24 April 2018

In March, the Government introduced a Bill which would prohibit the charging of letting fees.

The Social Services and Community Committee is now seeking feedback on the Residential Tenancies (Prohibiting Letting Fees) Amendment Bill. Submissions are open until Wednesday 23 May 2018.

The Bill proposes that no person, including property managers, can require a tenant to pay a letting fee, or any other fee, in relation to a tenancy. Letting fees can still be charged by letting agents to landlords.

Letting fees are currently charged to tenants by letting agents to cover the cost of finding a tenant for a property, such as the cost of time in holding open homes, reviewing applications, preparing tenancy agreements, initial property inspection, etc.

Private landlords who do not use a letting agent cannot charge letting fees to tenants.

Information on the Select Committee process and how to make a submission(external link) can be found on the Parliament website.

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