A new section 26(2A) will be inserted into the Residential Tenancies Act 2010 (NSW), setting out that certain information must be disclosed to tenants where the property is in a strata scheme.
From 23 March 2020, NSW landlords are required to provide new information disclosed to prospective strata tenants:
- Before a tenancy agreement is signed, a landlord or agent needs to give a tenant a copy of the strata scheme’s by-laws.
- They also need to inform the tenant if a strata renewal committee is currently established for the scheme.
These changes provide greater protection for prospective strata tenants and are additional requirements to the general disclosure obligations.
Both disclosures must occur before the tenant enters into the residential tenancy agreement.
The amendment in practice:
Property managers will need to plan so that, prior to the tenant signing a residential tenancy agreement, they have a copy of the latest by-laws and knowledge of whether a strata renewal committee has been established.
Property managers will need to allow enough time, so they can be proactive in seeking and obtaining this information from strata managers to ensure compliance with the new section 26(2A).
Property managers should install appropriate processes to ensure the leasing process isn’t slowed down.
Our next topic will cover changes of a ‘minor nature’
SCA (NSW), are here to help our members transition to the new laws.
If you would like to read about all the changes for tenants and landlords alike, please visit the Department of Fair Trading’s website here.