Bond

Bond is a one-off extra payment of up to 4 weeks rent which you will have to pay at the start of your lease.

A landlord requires you to pay a bond prior to moving into the rental property to cover them for any damage to the property or outstanding rent if you stop paying rent.  The bond money must be held by the owner/agent ‘in trust’ until the end of the tenancy.

Usually at the beginning of a lease, you will complete a condition report noting any damage to the property. It is a good idea to take photos of any damage. When you move out, the property will be checked by the owner to make sure it is in the same condition as when you moved in.

The cost to repair any damage to the property that is your fault, and not wear and tear, may be taken out of your bond. You can dispute claims of damage by the landlord.

Differences between states

Northern Territory

If you are in the Northern Territory you may be asked to pay a security deposit or bond at the start of your tenancy. The maximum amount of this bond is the equivalent of four weeks rent. This amount should be returned to you within seven days of returning the keys for the property at the end of the tenancy.

The landlord can deduct money from your bond for unpaid rent or cleaning costs.  The landlord can also deduct costs for any damage that you are responsible for, if this damage is more than ‘reasonable wear and tear’.  The landlord can only deduct these costs if there is a condition report that is accepted by both landlord and tenant.

If part of your bond is withheld, or if you can’t reach an agreement about the amount to be returned to you, you can apply to the Northern Territory Civil and Administrative Tribunal for the return of some or all of your money.

You can seek advice from the Central Australian Women’s Legal Service on 1800 684 055, or the Tenants’ Advice Service on 1800 812 953.

If you are Aboriginal or Torres Strait Islander you may wish to also contact the Central Australian Aboriginal Legal Aid Service on 1800 636 079.

ACT

When entering into a lease, a landlord can ask you to pay up to four weeks rent as a bond. The landlord must deposit the bond with Access Canberra, who will hold the money until the end of your lease.

Your landlord can make a claim to deduct some of your bond for things like any rent you owe them, the cost of repairs (other than for fair wear and tear), and cost for any fuel (gas, oil, wood) they gave you.

If you don’t agree with the amount the landlord is claiming from your bond, you can challenge it. You have two weeks to respond to the landlord’s claim.  You can try to get your landlord to change their mind, or you can lodge your own claim with ACT Civil and Administrative Tribunal.

Western Australia

In Western Australia you may be asked to pay a bond at the start of your tenancy.  The maximum amount of this bond is equal to four weeks rent.  The landlord must deposit the bond with the Bond Administrator, who will hold the money until the end of your lease.

At the end of your lease, the landlord can deduct money from your bond for unpaid rent, cleaning costs, or damage to the property that you are responsible for, if this damage is more than ‘reasonable wear and tear’.

If part of your bond is withheld, or you can’t reach an agreement about the amount to be returned to you, you can apply to the State Administrative Tribunal for the return of some or all of your money.

NSW

When entering into a lease, a landlord can ask you to pay up to four weeks rent as a bond. The landlord must deposit the bond with NSW Rental Bond Board, who will hold the money until the end of your lease.

At the end of your lease your landlord can make a claim deducting some of your bond for things like: Any rent you owe them, the cost of repairs (other than for fair wear and tear), and cost for any fuel (gas, oil, wood) they gave you.

If you don’t agree with the amount the landlord is claiming from your bond, you can challenge it. You have two weeks to respond to the claim.  You can try to get your landlord to change their mind or lodge your own claim with New South Wales Civil and Administrative Tribunal.

Victoria

You may be asked to pay a bond at the start of your tenancy. The landlord must deposit the bond with the Residential Tenancies Board Authority, who will hold the money until the end of your lease.

If your weekly rent is up to $350, then your landlord will ask you to pay a bond of up to one month’s rent.

If your weekly rent is greater than $350 then your landlord can ask you to pay an unlimited bond.

At the end of the lease, the landlord can deduct money from your bond for unpaid rent, cleaning costs or for any damage to the property that you are responsible for that is greater than ‘reasonable wear and tear’.

If part of your bond is withheld or you can’t reach an agreement about the amount to be returned to you, you can apply to the Victoria Civil and Administration Tribunal for the return of all or some of your money.

South Australia

You may be asked to pay a bond at the start of your tenancy. If your weekly rent is up to $250, then your landlord can ask you to pay up to four weeks rent as a bond. If your weekly rent is greater than $250 per week then your landlord can ask you to pay up to six weeks rent as bond. The landlord must deposit the bond with the Commissioner for Consumer Affairs, who will hold the money until the end of your lease.

At the end of your lease, the landlord can deduct money from your bond for unpaid rent, or cleaning costs, or damage to the property that you are responsible for, if this damage is more than ‘reasonable wear and tear.’

If your landlord makes a claim for some of your bond, you have 10 days to respond to the claim. If  you don’t respond, the Commissioner for Consumer Affairs may pay out the bond according to the landlord’s claims. You can dispute the amount that your landlord is claiming.

Tasmania

When entering a lease, a landlord can ask you to pay up to four weeks rent as a bond. You must pay the bond directly to the Rental Deposit Authority (not to your landlord), and the Authority will hold the money until the end of your lease.

At the end of your lease, the landlord can deduct money from your bond for unpaid rent, or cleaning costs, or damage to the property that you are responsible for, if this damage is more than ‘reasonable wear and tear.’

A landlord must start a claim for the bond within three working days of the tenants returning the keys (or tell the tenants that they will be starting a claim).

If a landlord makes a claim and the tenant does not agree, then the tenant has ten days to respond to the claim.  Claim disputes will be heard by the Residential Tenancy Commissioner.

If a landlord does not make a claim within three days, then the tenant can claim the full amount of the bond back.

For more information or assistance, call the Tenants’ Union of Tasmania 1300 652 641.

Queensland

You may be asked to pay a bond at the start of your tenancy.  If your weekly rent is up to $700, then your landlord can ask you to pay up to four weeks rent as bond.  If your weekly rent is greater than $700, then your landlord can ask you to pay an unlimited bond.

The Department of Housing offers loans to tenants who require financial assistance in paying their bond.  To be eligible for a loan you must meet the criteria set our on their website.

The landlord must deposit the bond with the Residential Tenancies Authority, who will hold the money until the end of your lease.

At the end of your lease, the landlord can deduct money from your bond for unpaid rent, cleaning costs, or for damage to the property that you are responsible for, if this damage is more than ‘reasonable wear and tear’.

You and your landlord will fill out an Exit Condition Report which is compared against the Entry Condition Report.

If the landlord makes a claim against your bond, you will have 14 days to respond to the claim. You can try and get your landlord to change their mind, or lodge a claim with Queensland Civil and Administrative Tribunal (QCAT).