Costs at the start of a residential tenancy

What tenants may need to pay for and what they should not pay for when starting a residential tenancy.

Costs tenants may need to pay for

1. Holding fee of no more than one week's rent. This can only be requested from a tenant if their application for the rental property has been approved by the landlord. This deposit should go towards rent if the tenant signs the rental agreement for the property'.
   Note: The landlord or agent can't sign a rental agreement with anyone else within the first 7 days of payment of the holding fee (or longer if agreed to). The landlord may keep the holding fee if the tenant does not sign the agreement - unless they failed to tell the tenant certain 'material facts' or made a misrepresentation about the property.
2. Rental bond of no more than 4 weeks rent. Tenants can use their existing Rental Bonds Online account, or sign up to use Rental Bonds Online to pay.
3. Rent in advance of no more than 2 weeks. The landlord or agent must offer at least one method for paying rent that can be used without incurring additional costs (other than the usual bank or account fees).
4. Fee for registering the lease with NSW Land Registry Services if it is a fixed term agreement of 3 or more years.

Tenants should keep all receipts

Tenants should keep receipts for everything they pay for. If they are going to be paying rent by direct deposit, their bank records will act as their receipts.

Tenants can get help with costs

Tenants may be able to get help to secure a rental property and pay for rent and other costs. Learn more about what help is available and who is eligible.

Costs tenants do not have to pay for

Landlords or agents must not charge tenants:

• for the cost of preparing or filling in the tenancy agreement
• to show a property
• more than two weeks rent in advance
• more than four weeks rent as a rental bond
• for initial copies of keys or other opening devices
• a bond to allow tenants to keep a pet on the property.

Get help from NSW Fair Trading

Ask a question, get support, make a complaint, give feedback or get help with a dispute on matters relating to residential tenancies.

NSW Fair Trading call centre: 13 32 20

Monday to Friday, 8:30am-5pm