Stressed about losing your rental bond? Here’s what you can do

A research conducted by comparison site ‘Finder’ last year revealed that one in three renters in Australia do not receive any or part of their bond back, when they vacate a rental property.

For rent

For Rent on the blue sky, three-dimensional rendering Source: iStockphoto

Sim* and her husband have been stressed over losing their bond worth $2,500 after they recently vacated an inner-city rental house in Melbourne, after living there for six months.

Frustrated after foregoing such a “large” amount over what they claimed was their “landlord’s petty excuses,” the newly-arrived couple from Chandigarh (in north India) shared their experience with SBS Punjabi.

“The property manager told us point blank that “you’re not getting a penny back.” When we questioned why, he cited cleaning issues like dust on the carpet, a scratch on the kitchen top and even fingerprints on the bathroom mirror,” said the couple who wish to remain anonymous because they are concerned it could impact their rental history.

“Honestly, I feel exploited. And new migrants are most vulnerable because they are unaware of the tenancy laws and end up believing that this is how things work here. Also, you are just starting out a new life and you can’t risk getting blacklisted.”
financial stress
Image is for representation only Source: Press Association
Sim* and her husband are not the only ones. A research conducted by comparison site last year revealed that one in three renters in Australia do not receive any or part of their bond back, at the end of their tenancy.

Natalie Rutherford, Policy Officer at said migrants are, however, more likely to lose part or their entire bond, primarily because they are “ignorant” and “fearful” of being blacklisted.

“Cleaning is not really the main reason why renters lose money. The main issue is lack of awareness about tenancy laws and also a lack of confidence in renters in standing up to their property managers and landlords and asserting their rights,” said Ms Rutherford told SBS Punjabi.

“Eventually renters are caught in a rut of bond crossover. They will have a bond amount stuck with the previous landlord at the old accommodation and a new one to be paid out for the next house they rent,” she added.

"As of now, the law is skewed against the tenants."

But Ms Rutherford assured renters that soon the tide would turn in their favour, as Victoria is in the process of implementing policy amendments which would allow non-complying landlords to be blacklisted too. "The Act will be fully implemented by July 2020", she added.
Rental Agreement
Rental Agreement Source: Getty
Manu’s* problem is, however, worse. The 23-year-old student told SBS Punjabi, that she had paid the bond amount in cash for a privately managed townhouse near the Southern Cross University in Coffs Harbour.

“We paid him $800 cash before three of my friends and I shifted in. The house was so dirty that it took us almost three days to clean it,” said Manu.

“After eleven months, we decided to move out to a better location. The landlord didn’t say anything until we had vacated the property and when we asked him to refund our bond, he stopped taking our calls altogether and has been uncontactable ever since.”
Ms Rutherford warns that renters must not pay out any amount in cash or otherwise, without getting a receipt for the payment made.

“Renters must make sure they sign the lodgement form which is registered with a rental bond authority and contains all the details about how much bond you have paid.”
house inspection
'Ensure you complete your condition report thoroughly when moving in' Source: Pixabay

Tips to prevent losing your bond:

Leo Patterson Ross, Senior Policy Officer at , which like its Victorian equivalent provides tenancy advice, told SBS Punjabi that renters must complete their condition report thoroughly when moving in.

As the name suggests, a condition report is a complete profile of the property that outlines the state of the house when the tenant first occupies the property.

“Tenants must consider taking photos of any part of the property that is not in a perfect condition and provide these to your landlord or agent. This ensures you won't be held liable for the existing damage in the property,” said Mr Ross.  

In addition, he reckons that tenants must report any damage that happens during the tenancy, attend the final inspection and must not accept any claims on their bond that are not backed up with evidence. They can also head to their local Tenants’ Advice and Advocacy Service for more advice.

*Some names have been changed to protect their privacy.

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4 min read
Published 18 April 2019 3:21pm
By Avneet Arora

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