Knowing Your Rights When Signing An Agreement Lease .


Other pages have information about paying the bond and unlawful discrimination.


A rental arrangement is a contract in between a tenant and a rental company (property manager). Once you have signed it, there is no 'cooling off' period. It is essential to comprehend what you are consenting to when you sign a rental agreement.


Other pages know about rooming homes and caravan parks or things you inspect when starting a website agreement in a property park or village.


Questions renters can not be asked


A rental service provider is not enabled to ask for certain details from potential renters:


- whether they have previously taken legal action or had a disagreement with a rental supplier
- about their bond history
- for a complete statement from a credit or checking account with all the transactions (you can delete transactions that you don't feel comfortable revealing).
- specific protected characteristics detailed in the Equal Opportunity Act 2010 (e.g. ethnic background). If they do make such as demand, they should offer the factor they are requesting that info in writing.


Report an issue with an advertised rental residential or commercial property


Prospective tenants, realty agents or members of the general public with concerns about an advertised rental residential or commercial property can report a problem to us. Find out more, view Report a problem with a marketed rental residential or commercial property.


Using the correct agreement (lease)


You must use the 'prescribed kind' when entering into a composed rental contract. A prescribed kind is specified by Victorian rental law.


We suggest utilizing the official form supplied on our website.


You can learn more about domestic rental agreements, and find the forms on that page, before you sign.


Either a rental service provider or occupant can request that specific conditions be consisted of in a rental contract. For instance, a rental provider might consist of a condition that states no smoking cigarettes is permitted inside the residential or commercial property.


A rental provider or renter can not consent to any terms which are inconsistent with the term of the Residential Tenancies Act or the standard rental agreement. This will be void. For example, the rental supplier can not include a term saying that they will inspect the residential or commercial property monthly.


You can see a list of conditions that are not enabled to be consisted of on property rental contracts.


Receiving notifications and other files electronically


Renters and rental providers can accept get notifications and other files from each other digitally (typically via email). This should be kept in mind in the rental arrangement.


If you consent to receive notices digitally, make certain you supply an e-mail address that you inspect routinely.


A renter can withdraw their approval at any time by telling their rental service provider. We suggest doing this in writing.


If your email address modifications during your rental contract, you need to inform the other party immediately.


Paying lease and charges


Renters should be offered a minimum of one way to pay rent that does not require them to pay fees. For instance, this might be by direct bank transfer or direct debit.


A rental provider can not need the tenant to pay more than one month's lease beforehand unless the weekly rent is more than $900. If you desire to pay more, you can.


To learn more, see paying lease and lease in advance.


Rental providers can not charge for:


- the costs of preparing the agreement.
- a set of all house secrets for each tenant on the arrangement.


Bond amounts


Usually, a rental provider can not ask for a bond that is greater than the amount of one month's rent. Discover more about bond payments and amounts.


Before you sign


When you make an agreement with somebody to lease their residential or commercial property to live in, you are going into a property rental agreement. This is a legal file, and it can require time to end the agreement, so you require to be confident that the residential or commercial property is ideal for you.


Before you sign a rental agreement, the rental supplier must let the occupant know:


- if they intend to sell the properties, and if so, whether they have actually engaged an agent to offer the residential or commercial property, or if there is a contract of sale.
- if a mortgagee is acting to possess the premises, and if so, whether a mortgagee has commenced procedures to enforce the mortgage.
- if they are the owner of the residential or commercial property, or if they are not the owner of the residential or commercial property however they have a right to rent the residential or commercial property out.
- if the premises are provided with electrical energy from an embedded electrical energy network. If so, the rental service provider needs to provide the trading name of the embedded network, ABN of the ingrained network operator, the contact details, and electricity tariffs and any other charges applicable (or details where that info may be accessed).
- if, to the very best of the rental service provider's knowledge, the rental residential or commercial property or typical residential or commercial property has actually been the place of a murder in the last 5 years.
- if the rental residential or commercial property fulfills the rental minimum requirements.
- if, in the last 3 years, the rental provider has actually received a repair notification( s) seeking repair of mould or damp related to the building structure. (This disclosure requirement just starts after 31 December 2021).
- the date when an electricity security check was last conducted at the properties.
- the date when a gas safety check was last conduced at the properties.
- whether there are any exceptional recommendations from the electrical power and gas safety checks.
- if the rental residential or commercial property is a heritage noted place.
- if, to the best of the rental supplier's understanding, the rental residential or commercial property has actually been utilized for the trafficking or growing of a drug of reliance in the last 5 years.
- if, to the very best of the rental company's knowledge, the rental residential or commercial property has asbestos in it.
- if, to the best of the rental service provider's understanding, the rental residential or commercial property is impacted by any building or preparation application lodged with a relevant preparation authority.
- if the rental properties are subject to a notice, order, statement, report or suggestion released by a pertinent building property surveyor, court surveyor, public authority or government department connecting to any structure problems or safety concerns related to the leased properties or typical residential or commercial property. If the answer is yes, the rental company should offer a description of the order, notification or report.
- if there is a current domestic building work disagreement under the Domestic Building Contracts Act 1995 associating with the rental properties.
- if there is a present conflict under Part 10 of the Owners Corporations Act 2006 (a conflict between owners, citizens and/or the supervisor) which impacts the rental facilities.
- whether the rental premises goes through the owners corporation rules (the leasing supplier need to attach these the guidelines to the application type).


Terms that should not be in your rental arrangement


A rental service provider or tenant should not prepare or authorise the preparation of a rental contract of as much as 5 years which includes a prohibited or invalid term.


List of conditions that will be invalid


If a rental contract includes extra terms aside from the ones in the basic type rental contract, these terms might be void if:


- the term has been prohibited (see listed below).
- the term seeks to leave out, restrict, or modify or has the effect of excluding, limiting or customizing the application of the Residential Tenancies Act, including the exercise of any rights under that Act, to the rental arrangement.


This consists of a term that is not set out in the rental arrangement however is pointed out in the rental contract.


If you think an invalid term has been included in your rental arrangement, seek suggestions from us. VCAT might declare that a term of a rental agreement is void.


Note: the requirements connecting to void terms do not use to a term of a standard form rental contract of more than five years.


List of conditions that can not be included


Renters can not be required to:


- secure any form of insurance.
- pay additional rent or charges if they break the guidelines in the arrangement.
- pay for the rental company or representative to prepare the agreement.
- pay rent beforehand in a manner that needs additional expenses (besides bank charges or account fees payable on the tenant's bank account).
- use the services of a 3rd party company nominated by the rental company besides an embedded network.
- spend for or arrange upkeep of safety devices that is the rental supplier's responsibility.
- indemnify the rental service provider.


The contract likewise can not state that:


- lease will be decreased if the renter does not break the rules in the agreement.
- the tenant will be paid refunds or other payments if they do not break the rules in the arrangement.
- the tenant will be bound by a contract that they did not accept in composing after having an opportunity to examine it before getting in into the rental arrangement.
- the renter can not make a claim for payment due to the fact that the leased properties are not available on the start date of the arrangement.
- the occupant has to pay the rental service provider's costs of submitting an application at VCAT.
- the occupant has to pay an insurance coverage excess for a rental provider's policy.
- the renter is accountable by default for an insurance coverage excess to be paid under an insurance coverage policy of the rental company (each circumstance has actually to be considered).
- the tenant needs to pay a repaired cost for ending a contract early (unless the basis for calculating the repaired fees has actually been set out in the contract)


There is a penalty for including a restricted term in a rental arrangement.


Minimum standards for a rental residential or commercial property


Rental providers should make sure their residential or commercial property is preserved according to rental minimum requirements. This includes making certain:


- the residential or commercial property has no mould, pests or vermin
- existing home appliances like ovens and stoves remain in working order
- there is a safe, working heating system
- there is an affordable supply of warm water to the cooking area and restroom
- the residential or commercial property's structure is safe and weatherproof.


If the rental residential or commercial property does not meet the minimum standards, occupants can end the rental agreement before they relocate. Renters can likewise request an urgent repair work to make the rental residential or commercial property meet the minimum standards at any time after they move in.


Note: this only uses to new rental arrangements signed from 29 March 2021. If your rental arrangement was signed before this date, you can discover more info on Transition to brand-new leasing laws.


This is not a complete list of the minimum requirements. To learn more about minimum standards, see Minimum requirements for rental residential or commercial properties.


What rental suppliers should offer renters


At the start of every rental arrangement, the rental provider or agent need to give renters:


- a copy of the rental arrangement if it's in composing
- a copy of our Renters direct either as a paper copy or digitally if you have concurred to receive files electronically
- a contact number in case you require immediate repairs done out of service hours
- the rental service provider or agent's full name, a postal address for sending them documents, and an email address (if they agreed in composing to get notifications and other files digitally).
- a set of keys for each occupant who signed the agreement.


If tenants needed to pay a bond, the rental provider must provide:


- 2 copies of the condition report (or one electronic copy).
- a kind to sign, so the bond money can be lodged with the Residential Tenancies Bond Authority.


If there is an owners' corporation, renters must be given a copy of their rules.


Checklist for signing a rental agreement


- The contract is not insufficient or blank.
- The bond is not more than one month's rent unless the lease is more than $900 weekly.
- You are not required to pay more than one month's rent ahead of time (unless you select to or your rent is more than $900 per week).
- There is at least one method to pay the lease where you do not need to pay a cost to a 3rd party.
- Negotiate any additional conditions that you want in the agreement (for example, that the rental service provider will change the oven within 6 months).
- There is no charge to prepare the rental contract.