Renting out your home, property or investment is a great way to build wealth, but before you find a tenant there are essential compliance items you should know, understand and become familiar with before making any decisions. Below is a list of items all landlords should know and understand before renting their property.

Smoke alarm compliance

In NSW, smoke alarms are one of the most important safety requirements a landlord must address before leasing their property. Smoke alarms need to be installed in the correct location by a licensed electrician or fire safety service provider, so the property meets the correct standards and they can issue a fire safety compliance certificate for the property.

It is then the responsibility of landlords and managing agents to ensure annual smoke alarm maintenance is performed. You must ensure that all smoke alarms in the rental property are tested and their batteries are replaced at least once every 12 months (or, for lithium batteries, when the manufacturer specifies).

Water efficiency certificate

If you intend to charge your tenant for water usage at your property in NSW, the property must meet specific water efficiency requirements, checked and tested by a licensed plumber, who will verify or install the required water-saving measures, check they are functioning correctly and provide documentation confirming compliance.

In NSW, to pass water usage charges on to tenants, the property must also be separately metered (or meet the alternative water-delivery rules) and meet all applicable water efficiency requirements.

Swimming pool compliance

If your property has a swimming pool, spa or swim spa, additional compliance and safety requirements apply. Before advertising the property, landlords should check that the pool barrier, gates and latches comply with the applicable safety requirements.

In NSW, a pool compliance certificate must generally have been issued within the previous three years. Different rules apply to certain strata and community schemes. A certificate of non-compliance cannot be used to satisfy the requirements for renting out a property.

Landlord insurance

Once you start to rent your property, your standard home insurance policy may not provide the level of cover you need. Landlord insurance can provide cover for certain rental-related risks. These may include tenant-related damage, loss of rental income in specified circumstances and landlord liability.

Repairs and maintenance

Before a tenant moves in, your property should be safe, functional and in a reasonable state of repair. Landlords must ensure their properties meet the NSW minimum standards and remain properly maintained throughout the tenancy. It is a great idea to walk through your property and check the following:

  • Plumbing Taps, toilets, showers and drainage are functioning properly.
  • Electrical Lights, power points and electrical fittings are safe and operational.
  • Doors and windows Locks, handles and security devices work correctly.
  • Blinds and window coverings All the cords are securely fixed to the wall, so they do not pose a strangulation hazard.
  • Appliances Any appliances included in the tenancy are in safe and working order.
  • Leaks and moisture Investigate water stains, leaking taps, dampness and potential mould.
  • Exterior It is important to check stairs, handrails, balconies, fencing and other potential hazards.
  • Heating and ventilation Ensure the property has adequate ventilation and appropriate facilities.

Landlords should also establish a process for reporting and approving repairs, including how urgent repairs will be handled.

Before you welcome a tenant

I hope this guide has helped you better understand what's involved in preparing your property to be rented, and the important compliance and safety requirements to consider before welcoming a tenant.

Becoming a landlord comes with responsibilities, but with the right preparation and the right property manager by your side, the process can be far more straightforward and stress-free.

At Monique Field Property, we're here to help you navigate every step: from preparing your property and ensuring necessary compliance is in place, to finding the right tenant and managing your investment with care, as if it were our own!

If you are considering leasing your property, reach out to our team for a rental appraisal and a chat about how we can help you get your investment ready for the market.