Last Updated December 13, 2024
Alternate Names:
A Residential Tenancy Agreement can also be known as a:
- Tenancy Agreement
- Rental Agreement
- Lease Agreement
- Let Agreement
What is a Residential Tenancy Agreement?
A Residential Tenancy Agreement is a contract between a landlord or property manager and a tenant or tenants that outlines the terms and conditions of a residential property rental.
Most residential properties can be rented using a Residential Tenancy Agreement, such as a:
- House
- Apartment
- Condo
- Townhouse
- Basement suite
Can a Residential Tenancy Agreement be used for boarding house tenancies?
LawDepot's Residential Tenancy Agreement is generally applicable to standard tenancies, like if a tenants, roommates, or a family are interested in letting an apartment, but it can also be tailored to work for boarding house tenancies.
If your goal is to create a tenancy agreement for a boarding house, it is recommended that you contact your local council to ensure that your property meets the requirements for a boarding house, and that you include the terms, conditions, and clauses you need for a boarding house in your agreement.
What should be included in a Residential Tenancy Agreement?
A Residential Tenancy Agreement should include a description of the type of property being rented or let (such as a house, apartment, townhouse, room, etc.) the address of the property, and the landlord and tenant's name and contact information.
In addition to basic information about the property, landlord, and tenant, the tenancy agreement can also include:
- Unit title rules if the residential property is a unit title property (a unit title property typically consists of townhouses or an apartment block where common areas such as lifts, lobbies, and driveways are shared by unit owners)
- Whether a bond is required to rent the property (a bond is an amount of money that can total up to four weeks' rent that acts as a guarantee that the tenant will fulfill their obligations as listed in the tenancy agreement)
- An option to purchase, which gives the tenant an opportunity to purchase the rental unit for a pre-negotiated price
- An address for service which is a place where landlords or tenants receive notices and/or other documents relating to the tenancy (if you're a tenant, it's recommended that you use a physical address where you can access mail when the tenancy ends, even though you can usually add an email address, and/or a fax number as alternate contact information)
- The tenancy details, such as if the rental will be for a fixed term or automatic renewal (a fixed term rental means that the tenancy will end on a set date, which you can specify in the tenancy agreement, and an automatic renewal rental means that the tenancy has no set end date, and renews either monthly or yearly until the tenant or landlord decides to end the tenancy)
It is important to note that a landlord is generally not allowed to charge letting fees (charges to renew, extend, or grant a tenancy) or key money (money other than the rent or bond that a landlord asks a tenant in exchange for granting or making changes to a tenancy).
The only exception is that some landlords may charge an option fee, which is money that a potential tenant gives to a landlord to hold the rental while the tenant decides whether or not they would like to proceed with renting it. If the tenant decides to rent the property, the option fee must be refunded or put towards rent.
Which fees and costs can I include in a Residential Tenancy Agreement?
A Residential Tenancy Agreement should include who is responsible (the tenant or landlord) for any fees and costs for the rental property, such as:
- Utility costs, like electricity, heating, water and sewer, rubbish collection, etc.
- An option fee, which is a fee that the tenant pays to the landlord to hold the property while they decide whether to rent it or not
- The rent amount, which can be charged weekly, fortnightly, monthly, or yearly
Does a landlord have to provide a tenancy agreement?
A written tenancy agreement is needed for all types of tenancies, including residential. Both the landlord and tenant (or tenants) are required to sign the tenancy agreement.
If a written tenancy agreement is not created, the Residential Tenancies Act still applies, so the landlord and tenant are still responsible for following the laws stated in the Act.