Renting? Know your rights about rent bidding restrictions

Published Date
22/03/2023
News Topic
Rent bidding is now banned in NSW

The NSW State Government introduced regulations in December 2022 that now prohibit real estate agents from inviting prospective tenants to offer an amount higher than the advertised rent for a rental property.

Real estate agents must now advertise a fixed price, not a price range or ‘by negotiation’ and cannot solicit or encourage prospective tenants to place higher amounts.

Similar rules have been rolled out in other states, including Queensland, Victoria and Tasmania.

In Randwick City more than 46% of all properties are rentals and 56% of all dwellings are apartments.

Contravening the new regulations comes with penalties, including a possible on-the-spot penalty infringement notice of $1,100 for a corporation and $550 for an individual, and in escalated cases of non-compliance, a court can award a maximum penalty of $11,000 for a corporation and $550 for an individual. These penalties are enforceable by the NSW State Government.

Renters should also note that even though agents are banned from solicited rent bidding, the new regulations do not prevent them from accepting a higher offer made by a prospective tenant.

Anyone who believes a real estate agent has asked them to increase their offer to secure a rental agreement can contact NSW Fair Trading on 13 32 20 or through the NSW Fair Trading website.

Last Updated: 22 March 2023
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