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NSW Passes New Rental Privacy Rules and AI Advertising Protections

More than 2.3 million renters across New South Wales are set to receive stronger privacy protections under new laws regulating how landlords and agents collect personal information and advertise rental properties.

The Residential Tenancies Amendment (Protection of Personal Information) Bill 2025 completed its passage through the NSW Parliament on 24 September 2026.

The reforms will introduce standardised rental applications, restrict unnecessary collection of personal information and require disclosure when digitally altered or AI-generated property images could mislead prospective tenants.

Standard Rental Application Forms

Under the new framework, landlords and real estate agents will be required to use a standard rental application form setting out what information can and cannot be requested.

Applicants will no longer be expected to provide unnecessary personal information such as:

The reforms will also introduce clearer requirements governing how rental applicants’ personal information must be stored and eventually destroyed.

The Government says the changes are intended to reduce privacy and identity-theft risks created by large amounts of applicant data being collected across multiple rental applications.

Government estimates previously indicated around 187,000 pieces of identification information may be collected from NSW rental applicants each week.

ID Documents Limited to Preferred Applicants

Documents such as driver licences and passports will generally only be collected from the preferred applicant before a tenancy agreement is signed.

This is intended to reduce the amount of sensitive identification data held by agents, landlords and rental platforms for unsuccessful applicants.

The final rules on which supporting documents can be requested, and when they must be destroyed, are being developed through further stakeholder consultation.

AI-Altered Rental Images Must Be Disclosed

The legislation also introduces new rules governing digitally manipulated rental advertisements.

Landlords and agents will be required to disclose when images have been digitally generated or altered in a way that could reasonably mislead prospective tenants.

Examples could include digitally generated furniture that disguises the true dimensions of a room or image editing that conceals property damage.

Businesses that fail to disclose misleading altered photographs could face penalties of up to $22,000.

For individuals, earlier legislative material sets a maximum penalty of $5,500 for breaches involving misleading altered images.

Embedded Utility Networks Must Be Disclosed

Rental advertisements will also need to disclose whether a property is connected to an embedded utility network.

These arrangements can involve electricity, gas or other services being supplied through a private network, potentially limiting tenants’ ability to choose their own provider.

The disclosure requirement is intended to give applicants clearer information about potential utility arrangements and costs before signing a lease.

Significant Penalties for Privacy Breaches

Failure to comply with the new privacy requirements could attract penalties of up to:

The legislation follows consultation with renters, property agents, landlords, advocates and industry groups, as well as a NSW parliamentary committee inquiry conducted during 2026.

New Rules Expected From Early 2027

The NSW Government expects the new privacy and rental advertising requirements to begin operating in early 2027, following completion of supporting regulations and the standard rental application framework.

The reforms build on a broader series of changes to NSW tenancy laws, including restrictions on no-grounds evictions, annual rent increases, fee-free rent payment options and the rollout of Smart Rental Bonds, which began statewide in August 2026.

The new legislation is intended to create a more consistent rental application process while reducing unnecessary collection of personal data and increasing transparency in online property advertising.

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