It is essential to understand and acknowledge your rights and obligations as a landlord; therefore, the 'Landlord Information Statement' is implemented to ensure landlords are informed and educated on residential tenancy legislation.
What is a landlord information statement?
What is a Landlord Information Statement, and what has changed?
A Landlord Information Statement is a document stating the rights and obligations of the landlord when entering into a Residential Tenancy Agreement. A new section (section 31A) was inserted into the Residential Tenancies Act 2010 (NSW) that prohibits a landlord from entering into a Residential Tenancy Agreement without acknowledging that they've read and understood the content of the landlord information statement.
This statement will include information such as:
- General Responsibilities
- Fit for habitation
- Disclosure requirements
- Written agreement
- Documentation
- Condition report
- Collection of rental bonds
- Contact details
- Payment records
- Rent Increases
- Rates, taxes, and utility charges
- Water efficiency measures and water usage charges
- Repairs and maintenance
- Smokes alarms
- Access to the premises
- Minor changes
- Domestic violence
- Notice
- Break lease fees
- Refund of rental bonds
Why was this amendment implemented?
The landlord information statement is now required and signed by the landlord before entering a Residential Tenancy Agreement to emulate the valuable tool used for tenants (Tenant Information Statement). These statements are essential for tenants and landlords to be better informed of their rights and responsibilities when entering into a tenancy agreement and to ensure that legislation is met and non-compliance is minimised.
When is it used?
Landlords will need to sign this required document to confirm they understand the landlord obligations pertaining to the Residential Tenancy Agreement. If any of these obligations have not been met, disciplinary action such as a NCAT hearing may be necessary to mediate any non-compliance on the tenant.
What is the benefit?
This statement's benefit is ensuring that risk is minimised for all parties involved in the real estate transaction.
Have more questions about your Newcastle investment property? Want to ensure you are maximising your returns? Why not see the difference a dedicated team of property managers makes? For a free copy of our Property Investors Guide or an obligation-free chat, email our Director, Casey Healey, on casey@c21newcastle.com.au or phone 02 4928 7400 today.