Requirements when managing property in NSW

Requirements when managing property

Before a tenancy agreement is signed, a managing agent must:

• tell the prospective tenant if the property is:
  • planned to be sold – if the landlord has prepared a contract for sale
  • if a mortgagee (i.e. bank or other lender) is taking court action to take possession of the property.
• not induce a tenant to enter into a residential tenancy agreement by any statement, representation or promise that the landlord or agent knows to be false, misleading or deceptive or by knowingly concealing a prescribed material fact. It is an offence to knowingly hide a prescribed material fact to induce a tenant to sign a tenancy agreement
• give the prospective tenant the tenant information statement
• if the rental property is in a strata scheme:
  • give a copy of the strata scheme’s by-laws
  • tell the tenant if a strata renewal committee is currently established for the scheme.
• ensure that the landlord has read and understood the landlord information statement, and sign an acknowledgment of this on the tenancy agreement.

Before or at the time the tenant signs the tenancy agreement, the managing agent must:

• give the tenant a copy of the tenancy agreement, filled out in the spaces provided
• give 2 hard copies or 1 electronic copy of the condition report the landlord or agent has completed for the property
• ensure that the landlord’s name, the landlord’s telephone number or other contact details and the agent’s name, the agent’s telephone number and business address has been provided to the tenant.

When the tenant signs the tenancy agreement, the managing agent must give:

• the option to use Rental Bonds Online (RBO) for lodgement of their bond. Visit the RBO page for more information on NSW Fair Trading’s secure online service to manage and refund bond money easily
• a valid certificate of compliance or valid occupation certificate, issued in the past 3 years, if the property has a swimming or spa pool. This does not apply if the property is in a strata or community scheme with more than 2 lots. Visit the swimming pool page for further information.

After the tenant signs the tenancy agreement, the managing agent must give:

• a copy of the tenancy agreement signed by the landlord and tenant as soon as practicable (if the copy of the tenancy agreement previously given to the tenant was not signed by the landlord)
• Penalties apply if these requirements are not met.

Further information about renting

Short term rental accommodation

Some real estate agents manage short-term rental accommodation arrangements for a holiday, business trip or other purpose. Short-term stays last up to 3 months and are not covered by the residential tenancy laws.

When managing short-term rental accommodation, agents must ensure that:

• there is a written agency agreement to ensure proper arrangements are in place for the payment of commissions and costs - see the agency agreements page for more information
• the property owner is aware of the requirements and has provided clear instructions about the management of the property in the agency agreement
• prospective guests know about any deposit requirements and refund arrangements and procedures
• the property owner provides clear, written instructions about how payments made to the agent are to be disbursed
• money received is paid into the agent’s trust account as soon as practicable
• a trust account receipt is issued to the guest for any money received
• the short-term rental accommodation arrangement does not breach the by-laws of the strata or community scheme where the property is located
• you are aware of the obligations imposed on letting agents under the Code of Conduct for the Short-term Rental Accommodation Industry.

More information on the Code of Conduct

Agents need to remember that payments for a short-term rental accommodation arrangement, including any deposits, are regarded as trust money and must be handled in accordance with the Property and Stock Agents Act 2002 (the Act).

Loose-fill asbestos

For real estate agents (in sales, leasing and/or property management) strata managers and auctioneers

A real estate agent acting for the sale, purchase, leasing or management of a property has important obligations in relation to asbestos, which include:

• a duty of care to the client and workers engaged to carry out any work on the property
• a commitment to act honestly, fairly and professionally
• disclosing to prospective buyers and tenants if the property is listed on the register of residential premises that contain loose-fill asbestos insulation. This is prescribed as a ‘material fact’ under the Property and Stock Agents Regulation 2022. As such, an agent will be committing an offence if they fail to disclose that the property is on the loose-fill asbestos insulation public register.

It is reasonable to assume that properties constructed before 1980 may contain loose-fill asbestos insulation.

What should real estate agents do?

Agents should inform their clients that properties constructed before 1980 may contain loose-fill asbestos insulation.

At the time of conducting their initial inspection, agents should ask their client to complete a questionnaire which includes the following questions:

• What date was the property originally constructed?
• Has the property been renovated since it was originally built? If so, obtain details.
• Is the client aware of the presence of any loose-fill asbestos insulation in the property?
• If yes, the client should specify all locations where they believe loose-fill asbestos insulation is present.
• Has a licensed asbestos assessor inspected the property for loose-fill asbestos insulation? If yes, is a copy of the report available?

If, based on the instructions received from the client, the agent becomes aware of the presence of loose-fill asbestos or suspects that loose-fill asbestos may be present on the property built prior to 1980, the agent should consider practical measures to ensure the health and safety of their workers, clients and others. The agent should take the following steps:

• request the owner of the premises arrange ceiling testing through a licensed asbestos assessor
• request the owner provide any test results to the agent
• request the owner informs the residents of the test result
• if the likelihood of exposure to airborne asbestos fibres is high, the agent should exclude their workers and clients from approaching the site
• if the owner declines to cooperate, the agent should contact Service NSW on 13 77 88 and seek further guidance.

Agents should also take the following precautions:

• do not access or direct a person to access the ceiling space or sub floor areas
• do not drill or direct a person to drill into walls
• provide the owner with information about loose-fill asbestos insulation and recommendation for testing by a Licensed Asbestos Assessor.

Agents should be aware that the existence of loose-fill asbestos is a 'material fact' that needs to be disclosed to any persons considering buying or leasing the affected property. The law has significant penalties for agents who fail to disclose information that could influence decisions on whether to buy, sell or rent a property.

Loose-fill asbestos insulation ('Mr Fluffy')

Throughout the 1960s and 1970s, pure loose-fill asbestos was sold as ceiling insulation for residential and commercial premises.

A Canberra-based company known as 'Mr Fluffy' installed insulation in around 1,000 houses in the ACT and in NSW.

This insulation is particularly problematic because it is raw asbestos which is easy to disturb and fibres can be inhaled.

More information about loose-fill asbestos insulation

Domestic abuse in a tenancy

Changes to tenancy laws commenced on 21 September 2026 to improve and strengthen protections for victims of domestic abuse. When managing a rental property where a tenant or their dependent child is affected by domestic abuse, agents should be aware of the following changes.

Meaning of domestic abuse

Tenancy laws now use the term ‘domestic abuse’ to cover a wider range of abusive behaviour in domestic relationships. Read more about Understanding domestic abuse in rental situations.

Ending a tenancy

A tenant can end their tenancy immediately, without a break fee or other penalty if they, or their dependent child are experiencing domestic abuse. Learn what to do when receiving a Domestic Violence Termination Notice. 

Photographs and videos

New rules apply when photos or videos of a rented property are taken for sale or rental advertising. Landlords and agents must understand the requirements for advertising rental properties in circumstances involving domestic violence and abuse.

Property damage

A tenant may not be responsible for property damage caused during domestic abuse if the tenant was not the alleged perpetrator. Understand the tenant protections for domestic violence and abuse in a rental property.

Changing locks

A tenant can change locks or security devices without the landlord’s permission if this is reasonably necessary to protect themselves, a dependent child or another occupant from domestic abuse. Who is responsible for keys, locks or other security devices in a rental property.

Tenancy databases

A tenant’s information must not be listed on a tenancy database if they can provide evidence of domestic abuse.

Further information

Residential tenancy and real estate complaint service

NSW tenants, landlords and agents can use Fair Trading’s tenancy and real estate complaint service for help with tenancy complaints or disputes.

Retail and commercial leases

Visit the NSW Small Business Commission website for information on retail and commercial tenancies.