Looking for a rental property
Currently (May 2023), rental affordability remains a major issue in Australia, with many renters, particularly in major cities, facing high rental costs and a shortage of affordable housing options.
As a general rule, the rental market in Australia is divided into two main sectors: the private rental market and social or public housing. The private rental market is the largest and most competitive sector, with most rental properties managed by real estate agents or private landlords.
When searching for a rental property in Australia, it is important to consider factors such as location, size, and amenities. Major cities such as Sydney, Melbourne, and Brisbane tend to have higher rental prices than smaller cities or regional areas, so it is important to research the local rental market before committing to a property.
Use the link below to get a general overview of the rental properties in certain areas.
To make browsing easier, you can filter what suburb, availability, type of property, minimum and maximum price, features, and room count.
Requirements when renting
It is recommended to register for a rental platform online (e.g. Domain or Real Estate) to list the different accommodations you have an interest in. Make sure to see the rental property you sign the lease agreement to ensure it meets your expectations. Generally, many people apply even before seeing the rental property, as applications are processed on a first-come, first-served basis.
When renting a property, tenants must provide certain documents to sign the contract.
Documents required include:
- A form of identification – Passport, Driver’s License, Medicare card, Birth Certificate, or Health Care card
- References – Contact details of individuals who can give a referral
- Bank statements and payment receipts to prove income
In Australia, every document you provide is equivalent to a certain number of points. You must achieve a minimum of 100 points for your application. For instance, a passport or a driver’s license is equivalent to between 30 and 50 points, whereas a bank statement is between 10 and 15 points. The more documents you provide to your application, the more points are combined, meaning the more likely you will be assigned as a tenant to a property.
If you are uncertain that you will reach a minimum point of 100, you can negotiate with the landlord or real estate agent.
It is strongly recommended that you use as many Australian documents as possible when applying. This is because real estate agents consider Australian documents more important than foreign documents.
Click on the link below to find out more requirements when renting a property in Australia.
Applying for a Rental Property | LJ Hooker
Other tips
Check whether your bills, such as electricity and water, are included in the total rental price. You must also consider the deposit before renting a property. Typically, you will be asked for two weeks’ rent plus a bond. It is much easier to get a lease if you do not own any pets or are looking in suburban areas away from the city. Rental properties are much cheaper and are in less demand.
Tenancy agreements: fixed term agreements vs. periodic agreements
Also known as a lease, a tenancy agreement is a legally binding written agreement between the tenant and a property owner. This contract compiles everything that both parties have agreed upon regarding the tenancy. Make sure to carefully read all the terms and conditions listed in the document before signing it.
There are two main types of tenancy agreements: fixed-term agreements and periodic tenancy agreements.
Fixed-term tenancy agreement
The fixed-term tenancy agreement has a definite commencement and end date. It is most suited towards tenants who are definite about their stay or landlords who want to ensure they have a tenant for a specific time. This agreement is generally either a 6-month or 12-month agreement. You cannot terminate the contract before the end date of your lease.
Periodic tenancy agreement
The periodic tenancy agreement does not have a fixed end date and can be terminated by both parties by giving a notice period. If you are uncertain about the length of your stay on a property, the periodic tenancy agreement is the best option. It is also suitable for landlords who want the flexibility to end a tenancy agreement quickly.
Keep in mind that all tenancy agreements must include a full name, address of tenant and property owner, how the rent should be paid, start and end date (or state the periodic agreement), terms and conditions, and special terms (e.g., no pets allowed on-premises).
What should be in your rental contract?
Ensure the following information is written out carefully in the rental contract.
- Full legal names of the landlord and tenant
- Address of the rental property
- Phone numbers and email addresses of both parties
- The start date and the date the rental contract was signed
- Security deposit – amount and the conditions under which it will be returned to the tenant
- Rent amount and due date
- Maintenance and repairs
- All the utilities and items that the landlord provides
- Restrictions
- Termination – notice period for termination of the tenancy
- Signatures to indicate that both parties have read and agreed with the terms and conditions
Ending a tenancy agreement
Ending a tenancy agreement depends on your state and the terms and conditions of your lease agreement.
To end a tenancy agreement depends on your state and the terms and conditions of your lease agreement. Remember that the notice of your rental termination must be given or sent to your landlord in writing.
Below is the amount of notice required to terminate your rental lease for the different states in Australia.
- New South Wales: minimum of 14 days to terminate a periodic tenancy and 21 days’ notice to terminate a fixed-term tenancy
- Victoria: minimum of 14 days to terminate a periodic tenancy and 60 days’ notice to terminate a fixed-term tenancy
- Queensland: minimum of 14 days to terminate a periodic tenancy and 90 days’ notice to terminate a fixed-term tenancy
- Western Australia: minimum of 21 days notice to terminate a periodic tenancy and 42 days’ notice to terminate a fixed-term tenancy
Rental costs
Rental prices fluctuate tremendously depending on the property size, the type of facilities in certain areas, and where you are based in Australia. However, renting a property in Australia’s capital cities is expected to be more expensive than in regional areas. Typical rental costs for a one-to-two-bedroom apartment are approximately AUD $250 – $450 weekly. A three-bedroom apartment is AUD $500 to $600 weekly. A two-bedroom home will cost around AUD $500 to $750 weekly, while a three-bedroom house costs AUD $800 to $1200 weekly.
Remember that the values mentioned are just a general guide. Rental prices can change over time and vary depending on the suburb and specific property you are looking to rent. A tip is to contact and talk to real estate agents in the areas you want to rent to understand the current rental prices better.
Furnished rental properties
It is harder to find furnished rental properties as they are less common than unfurnished rental properties in Australia. Furnished properties generally include furniture and household items such as beds, tables, chairs, sofas, refrigerators, washing machines, and appliances. This makes the move to Australia for Visa holders or travellers much smoother.
Unfurnished rental properties
As most rental properties in New Zealand are unfurnished, they will still include important fixtures and fittings in the kitchen, bathroom, flooring, curtains or blinds. Costs for an unfurnished rental property are always cheaper than a furnished property. When renting an unfurnished property, checking the conditions of household items, fixtures, and any damage before moving in is essential. If found, take photos and let your landlord know before you begin moving in your personal belongings.
Rental tips
Always contact your landlord and address any issues or concerns regarding the rental property. Ensure that you understand the landlord’s and tenant’s responsibilities and rights. It is essential to keep the property clean, as landlords regularly check to see your living conditions.
Click on the link below to find more information on understanding tenancy agreements.
Real Estate Tenancy Agreements | LJ Hooker
Click on the link below to understand the terms and conditions of renting and the ethical and unethical ways of doing certain things.
Renters Guide | Consumer Affairs Victoria
