Improved bond process
The Residential Tenancies and Rooming Accommodation and Other Legislation Amendment Act 2024 received Assent on 6 June 2024. Changes to the law will come into effect in stages.
Read more about changes to Queensland’s rental laws.
Evidence for bond claims
A bond paid by a renter gives the property owner financial protection in case the renter breaches the terms of the tenancy agreement, such as by damaging the property or not paying rent.
Under the current rental laws, rental property owners don’t have to provide information to the renter when making a claim against the bond when the tenancy ends.
From 30 September 2024, rental property owners will be required to give renters information to support their claim against the rental bond within 14 days after making the claim, unless they were unable to contact the renter after making reasonable efforts. This information may be receipts, quotes to repair damage or records of unpaid rent. Breaching this requirement will be an offence.
This reform will make the rental bond refund process fairer and more transparent.
Maximum bond amounts
Under current rental laws, rental property owners can charge a bond of more than 4 weeks' rent if the weekly rent is more than $700 for residential tenancy agreements and $500 for rooming accommodation agreements.
From 30 September 2024, the maximum bond amount that can be charged is the equivalent of 4 weeks' rent, for all rental premises other than moveable dwellings (e.g. caravans).
This reform will give renters certainty about how much bond is required and limit excessive bond amounts to improve the upfront affordability of renting a home.
If a renter had previously paid a bond of more than 4 times the weekly rent, and the bond continues to be held by the RTA after an agreement has ended because the renter continues to occupy the property under a new agreement, the renter can apply to the RTA for a refund of the excess amount.
If the bond isn’t enough to cover costs at the end of a tenancy, rental property owners can still use existing mechanisms to recover funds by applying for compensation to the Queensland Civil and Administrative Tribunal (QCAT) for compensation.
Bond refunds involving commercial bond products
Previously, if a renter took out a loan from a commercial or third-party provider to pay their bond, the Residential Tenancies Authority (RTA) could only issue bond refunds directly to the bond loan provider.
From 6 June 2024, the RTA will be able to refund the bond directly to renters, except if the bond loan is from the Department of Housing, Local Government, Planning and Public Works.
This reform ensures that renters receive their share of a rental bond refund and remain responsible for any unfulfilled obligations for a commercial bond product they have accessed.
Bond release if case dismissed without a QCAT order
From 6 June 2024, the RTA is able to refund a bond in accordance with the original bond claim if QCAT had dismissed the application without making an order.
Previously, the RTA couldn’t release bond refunds if QCAT had dismissed an application for an order to direct the RTA to refund the bond, without making an order.
This reform ensures that rental property owners and renters can access bond refunds.
Bonds for rooming accommodation
Under previous rental laws, property owners didn’t have to lodge bonds with the RTA that they took from residents who were renting a room where the owner lived on the premises and 3 or fewer rooms were available for rent.
From 6 June 2024, new laws require owners taking rental bonds in these circumstances to lodge them with the RTA.
This will strengthen protections for rooming accommodation residents by allowing the RTA to investigate and enforce breaches of the Act relating to rental bonds.
Portable bond scheme
Pressure in the rental market means many people are having to move around more often to find a home they can afford.
A portable bond scheme is being developed that will enable renters to transfer their bond when moving from one rental property to another.
This will relieve pressure for renters who can be asked to pay a bond to secure their next rental home before the bond they paid for their current one is refunded.
While the scheme is being established, the government is offering a Bridging Bond Loan product to help households afford the upfront cost of a new bond, pending release of a previous bond at the end of their tenancy.
The portable bond scheme will be prescribed by Regulation.