Recently, the Western Australian Government announced the passing of amendments to the Residential Tenancies Act 1987. We have compiled all the information owners and tenants need to know…
The Western Australian Government is passing amendments to the Residential Tenancies Act 1987 (RTA), which will be coming into effect in phases over the next 12 months. The Government is hoping to provide more freedom for tenants to make a rental property feel like a home, while still offering owners the ability to have control over their investment property.
We understand you may have questions at this time and ask you please do reach out so we can assist you as best possible. We have reviewed our systems & procedures to ensure we are adhering to the reforms and thank you in advance for trusting us to guide you through this period of change.
Below is a summary of the key points, as well as the DMIRS and REIWA fact sheets to help understand what this means for you.
PHASE ONE
Likely commencing May 2024
Rent Bidding
- An owner or their representative will not be able to ask or encourage potential tenants to pay more than the advertised rent
- Properties will need to be advertised as a single price, not a range or “from price”
- Potential tenants are still able to make an offer higher than the advertised amount and the owner is able to accept
- Mystery shoppers will be attending home opens to ensure this legislation change is being adhered to
Retaliatory Action
- A tenant will be able to seek remedy or compensation via the Magistrates Court if they believe retaliatory action has been taken by the owner against them for exercising their rights
- An action considered here could be issuing the tenant with a breach notice, a rent increase, commencing termination of a tenancy or not renewing a lease as “pay-back”
PHASE TWO
Likely to commence July 2024
12 Month Rent Increases
- Rent increased on both fixed and periodic tenancies will be allowed every 12 months, not every 6 months
- If a periodic lease is currently in place the minimum 12 month time frame to increase will take apply immediately
- If a fixed lease is currently in place and there are 6 month rent increases specified, they will still apply and can take effect until the end of the fixed period
Pets
- In most cases pets will be allowed in rental properties
- Tenants will be required to seek permission by way of an approved application form (yet to be issued)
- There will be provisions for an owner to refuse by way of application to the Commissioner of Consumer Protection
- The $260 pet bond currently allowed only for fumigation, will be able to be used toward damages, along with the standard bond held
Minor Modifications
There will be a regulated list of “minor modifications” which tenants can make in most cases, which they will be responsible for all costs including that of removal and restoration at the end of the tenancy
- Tenants will be required to seek permission by way of an approved application form (yet to be issued)
- There will be provisions for an owner to refuse by way of application to the Commissioner of Consumer Protection
Dispute Resolution Process
- The Commissioner of Consumer Protection will hear disputes such as rights to a pet, minor changes, bond releases
- This is to simplify the current process of going before the Magistrates Court
- Where a decision cannot be reached or one of the parties does not agree, the matter may still be referred to the Magistrates Court
PHASE THREE
Early 2025
Bond Release
- A tenant or owner can ask for release of the bond direct to the Bond Administrator
- If the parties don’t agree The Commissioner of Consumer Protection will hear the matter from both sides and make a decision on the bond disbursement
Download the Owners fact sheets:
REIWA fact sheet for owners
DMIRS fact sheet for owners
Download the Tenants face sheets:
REIWA fact sheet for tenants
DMIRS fact sheet for tenants