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How Do Rental Reforms Impact Perth Landlords And Tenants?

WA has been going through a period of reform to the regulations surrounding rental properties.

The latest tranche of rent reforms come into effect on 29 July 2024.

We explore the four key areas that are changing and what it means for landlords and tenants.

Maximum of one rent increase in 12 months

From 29 July, landlords will only be allowed to increase the rent once every 12 months, regardless of the type of tenancy agreement.

The rule applies to all new fixed-term agreements, as well as for periodic rental agreements regardless of when they were signed. It also applies to fixed-term rental agreements once their current fixed term ends.

The WA government says the 12-month limit gives tenants time to assess the affordability of their property and budget accordingly. It also brings the state in line with other Australian jurisdictions.

Presumption in favour of pet ownership

Pets will now be allowed in most rental properties, so long as tenants first seek permission by filling in an approved form to give to the landlord or agent – that’s one less stress for many tenants.

Landlords or agents can only refuse a tenant’s request for pets on the premises if:

  • a law specifically prevents pets, or
  • they can prove to the Commissioner for Consumer Protection that they have a ‘good reason’ for refusing, such as the property not being fully fenced.

That said, a landlord can place ‘reasonable conditions’ on having a pet. That means, for instance, they can ask that a bird remain in a cage or that the carpets are professionally cleaned at the end of the tenancy.

A landlord or agent can also ask for a pet bond on top of the regular bond, which they can use to clean pets’ mess or fix pet-related damage when the lease ends.

Personalised changes allowed

Tenants can now make small personalised changes to the property, so long as they ask permission. This includes minor modifications such as inserting picture hooks or screws for wall mounts, LED light bulbs, flyscreen, wireless doorbells and even vegetable gardens.

A landlord can generally only refuse if a law or strata rule prohibits the change, it will disturb asbestos, there is a heritage listing or it gets permission to refuse from the Commissioner for Consumer Protection. The Commissioner can allow a landlord to refuse if they have a ‘good reason’, such as if it would result in additional maintenance costs, make the premises less safe, cost more than the security bond to repair or remove or not be practical to reverse.

A landlord can also require a qualified tradesperson (rather than the tenant doing DIY) to make certain improvements, including lever-style taps, phone and internet connections, room painting, security alarms, lights and cameras.

At the end of the lease, the tenant must restore the property to its original condition (i.e. removing any modifications) unless the landlord agrees otherwise.

You can read the full list of what a tenant can ask for, and when a landlord can refuse here.

Consumer Protection Commission to have authority to hear disputes

Finally, disputes over tenants’ rights to a pet, their ability to make minor changes or bond release payments no longer need to go to court. Insead, the Commissioner for Consumer Protection can hear claims.

Tenants, landlords and agents can also make their case online.

With more people renting for life, the rent reforms aim to help tenants make their rental property a home. They also help make it easier for all parties to bring a claim and resolve their differences.

Want more?

Are you looking to invest in Perth real estate, rent out your Perth property or find your next Perth rental home? We can help. Get in touch with our specialist Perth rental team today.

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