New rules for Strata Agents & Residential Property Agents

Updated Rules for Strata and Residential Property Managers

Updated rules for strata managing agents and real estate agents including assistant agents commenced on 1 September 2022.

The laws incorporated feedback from the public consultation in June and July this year on the Property and Stock Agents Regulation 2022.

The new Regulation will keep existing rules plus provide further consumer protection and a reduced administrative load for agents.

There is also a new additional rule that applies to strata managing agents and their assistant agents.

NSW Fair Trading is giving agents a six-month transition period to adjust to the changes from 1 September 2022 to 1 March 2023

What are the New Rules?

Here we explain some changes for strata and residential property managers under the Regulation:

Strata Managing Agents

  • Strata managing agents are now required to cooperate when transferring functions to a strata scheme or community land scheme
  • This applies in situations where the agent’s contract has ended, and the scheme has decided to self-manage.
  • Clarifying the duties of assistant agents performing business agent or on-site residential property manager functions

Residential Property Managers

  • Changing the disclosure of material facts requirements –when dealing with residential tenancy agreements, agents only need to disclose the material facts outlined in the Residential Tenancies Regulation 2019
  • Clarifying the duties of assistant agents performing business agent or on-site residential property manager functions

For more information about the changes and what this means for you, visit NSW Fair Trading Property and Stock here or call Fair Trading on 13 32 20.

Contact Us

For all strata law advice including by-laws, building defects and levy collections contact our specialist NSW and Sydney strata lawyers here or call 02 9562 1266, we’re happy to assist.



Can Tenants Apply to NCAT for Rent Relief for Defects?

Tenants, Building Defects, NCAT and Rent Relief

 

In a recent case, a property manager failed to inform a landlord of defects in the common property of a strata building and take any steps to investigate issues that a tenant had complained about.

The tenant applied to NCAT for a rent reduction as the landlord had breached their obligation to keep the rented premises in a reasonable state of repair as water leaked into the premises. The tenant was successful.

Who Could be Liable?

 

If a tenant claims rent relief from NCAT due to defects in a strata building, it’s important to note that NCAT could deem that it is the responsibility of the:

  • Landlord who could lose rent (or worse) if they do nothing;
  • Property manager if they fail to fix defects in the premises that they are authorised to repair following a tenant’s complaint in a timely manner;
  • Property manager if they have not advised the landlord of defects (where they are not authorised organise repairs) following a tenant’s complaint;
  • Owners corporation who could also be held liable for a landlord’s loss of rent.

A Timely Reminder for Managing Agents!

Ensure your professional indemnity insurance is current;

  • Ensure your professional indemnity insurance is current
  • Obtain landlord consent on a minimum amount for repair works which can be dealt with without the landlord’s approval;
  • Allocate sufficient resources to attend to repair requests in a timely manner to avoid issues which could lead to court proceedings;
  • Request that any common property defects are promptly repaired by the owners corporation;
  • Ensure that the relevant strata by-laws for the apartment block are up to date to minimise your risk

Here we share some cases…

Contact Us

 

For all strata law advice including by-laws, building defects and levy collections contact our specialist NSW and Sydney strata lawyers here or call 02 9562 1266, we’re happy to assist.