NSW renters in Parramatta, Penrith and the Central Coast can now transfer an existing rental bond to a new property under the first phase of the Smart Rental Bonds scheme.
The program is designed to reduce the upfront cost of moving by removing the need to pay a second full bond while waiting for the previous one to be returned.
Eligible renters use Rental Bonds Online to transfer their bond and pay a $25 fee. If the new bond is higher, they must pay the difference. If it is lower, any remaining amount can be refunded after claims from the previous tenancy are resolved.
To qualify, renters must generally be over 18, move between two NSW rental properties with the same tenants, have an existing bond linked to Rental Bonds Online and leave their previous property within four weeks of entering the new home. A bond cannot be transferred if a claim is already in progress.
Landlords and agents will continue using the existing Rental Bonds Online process. If an agreed claim arises from the previous tenancy after the bond has been transferred, the NSW Government will pay the landlord and recover the amount from the renter. Existing NCAT dispute procedures remain unchanged.
The government estimates the scheme could help renters avoid finding up to $4,000 in additional upfront funds when moving. Around 330,000 NSW households change rental properties each year.
The rollout is being phased, with all NSW renters expected to have access to Smart Rental Bonds by the end of 2026.
To find out more about Smart Rental Bonds, please visit: https://www.nsw.gov.au/housing-and-construction/renting-a-place-to-live/residential-rental-bonds/smart-rental-bonds
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