NSW Rental Advertising and Rent Bidding: Current Legal Position
Significant amendments to residential tenancy regulation in New South Wales have reshaped how rental properties are advertised and how rent offers are handled. The reforms, introduced through updates to the Residential Tenancies Act 2010 (NSW) and related regulations, aim to increase transparency and reduce competitive rent bidding practices in a tight market.
According to NSW Fair Trading, landlords and agents must comply with strict rules when advertising rental properties, particularly in relation to pets, fixed pricing, and responses to higher rent offers.
Fixed Price Advertising
Residential rental properties must be advertised with a fixed rent amount. Price ranges, wording such as “offers over” or “by negotiation,” and similar phrasing are not permitted. This requirement is designed to eliminate implied bidding environments and provide clarity to prospective tenants.
A property may be advertised without a price only when it is no longer available and listed as “leased.” Signs placed at or near the property can state that it is available for rent without including a price. Online and print listings, however, must display a fixed weekly amount while the property remains available.
The prohibition on rent bidding forms part of broader reforms to residential tenancy law introduced progressively during 2024 and 2025. Legislative amendments were passed by the NSW Parliament, reinforcing compliance obligations for licensed agents and landlords.
Prohibition on Soliciting Higher Rent Offers
Agents, landlords, and third-party digital application platforms are prohibited from soliciting or inviting offers above the advertised rent. This restriction applies across all communication channels, including verbal discussions, written correspondence, and digital application forms.
Prospective tenants may voluntarily offer more than the advertised rent. Acceptance of a higher offer is lawful where it is made freely and without prompting. The distinction lies in whether the higher amount was encouraged or invited by the agent or landlord.
Digital application systems must also comply. Any feature that prompts applicants to nominate a higher rent than the advertised amount breaches the regulation.
The prohibition on rent bidding is supported by amendments to the Residential Tenancies Regulation 2019 (NSW) and associated consumer protection measures.
Advertising and Pets
Advertisements cannot state that pets are prohibited. Statements such as “no pets allowed” are not permitted. Property characteristics may be described factually, such as noting the absence of fencing or limited outdoor space, allowing applicants to assess suitability.
This measure aligns with broader 2025 reforms that strengthened tenant rights in relation to keeping pets. These changes commenced on 19 May 2025.
Rent Increase Limits
Separate reforms that commenced on 31 October 2024 limit rent increases to once per year for most residential tenancies. Additional charges at the beginning of a tenancy are also restricted. These measures operate alongside advertising and rent bidding reforms to promote predictability and affordability in the rental market.
Practical Implications for Landlords and Agents
Compliance requires careful review of marketing materials, online listings, and application systems. Copywriters, property management teams, and digital platforms must ensure wording does not imply negotiation or invite higher offers.
When prospective tenants ask about offering more rent or inquire about competing applications, responses must avoid suggesting that a higher offer would improve their chances. Applications are assessed on multiple criteria, including references, income verification, rental history, and suitability for the property.
For property investors in Sydney’s competitive rental market, these reforms alter traditional leasing dynamics. Transparent fixed pricing and structured application assessment now form the foundation of compliant leasing practice.
Murray Property assists landlords in navigating regulatory obligations, structuring compliant advertising, and implementing leasing procedures aligned with current NSW legislation. Clear processes reduce regulatory risk and strengthen long-term asset management outcomes.