Every renter in NSW can now avoid finding thousands of dollars for a second bond when they move home, with the Minns Labor Government’s Smart Rental Bonds scheme rolling out statewide, months ahead of schedule.
Following a successful first phase in Penrith, Parramatta and the Central Coast last month, with almost $1 million in bond transfers already completed, the new system is now available in all areas of NSW.
The scheme allows renters to transfer their existing bond from one property to the next, eliminating the need to find thousands of dollars upfront every time they move, expected to save renters up to $4,000 per move.
Renters are notified once a landlord or agent lodges a bond request online, then log onto Rental Bonds Online to either pay their new bond upfront or transfer their existing bond for a $25 fee. If the new bond is higher than the old one, the renter pays the difference; if it is cheaper, they get the difference back, provided there is no agreed claim on the bond. If a landlord at the original property makes a finalised claim, the NSW Government pays the landlord upfront and the renter repays the Government, meaning landlords face no financial risk.
Smart Rental Bonds delivers on the Government’s election commitment to introduce a portable rental bonds system, and follows other rental reforms including banning no-grounds evictions, limiting rent increases to once a year, ensuring fee-free ways to pay rent, banning fees for background checks and making it easier to have pets in rentals.
Premier Chris Minns said moving home was expensive enough without having to find thousands of dollars for a second bond while the first was still tied up.
“More than two million people rent in New South Wales. This is a practical change that makes moving home easier and takes one big financial pressure off their shoulders,” Mr Minns said.
Minister for Better Regulation and Fair Trading Anoulack Chanthivong said Smart Rental Bonds was already saving renters money every day.
“Now, every renter in the state can access this landmark cost-of-living relief,” Mr Chanthivong said.
“So, our message is clear: next time you move property, avoid the dreaded double bond and take advantage of Smart Rental Bonds to save yourself thousands of dollars.”
NSW Rental Commissioner Trina Jones said the change was designed to reduce the pressure of moving home.
“We’re pleased to be rolling this out statewide and look forward to seeing more renters benefit from a simpler, more flexible bond system as it expands across NSW,” Ms Jones said.
To find out more about Smart Rental Bonds, visit nsw.gov.au/housing-and-construction/renting-a-place-to-live/residential-rental-bonds/smart-rental-bonds.
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