Stage 2 Rental Reforms Update - Queensland

The Queensland Government has announced that the remaining Stage 2 Rental Law Reforms will be implemented in two phases: the first on 30 September 2024 and the second on 1 May 2025. 

Following the passage of the Residential Tenancies and Rooming Accommodation and Other Legislation Amendment Act 2024 in May 2024, the initial changes took effect on 6 June 2024, the day the Act received royal assent. 

The Government has now confirmed that the subsequent reforms will be introduced in two stages: 

Effective 30 September 2024: 

• Landlords must offer at least one fee-free method for rent payments and inform tenants of any costs associated with other payment methods.  

• Landlords are required to provide evidence for bond claims or dispute resolutions within 14 days of the claim or request. 

• The maximum bond limit will be set at four weeks’ rent for all rental properties, removing previous thresholds. 

• Tenants may request a bond refund if they believe too much bond has been collected when renewing a tenancy. 

• Bills for service charges and water consumption must be given to tenants within four weeks of receipt; otherwise, tenants are not obligated to pay. 

• Tenants will not have to pay for water consumption charges related to partial billing periods unless calculated according to the Residential Tenancies and Rooming Accommodation Act (RTRA Act). 

• In the event of a lease break, reletting costs must be calculated using a statutory formula. 

In summary, most of the new reforms align with practices LongView is already implementing, such as offering a free rent payment method and capping bond limits at four weeks' rent. However, the change that may have the most impact is the new requirement for calculating break lease fees. It is anticipated that these fees will align with practices in other states, where a prorated fee is charged based on the remaining lease term. 

We will be participating in additional training on these changes on 9 September to ensure we manage them effectively on your behalf.  

Effective 1 May 2025: 

• Property managers must use a prescribed form for tenancy applications. 

• Property managers can only request certain types of information from prospective tenants and are restricted from requesting other types. 

• New requirements will be introduced for verifying tenants’ identities. 

• Property managers must disclose any financial benefits received from third-party rent payment methods. 

• Entry notice periods will be extended from 24 hours to 48 hours. 

• Entry will be limited to two times per seven-day period following the issuance of a Form 12 Notice to Leave or Form 13 Notice of Intention to Leave. 

• A new process will be established for tenants to request the attachment of fixtures or structural changes to residential properties. 

• New procedures will be implemented for the collection, storage, and destruction of personal information. 

As the implementation date in May 2025 approaches, we will provide further updates and guidance based on the latest advice from the REIQ, ensuring you are informed of best practices.