Rent Arrears (Fixed or Periodical Tenancy Agreements) – As the Tenant is required to pay rent in advance i.e. if negotiated agreement states fortnightly rent payments every second Friday then tenant must pay on the Friday for the next 2 weeks, Landlords are not permitted to hold rent in advance. A tenant cannot be charged a fee if the rent is late.
Should your tenant fall more than 14 days (7 days QLD) in arrears in rent it is important that you deal with it as early as possible. Landlords are required to give the following written notice:
NSW: If the tenant falls more than 14 days behind with the rent you can serve them with a termination notice, giving them 14 days to vacate the property. Notice to Leave
QLD: If the tenant falls more than 7 days behind in rent you must issue them with a Notice to Remedy Breach (Form 11) giving them 7 days to pay the rent. If the tenant pays the rent within the 7 days, the tenancy agreement will continue. If the tenant doesn’t pay you can issue them with a Notice to Leave (Form 12) giving them at least 7 days to vacate.
VIC: If your tenant becomes more than 14 days in arrears you can give them 14 days notice. Notice to vacate to tenant/s of rented premises
WA: If you want the tenant to remain but to pay rent arrears then, not less than one day after the rent should have been paid but was not received, you may give the tenant a Breach notice for non payment of rent (form 21) This requires the tenant to bring their rent up to date within 14days.
If all the outstanding rent is not paid within the 14 days, you can then issue a Notice of Termination for non-payment of Rent (form 1a), this seeks to terminate the tenancy agreement and requires the tenant to vacate the premises within 7 days.
Not less than one day after the rent should have been paid but was not received, you may give the tenant a Notice of Termination for Non-payment of Rent (Form 1B) this warns the tenant that unless the outstanding rent is paid within the following 7, you can apply to the Magistrates Court for an order to terminate the agreement.
Should the tenant(s) refuse to leave the property after this period, it is essential that you apply to the court. It is illegal to try and force the tenant out yourself. Even if the tenant brings the rent up to date, you can still go to court to have them evicted if the tenant has a history of continuously falling behind in rent.
NT: If rent or any part of the rent has been in arrears for not less than 14 days the tenant must be given at least 8 days to pay the rent using Notice to Remedy Unpaid Rent (form RT03). If the tenant does not pay then the Landlord should apply to the Commissioner or a court for an order of termination of the tenancy and possession of the property.
TAS: The tenant must be given 14 days to pay the rent. If the tenant does this then any notice to vacate becomes invalid. This provision is for the first two times in any 12 month period. On the third occasion the notice to vacate takes effect regardless of the rent being paid. Notice to Leave.
SA: The rent must have remained unpaid for at least 14 days when you should issue the tenant with a Notice to Remedy Breach, at least 7 additional days to pay the rent owing must be given. If rent is not paid by this time then any date to vacate thereafter can be given using Notice of termination.
Landlord Laugh Lines:
Here are the 7 top reasons why Tenants run late with their rent.
- “I can’t pay my rent as my BMW is in the shop, and I cannot afford to pay for both.”
- “I can’t pay my rent because the cheques come out of Japan and the plane crashed.”
- “Well, you see, I cannot pay the rent because my daughter ate my husband’s paychecks.”
- “I had my choice of paying the rent or buying a car. I bought a car. I knew you would understand”
- “I’m sure I paid you – YOU must have lost it!”
- “You towed my car away that was illegally parked and I refuse to pay my rent until you get my car out of the impound.” And finally, the winner…
- “The house is haunted.”