Tenants in New South Wales, Australia face swift eviction if they fall behind in their rent under the first big overhaul of New South Wales’s tenancy laws in 20 years. With the rental vacancy rate in Sydney just 1.5 per cent, the State Government is introducing changes to try and lure more investors into the rental market.

Under the changes, tenants who fall behind in rent would have “the onus placed on them to apply to the tribunal” if they wished to contest their eviction - rather than landlords having to justify their case. The tribunal could make a decision on the application swiftly without need for a hearing.

But the laws will also protect tenants who become victims when landlords default on their mortgages. The planned 30-day eviction warning follows horror stories of tenants arriving home to find the locks changed.

Other planned changes include:

  • A right to a reduced rent if a landlord puts the property up for sale and prospective buyers traipse through;
  • Greater rights for tenants to put up pictures or paint properties;
  • Water charges to be levied on all tenants in properties with separate meters to provide “uniformity”. A similar move in public housing resulted in a 29 per cent cut in water use;
  • Powers for the tenancy tribunal to remove tenants from databases that real estate agents use to reject applicants;
  • Cancelling eviction notices if a tenant can pay their rent arrears before the eviction date.
  • Stopping the payment of interest to tenants on their bond money.

The State Government has released its plans for public comment and legislation will be introduced early next year.