Tenant FAQ's

Bond

Q. Who looks after the bond?

The Residential Tenancies Bond Authority holds the bond during the tenancy.

The tenant has to pay the bond to the landlord or agent. The landlord or agent and the tenant have to complete and sign the official bond lodgment form. The Bond Authority needs the details and signatures on the form to be able to pay out the bond as directed at the end of the tenancy. If there is a change of landlord during the tenancy or a new tenant takes over the tenancy, the Bond Authority must be told.

Bond lodgment forms are available from Consumer and Business Affairs Victoria. The top sheet is marked 'Authority'. Underneath, there is a 'tenant ' copy, which the tenant has to be given as an interim receipt and another copy for the landlord or agent.

Q. How much should the bond be?

Normally, the bond cannot be more than a months rent if the rent is $350 a week or less. A landlord or agent who wants a higher bond must apply to the Tribunal.

Q. Does there have to be a condition report?

A landlord or agent taking a bond has to prepare a condition report on the premises. This report sets out the state of repair or general condition of the premises, including any items as being good, fair or poor.

The condition report is evidence that can be used if there is a dispute later about who should pay for cleaning, damage or missing items. If it is done properly, it can be conclusive proof.

There should be space for comments if the tenant disagrees with the report. The tenant should check the report, put in any comments, sign it and return one (1) signed copy to the landlord or agent. The deadline is three (3) business days after occupying the premises.

The tenant should keep the other copy of the condition report until the end of the tenancy. The landlord or agent might claim some or all of the bond for cleaning, repairs or missing items. If the report says the job already needed to be done at the start of the tenancy or the items were not listed, it can help prove that the bond should be returned to tenant.

Rent

Tenants have a duty to pay rent and to continue paying the rent until the tenancy actually ends.

Under most tenancy agreements, the rent will be payable in advance at the start of the tenancy. If the next regular payment is late or not made, the tenant will be behind with the rent straight away and the landlord or agent may take action against the tenant.

Can the tenant stop paying rent for the last month if the bond will cover it?
No. The bond is separate. A tenant can be fined $1,000 for trying to treat any part of the bond as rent.

Bringing in Other People

The tenant has to get the landlord's or agent's written permission before assigning or sub - letting the premises or any part of the premises. If a tenant does get the landlord's or agent's permission, then a new tenancy agreement needs to be entered into and matters relating to the bond and condition report need to be resolved.

Urgent Repairs

Q. What counts as an urgent repair?

An urgent repair is any work needed to fix:

• a burst water service
• a blocked or broken lavatory system
• a serious roof leak
• a gas leak
• a dangerous electrical fault
• flooding or serious flood damage
• serious storm or fire damage
• a failure or breakdown by any essential service or appliance provided by the landlord or agent for hot water, water, cooking, heating or laundry
• a failure or breakdown of the gas, electricity or water supply
• any fault or damage that makes the rented premises unsafe or insecure
• an appliance, fitting or fixture which is not working properly and causes a substantial amount of water to be wasted, or
• a serious fault in a lift or staircase in the rented premises.

Q. What to do about urgent repairs

If urgent repairs are needed the tenant should first take reasonable steps to arrange for the landlord or agent to fix the problem.

If the tenant is not able to get the landlord or agent to carry our urgent repairs, the tenant can have them done and the landlord or agent will have to pay the tenant the reasonable cost of repairs or $1,000, whichever is less. If a water appliance, fitting or fixture needs to be replaced quickly as part of an urgent repair arranged by the tenant, the tenant can have an 'A' rated item put in.

Ending a Tenancy Agreement Early

When there is a set ending date on the lease, the tenant and the landlord or agent can agree to end the tenancy early if they want to. It is best to put the agreement in writing.

If they cannot agree, the person who needs to end the tenancy early has to apply to the Tribunal.

Just walking out and stopping rent payments is a breach of contract. The Tribunal can award compensation for money lost as a result (for example rent lost while the premises are empty, ie advertising costs).