‘My landlord is kicking me out to raise the rent by $120 a week – is that allowed?’

A landlord in a popular beach suburb has made a “rogue move” that exposes a very real problem renters are facing at the moment.

Welcome to Sisters In Law, news.com.au’s weekly column solving all of your legal problems. This week, our resident lawyers and real-life sisters Alison and Jillian Barrett from Maurice Blackburn advise about massive rent hikes.

Question: I live in Coogee, NSW which is a popular beach suburb for young people. I moved into my rental during Covid and my rent was $620 a week, which is relatively low for a two-bed in that area as there wasn’t much competition at the time. Six months ago, my rent went up to $680, which I thought was fair, so I agreed to pay it.

However, a few weeks ago I got a letter from my agent giving me 30 days’ notice to leave. I was so shocked I called my agent straight away and they said it’s because my landlord wants even more rent – they say they could get $750-$800 a week.

This feels like such a rogue move. I’m so upset that I not only have to leave my home but also try to find a rental in a really competitive market. I know I’m going to end up paying so much more. What are my rights? Surely I don’t have to leave if I will end up homeless? – Laura, NSW

Answer: It sounds like your landlord is trying to capitalise on the rental crisis happening across Sydney at the moment.

It’s not clear from the information you’ve provided whether you are on a fixed-term or a periodic lease agreement, as different rules apply.

If you have a fixed-term tenancy agreement, and provided it isn’t expiring soon, your landlord, via their agent, isn’t able to unilaterally decide to end the agreement.

A tenancy agreement is a legally binding agreement that can only be ended in certain ways.

If your agreement is a fixed-term, and isn’t expiring in 30 days, your landlord can only terminate the tenancy agreement if you have breached the agreement or on grounds of hardship.

There is a rental crisis in Sydney with hundreds of people applying to each rental. Picture: Jeremy Piper/NCA NewsWire

If you have breached the agreement (such as by having a pet that’s not allowed, using the property illegally, not paying rent or causing serious damage) then your landlord is only required to provide 14 days’ notice to end the agreement.

If you are using the property illegally or have caused serious damage, the landlord isn’t required to provide notice for you to leave, but instead must apply to the NSW Civil and Administrative Tribunal (‘the Tribunal’).

The landlord would also need to apply to the Tribunal if they are alleging grounds of hardship to terminate the agreement. It is highly unlikely the Tribunal would allow termination on hardship grounds just because the landlord could increase the rent with another tenant.

If, however, your fixed-term agreement is coming to an end then your landlord is only required to provide 30 days’ notice to end the agreement.

If you are on a periodic agreement – where the fixed term has expired, or there is no fixed term specified – then your landlord has more options.

Coogee is a popular suburb in the eastern suburbs of Sydney where rentals are skyrocketing. Picture: Gaye Gerard/NCA NewsWire

They are not required to have any reason for terminating the lease as long as 90 days notice is provided, or 30 days notice if the property is sold with vacant possession required.

If your landlord was entitled to issue you with a notice to leave (called a termination notice) then there are still rules that must be complied with.

The notice must:

– Be in writing and signed and dated by the party giving the notice,

– Include the address of the rented property,

– State the day the agreement is terminated and by which you need to move out,

– State the reasons for termination (if required).

If your landlord validly issued you a termination notice and you do not vacate by the day stated in the notice, they can apply to the Tribunal for a termination order.

If your landlord decides instead to attempt to increase your rent, then you should note that for tenancy agreements with a fixed term of less than two years, it can only be increased if the agreement allows for it and either sets out the increased amount or how the increase will be calculated (such as by a certain percentage).

It will not be valid if there is a broad statement like “by the rate of inflation” or “in line with the market”.

If your agreement had a fixed term of two years or more, than the rent can only be increased once in a 12-month period. You must also be provided with at least 60 days’ written notice of the increase.

From what you have described it does sound like your landlord has probably issued the notice to leave without complying with the law.

We would suggest urgently putting your position in writing to your agent and landlord.

If you choose not to vacate the property within the time specified, your landlord must apply to the Tribunal for a possession order within 30 days of the date you were required to leave.

The Tribunal will then decide whether you will need to leave based on the evidence presented by you and the landlord at the hearing.

You can call the Tenants’ Union New South Wales for further advice.

This legal information is general in nature and should not be regarded as specific legal advice or relied upon. Persons requiring particular legal advice should consult a solicitor.

If you have a legal question you would like Alison and Jillian to answer, please email [e-mail]. Get more from Alison and Jillian on their Facebook page.