Since 2021, the government has steadily strengthened compliance requirements as part of its broader rental reform agenda. While adjusting to these changes was onerous for rental providers initially, many have carried out the necessary changes and are already well-positioned to meet these standards into the future. With key regulations—such as the mandatory biannual electrical and gas safety checks and annual smoke alarm audits—firmly in place, staying compliant is becoming less burdensome. However, a new amendment passed in March further reinforces the government’s compliance expectations, placing additional responsibilities on rental providers and property managers. Below is what you need to know.
Minimum standards
Currently, there are 14 minimum standards that rental properties must meet, ensuring a baseline level of safety, security, and liveability. These include:
- An energy-efficient fixed heater in the living area.
- Deadlocks on external doors.
- Adequate lighting.
- A property free from mould.
- Various other essential safety and comfort measures.
The government continues to strengthen these standards and by the end of 2025, an additional requirement will come into effect: blind cords must be anchored to the wall to mitigate safety risks. Whilst this new minimum standard will already be met by many rental providers, our property managers can assist in ensuring those properties that are not compliant, will become so, well ahead of the deadline.
Stricter advertising rules
A significant shift in compliance obligations will occur from November 2025, when rental properties must not be advertised or offered for lease unless they meet the minimum standards. Under the new law:
- Rental providers and agents must take reasonable steps to verify compliance before advertising.
- If a property does not meet standards, it cannot be listed for rent.
- The burden of proof is on rental providers and agents to demonstrate a reasonable belief that the property complies at the time of advertising.
Both individual rental providers and real estate agents can be held legally responsible for advertising properties that don’t meet minimum standards. This applies to, individual rental providers, corporate rental providers, individual agents who list the property and real estate agencies overseeing property management. Failure to comply could result in significant fines of up $11,538.60 for individual rental providers or agents, and up to $57,693 for real estate agencies or corporate rental providers.
To ensure compliance, rental providers and agents should maintain documentation that supports their belief that a property meets the required standards. Acceptable proof includes:
- Recent property inspection reports.
- Certificates of compliance for gas, electrical, and smoke alarm safety.
- Written confirmation from qualified tradespeople for any required repairs or upgrades.
- Internal agency compliance checklists before listing a property.
The good news is that most rental properties already meet minimum standards, and once a property is deemed compliant, it generally does not require ongoing verification. For most owners, these changes will be inconsequential, provided they continue to maintain biannual gas and electrical checks and annual smoke alarm audits.
For rental providers who already take a proactive approach to property maintenance, this update serves as a reminder rather than a major disruption. However, given the legal and financial risks associated with non-compliance, seeking guidance from your property manager is always an important step.
If you have any questions or concerns about your property’s compliance status, speak to your property manager to ensure you’re ahead of the curve.