not vacant*• not in good repair*• totally destroyed• partly destroyed and unsafe• unfit for human habitation*• not legally available as a residence• not available for occupation.

During the tenancy the premises are:

• totally destroyed• partly destroyed and unsafe• unfit for human habitation.


Immediate notice

Immediate notice

Landlord has breached a VCATcompliance order or compensationorder.

Tenant has already given two ‘Breachof Duty’ notices to the landlord oragent and the same breach hasoccurred.

Cont.

14 days

14 days


Reason for giving written notice ofan intention to vacate to thelandlord or agent

Tenant requires temporary crisisaccommodation.

Tenant requires special or personalcare.**


14 days, however, if there is a fixed-term tenancy agreement, the enddate on the notice cannot be beforethe end date of the agreement.

14 days, however, if there is a fixed-term tenancy agreement, the enddate on the notice cannot be beforethe end date of the agreement.

Tenant is offered public housing.

Any other reason.

14 days, however, if it is a fixed-term tenancy agreement, the enddate on the notice cannot be beforethe end date of the agreement.

28 days, however, if it is a fixed-term tenancy agreement, the enddate on the notice cannot be beforethe end date of the agreement.

*Immediate notice before tenant moves in (premises not vacant, not ingood repair or unfit for human habitation):To avoid later dispute and a possible compensation claim, Consumer AffairsVictoria suggests that tenants advise the landlord or agent of the problem andallow a reasonable time for response before giving notice that they will not bemoving in.

**Special or personal care means:• assistance with one or more of the following:

• Bathing, showering or personal hygiene.• Toileting.• Dressing or undressing.• Meals.• Physical assistance for persons with mobility problems.• Assistance for persons who are mobile but require some form ofsupervision or assistance.

• Assistance or supervision in dispensing medicine.• The provision of substantial emotional support in a health orresidential service.


When giving a notice it is important toadd extra time to the minimum noticeperiod when sending the notice bymail and when giving it in person.

The following table shows the totalnumber of days to allow when a noticeis sent by registered post.

When sending by post, more daysshould be added for any publicholidays that fall within the postalperiod.

Calculating minimumnotice periods

Minimum Posted on Posted on Posted on Posted on Posted onnotice Monday Tuesday Wednesday Thursday Fridayperiod

Immediate 3 3 3 5 514 days 18 18 18 20 2028 days 32 32 32 34 3460 days 64 64 64 66 6690 days 94 94 94 96 96120 days 124 124 124 126 126


The following table shows the totalnumber of days to allow when a noticeis given to the other party by hand.

If the tenant receives a ‘Notice toVacate’ they can move out or:

• challenge the notice if theybelieve they have a reasonallowed under the Act, or

• ask for more time before theyhave to move out.

Reasons allowed under the Actfor challenging a ‘Notice toVacate’Tenants have the right to challenge thevalidity of any ‘Notice to Vacate’.Tenants can argue against the notice ifit is not given properly or if theydisagree with the reason given.

Tenants also have the right tochallenge a ‘Notice to Vacate’ given forno specified reason or to end a fixedtenancy, if they believe it was givenbecause they were exercising theirrights under the Act or saying theywould do so.

Minimum Given on Given on Given on Given on Given onnotice Monday Tuesday Wednesday Thursday Fridayperiod

Immediate - - - - -14 days 16 16 16 16 1628 days 30 30 30 30 3060 days 62 62 62 62 6290 days 92 92 92 92 92120 days 122 122 122 122 122

When a tenant receives anotice to vacate


How to challenge a ‘Notice toVacate’Tenants must apply to VCAT tochallenge a notice within specifictimeframes depending on the reasonand the minimum time period of thenotice.

Tenants must apply to VCAT within:

• 60 days of receiving a 120 day‘no specified reason’ notice

• 28 days of receiving a 90 daynotice to end a fixed-termagreement

• 21 days of receiving a 60 day‘end of fixed-term’ notice

• 30 days of receiving any other60 day notice.

Special notice requirementsIf a landlord or agent has given a60 day or longer ‘Notice to Vacate’, thetenant can avoid staying until the endof the notice period by giving theirown 14 day notice. However, if it is afixed-term tenancy agreement, the enddate on the tenant’s notice cannot bebefore the end of the fixed term.

Asking for more time to vacateTenants can also argue against a noticeif it would be difficult for them tomove out without an extension oftime.

VCAT can make special allowanceswhen making a decision to avoidsevere hardship to tenants orlandlords.

If the notice period given by thetenant, landlord or agent to end thetenancy has run out and the tenanthas not left, the landlord or agent canseek a VCAT order for possessioninstructing the tenant to vacate. Thisenables the police to carry out aneviction.

VCAT hearings for applicationsfor possessionThe tenant has the right to attend ahearing and give evidence. VCAT willhear and consider both sides. VCATcan deal with rental arrears notices andend of fixed-term notices without ahearing if the landlord or agentfollows the requirements of thealternative procedure set out in theAct, and the tenant does not object.

Where the landlord or agent uses thealternative procedure, tenants whowant a hearing should immediatelycomplete the objection form given tothem by the landlord or agent, lodge itwith VCAT, and also send a completedcopy to the landlord or agent.

When the notice periodruns out and the tenanthas not left

4.0 Leaving a Tenancy > 33

At the end of a tenancy the tenant andthe landlord or agent should attemptto agree on how the bond money is tobe divided up. For example, there maybe some rent unpaid, or there may besome property damage which needs tobe repaired. The agreed divisionshould be set out in the ‘Bond Claim’form, which is sent to the ResidentialTenancies Bond Authority (RTBA).

Tenants should never sign a blank‘Bond Claim’ form.

The RTBA will not accept a ‘BondClaim’ form if it has been altered inany way. If a tenant, or landlord oragent needs to make any changes tothe form, they must complete a new‘Bond Claim’ form.

When any part of the bond is to bepaid to the landlord or agent, the formcannot be signed more than sevendays before the end of the tenancy.

Part fourLeaving a tenancyafter giving orreceiving notice

The bond

4

34 > 4.0 Leaving a Tenancy

Reclaiming the bondWhen the RTBA receives a correctlycompleted ‘Bond Claim’ form, it paysthe bond directly into the nominatedbank account/s overnight.

Where there is a shared tenancy, theRTBA does not make part-payment ofbonds to outgoing tenants during thecourse of a tenancy. Adjustments ofcontributions to the bond betweenoutgoing and incoming tenants are aprivate matter between the tenants,however the RTBA must be told aboutany change of tenants during atenancy on the RTBA ‘Tenant Transfer’form.

If a tenant’s whereabouts are unknownand rent is owing, the landlord oragent has 10 business days in which toapply to the Victorian Civil &Administrative Tribunal (VCAT) for anorder directing the RTBA to repay thebond to the landlord or agent to coverthe rent.

The application must follow VCAT’sprocedures and must be verified byan affidavit.

VCAT can make a determination todistribute the bond money without ahearing or refer the matter for ahearing and a decision. In this case,the landlord or agent then lodges thedetermination and a completed ‘BondClaim’ form with the RTBA.

Where the DoH provided a bond loan,the tenant is not permitted to agree tothe release of any of the bond to thelandlord or agent.

The RTBA will pay out the bond to theDoH at the end of the tenancy once itreceives the completed ‘Bond Claim’form.

If a ‘Bond Claim’ form is not lodged,the DoH will not know that thetenancy has ended and the bondamount will remain registered as anoutstanding debt against the tenant.

If there is any claim by the landlordon a bond provided by the DoH, theclaim must be heard by VCAT.

When the landlord cannotlocate a tenant and rent isowing

Bonds provided by theDirector of Housing (DoH)


In some circumstances the landlordmay make a claim on the bond.

A landlord or agent can make a claimon the bond for:

• damage caused by the tenant orthe tenant’s visitors

• cleaning expenses

• the tenant abandoning thepremises

• the tenant leaving the landlordto pay bills that the tenantshould have paid

• loss of the landlord’s goods

• unpaid rent.

Costs due to fair wear and tear cannotbe claimed.

If there is disagreement about thedivision of the bond, the landlordmust apply to VCAT within10 business days of the tenantvacating the premises.

The landlord or agent may also claimcompensation over and above theamount of the bond. In such cases, thelandlord or agent needs to make aseparate application to VCAT forcompensation.

Tenants who have a separate watermeter should let the water providerknow in advance that they will bemoving out. Not doing so may resultin tenants being charged for water inthe next billing period.

When a landlord makes aclaim on the bond

Landlord claimingcompensation

Final water meter readings


Tenants should take belongings withthem and leave a forwarding addresswhen they end a tenancy.

If any personal documents or goodsare left behind, arrangements shouldbe made for them to be collected bythe tenant. If these arrangementscannot be made, there are procedureslandlords can follow.

The landlord or agent cannot refuse togive back any of a tenant’s belongings,even if the tenant owes rent.

A tenant who suffers a loss because thelandlord or agent did not comply withthe legislation can apply to VCAT tobe compensated.

If, in complying with the legislation, alandlord or agent stores and auctionsthe goods and suffers a loss, they canalso apply to VCAT to becompensated.

Personal documentsPersonal documents include officialdocuments, photographs,correspondence, and any otherdocuments which a person wouldreasonably be expected to keep.

When personal documents are leftbehind the landlord or agent must:

• take reasonable care of thedocuments for at least 90 days

• let the tenant reclaim thedocuments after paying back anymoney the landlord or agent hadto spend to remove and care forthem.

A $2000 fine can be imposed for notletting a tenant reclaim documentswhen they were willing to pay areasonable amount to cover thosecosts.

If a landlord or agent complies withthe requirements set out in the Actand the tenant does not claim thedocuments, the landlord or agent candispose of the documents.

The landlord or agent can then applyto VCAT to be compensated for thecost of looking after and removing thedocuments.

Belongings left behind


GoodsGoods that can be disposed of

The requirements under the Act donot apply to perishable foods or goodsthat are dangerous or of no monetaryvalue. In such cases the goods may bedisposed of, regardless of their totalvalue.

All other goods need to be storedunless removal, notification, storageand auction costs for the goods wouldbe more than the auction proceeds.Landlords and agents can assesswhether under the Act the goods canbe disposed of or must be stored.Alternatively they can request thatConsumer Affairs Victoria inspect thegoods and make a formal assessment.To request an inspection, write to theDirector of Consumer Affairs Victoriaat the address on the back cover. A‘Request for Inspection of Goods LeftBehind’ form is available fromConsumer Affairs Victoria.

Goods that must be stored

If a tenant leaves goods behind in therented premises which are not allowedto be disposed of, the landlord oragent is required to follow set timelinesand procedures including:

• storing the goods for 28 days

• notifying the tenant, either bynotice to the tenant’s forwardingaddress or by advertising in adaily newspaper within sevendays of storage, that the goodscan be collected from thelandlord or agent

• letting the tenant reclaim thegoods after they have paid thecosts to cover any reasonableexpenses incurred by the landlordor agent in complying with theAct.

The Act sets out the procedure for:

• selling the goods at auction afterthe required storage period hasended

• claiming the costs of storage,advertisement and sale

• dealing with excess money raisedby the sale of goods left behind.

A $1000 fine can be imposed for notallowing a tenant to reclaim goodswhen they were willing to pay areasonable amount to cover thosecosts.

There are specific procedures fordisposing of goods. Contact ConsumerAffairs Victoria on 1300 55 81 81 formore information.


It’s a good idea for tenants to leave aforwarding address and phone numberwhen leaving a tenancy. The newaddress and telephone number shouldbe given to the landlord or agent, andalso to VCAT (if an application hasbeen made) and the RTBA on the‘Bond Claim’ form. This will make iteasier for all concerned if the tenantneeds to be contacted for any reason,especially if a tenant needs to receivebond money.

Tenants can also get their mailforwarded to their new address bycompleting a form at any AustraliaPost office. There may be a fee for thisservice.

Providing a forwardingaddress

5.0 Solving Tenancy Problems > 39

Ideally, tenants and landlords or agentsshould solve any problems by comingto an agreement. Of course, theagreement must be within the law. Toprevent future problems, anyagreement should be put in writingand signed by both parties.

If a tenant or a landlord or agentwants to enforce their rights under thelaw, they usually have to give a formalnotice explaining the issue to the otherperson. The relevant notices areavailable from Consumer AffairsVictoria.

A notice always needs to state whatthe tenant or landlord or agent wantsdone and when it must be done by.The amount of time to comply withthe notice varies and depends on thetype of problem.

Notices other than a ‘Notice to Vacate’should be:

• delivered in person to the tenantor landlord or agent, or

• if the person is a corporation,given to an authorised officer ofthe corporation who is employedat its registered office, or

• left for the person at their homeor business address with a personapparently over 16 years of ageand apparently living oremployed there, or

• posted to the person at theirresidence or business or if theperson is a corporation, to thecorporation’s registered Victorianaddress (it’s a good idea to useregistered post).

See page 23 for more details on givinga ‘Notice to Vacate’.

Part fiveSolving tenancyproblems 5

40 > 4.0 Solving Tenancy Problems

VCAT has a Residential Tenancies Listspecifically for hearing disputesbetween landlords and tenants.

Application forms are available fromVCAT (www.vcat.vic.gov.au) andConsumer Affairs Victoria.

An application to VCAT shouldinclude:

• a completed and signedapplication form

• payment for lodging anapplication (except for bondclaims)

• copies of all notices that havebeen given or sent

• copies of any other documentswhich are important for theclaim such as receipts, letters,photographs, statutorydeclarations, and reports fromthe Director of Consumer AffairsVictoria. The originals of thesedocuments must be available atthe VCAT hearing.

Usually, the only cost involved in thehearing is the application fee. Inexceptional circumstances this fee maybe waived, depending on set criteriaregarding income and social securitystatus. Tenants, landlords and agentsshould contact VCAT or ConsumerAffairs Victoria on 1300 55 81 81 forinformation on the fee waiver.

Hearing date and timeVCAT informs the tenant and thelandlord or agent of the date, time andplace of the hearing. VCAT should becontacted for advice on seeking anadjournment or rehearing.

Using the Victorian Civil &Administrative Tribunal(VCAT)

5.0 Solving Tenancy Problems > 41

How VCAT operatesVCAT hearings take place in countryVictoria as well as in the city andsuburbs. The hearings are open to thepublic.

It is important to be as well preparedas possible. Tenants should contactConsumer Affairs Victoria on1300 55 81 81 for help in preparingfor any hearing.

The VCAT Member, who is a lawyer,will hear and consider all the evidencefrom both sides. This includesevidence from witnesses, and lookingat photographs and other documentsbrought to the hearing by the tenantand the landlord or agent.

VCAT, in exceptional circumstances,may order one side to pay the otherside’s costs.

VCAT’s decisions are usually made onthe day of the hearing. They must beobeyed by the tenant and the landlordor agent in the same way as a courtorder needs to be complied with.

Urgent VCAT casesIn cases of extreme hardship, tenants,landlords and agents can ask for theircase to be heard quickly. A letterexplaining why must be sent alongwith the application.

Interpreters at VCATVCAT can provide interpreters butonly for the parties involved in thedispute – not for witnesses or friends.If an interpreter is required, VCATneeds to be told at the time of makingthe application. VCAT will thenarrange for an interpreter free ofcharge. Friends or relatives aregenerally not allowed to interpret for atenant, landlord or agent at a hearing.

Consumer Affairs Victoria

Victorian Consumer & Business Centre113 Exhibition StreetMelbourne Victoria 3000Telephone 1300 55 81 81 (local call charge)Facsimile (03) 8684 6295Email [email protected] www.consumer.vic.gov.au

June 2008R-01-06-1098

This guide is also available in:

Arabic, Chinese, Greek, Italian, Russian,Serbian, Turkish and Vietnamese.

TIS 131 450Textphone (TTY) or modem users only, ringthe NRS on 133 677, then quote 1300 55 81 81.Callers who use Speech to Speech Relay dial1300 555 727, then quote 1300 55 81 81.

Regional offices are located in Ballarat,Bendigo, Geelong, Morwell, Mildura,Wangaratta and Warrnambool.

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