Today I would like to share some information with you regarding rental bonds. At the beginning of a tenancy, we ask the tenant to pay a bond for the rental property which is equivalent to four weeks rent.
The bond is only four weeks rent regardless of how many tenants occupy the property, and it is used as security for the property in case the tenant does not follow the terms of the agreement and they need to compensate the landlord.
Rental bonds are required to be lodged with the Rental Bond Board. These days we lodge bonds using rental bonds online. The bond lodgement details include the rental property address, the landlord and landlord’s agent, and the primary tenant.
To ensure they get the bond back, tenants need to make sure the property is left in the same condition as when they first rented the property, except for fair wear and tear. If the tenant has damaged the property, or not left it in a clean and tidy condition, or if they owe rent or other money to the landlord, they may forfeit some or all of their bond.
If there is a dispute over the bond at the end of the tenancy, then the matter is taken to the NSW Civil and Administrative Tribunal.
We hope that helps you understand rental bonds a little more, and if you have any questions regarding this topic or would like assistance with managing your rental property, we are more than happy to assist at Century 21 Central West for all your property management needs.