Australia No-Grounds Eviction Reform FAQ (NSW 2025)

The most important change to NSW residential tenancy law in over a decade took effect on 19 May 2025: landlords can no longer end a tenancy without specifying a prescribed reason. The reform brings NSW into line with Victoria, which abolished no-grounds termination in March 2021, and extends the trend that began in Queensland in October 2022. This FAQ explains what changed in NSW, how the new prescribed reasons work, and how the reforms compare across the three jurisdictions.

What is a “no-grounds eviction” and why was it reformed?

Historically, in NSW, a landlord could end a periodic tenancy or non-renew a fixed-term tenancy by giving a notice that did not state any reason. Tenant advocates argued that this allowed retaliatory evictions — e.g. against tenants who requested repairs or challenged a rent increase. The NSW Government’s reform package, announced in 2024 and commenced on 19 May 2025, replaced no-grounds termination with a closed list of prescribed reasons.

Source: https://www.fairtrading.nsw.gov.au/news-and-updates/news/new-residential-tenancy-laws

What are the new prescribed reasons in NSW?

Under the amended Residential Tenancies Act 2010 (NSW) (s.84A and surrounding provisions inserted by the 2024 reform), the prescribed reasons for a landlord to end a periodic tenancy now include:

Each reason has prescribed evidence requirements. For example, a “sale” termination requires that the property be on the market under contract or about to be listed; an “owner moving in” termination requires that the owner or eligible family member intend to occupy as their principal place of residence for at least 6 months.

Can a NSW landlord still end a fixed-term tenancy at the end of the term?

Yes — but with notice and a stated reason. Under the post-19-May-2025 framework, ending at the expiry of a fixed term still requires the landlord to specify a prescribed reason and give the tenant the applicable notice period (typically 30 days for end-of-fixed-term, with longer for sale/renovation/demolition). If no reason is given or the reason is unfounded, the tenant may continue in periodic occupation.

What happens if a NSW landlord gives a “no-grounds” notice after 19 May 2025?

The notice is invalid. The tenant is not obliged to leave. If the landlord pursues possession at NCAT, NCAT will refuse to make a possession order based on a non-compliant notice. Landlords who attempt to evict without a prescribed reason expose themselves to penalties under the Residential Tenancies Act 2010 (NSW) and to potential damages claims by the tenant.

How does the NSW reform compare to Victoria?

Victoria has prohibited no-grounds termination since 29 March 2021 under the Residential Tenancies Amendment Act 2018 (Vic). Under the Residential Tenancies Act 1997 (Vic) s.91ZZ and surrounding provisions, the rental provider must specify one of a closed list of reasons, including:

• Sale requiring vacant possession (60 days)
• Owner-occupier moving in (60 days)
• Family member moving in (60 days)
• Demolition / repair / renovation (60 days, with conditions)
• Change of use (60 days)

Victoria additionally has restrictions on end-of-fixed-term termination: a rental provider cannot non-renew without a reason for fixed-term agreements that are not the first fixed-term with the renter. The first fixed-term may be ended at expiry without a reason; subsequent fixed-terms cannot be (s.91ZZD).

CAV guidance: https://www.consumer.vic.gov.au/housing/renting

How does the NSW reform compare to Queensland?

Queensland reformed its termination regime on 1 October 2022. Under the Residential Tenancies and Rooming Accommodation Act 2008 (Qld) (s.290 as amended), a lessor ending a periodic tenancy or a fixed-term at expiry must specify an “approved reason”. Approved reasons include sale, owner-occupier, demolition, change of use, and significant repair. Notice periods range from 2 months to 4 weeks depending on the reason.

The QLD reform also introduced limits on the lessor’s right to refuse a tenant’s renewal request, although the framework is less prescriptive than VIC.

RTA guidance: https://www.rta.qld.gov.au/

Does the NSW reform apply to existing tenancies?

Yes. From 19 May 2025, all tenancies in NSW are subject to the new framework — whether they began before or after that date. A landlord who issued a no-grounds notice before 19 May 2025 may proceed under the old rules if the notice period had already commenced and was compliant at that time. Any new notice from 19 May 2025 onwards must comply with the new framework.

What about retaliatory eviction protections?

Independent of the no-grounds reform, NSW retains protection against retaliatory action under Residential Tenancies Act 2010 (NSW) s.115. NCAT may set aside a termination notice if satisfied that the landlord issued it as a reprisal for the tenant exercising a legal right (e.g. complaining about repairs, contacting Fair Trading, or applying to NCAT). The new reform reduces the practical need for s.115 because evictions now require a stated reason — but s.115 remains available where the stated reason is a pretext.

Are there exemptions?

Yes. The reform does not apply to:

• Boarding-house residencies (separate regime)
• Holiday lets and short-term rentals (excluded under s.7)
• Properties under specific government housing schemes
• Tenancies excluded under s.10 (e.g. owner-occupier sharing the home with the tenant)

How are landlords adapting?

In practice, NSW landlords now plan terminations with greater lead time. The longer notice periods (60 days for sale/owner-occupier; 90 days for renovation/demolition) mean a landlord wanting to sell with vacant possession should notify the tenant at least 60 days before the expected settlement.

Landlords are also keeping better evidence: sales agency agreements, building plans for renovation, statutory declarations from incoming family members. NCAT will scrutinise whether the stated reason is genuine, and a tenant can apply for compensation under s.115 (and equivalent provisions) if the stated reason proves to be false.

What if the landlord fails to act on the stated reason?

If the tenant vacates because the landlord stated a reason (e.g. “owner moving in”) but the landlord then re-lets the property to a new tenant within 6 months, the original tenant may apply to NCAT for compensation. Similar bad-faith provisions exist in VIC and QLD.

Does the NSW reform apply to commercial leases?

No. The Residential Tenancies Act 2010 (NSW) only governs residential tenancies. Commercial leases are governed by common-law principles supplemented by the Retail Leases Act 1994 (NSW) for retail premises. There is no equivalent no-grounds reform in the commercial space.

Practical compliance checklist for NSW landlords (post 19 May 2025)

1. Identify the prescribed reason that fits your circumstance.
2. Calculate the correct notice period (30 / 60 / 90 days as applicable).
3. Prepare supporting evidence (sale agreement, family declaration, builder’s quote, demolition approval).
4. Issue a written notice that specifies the reason, the notice period, and the move-out date.
5. Serve the notice (email if the agreement allows; otherwise post or in person).
6. Diary the move-out date and inspection schedule.
7. If the tenant disputes, prepare for NCAT — bring all evidence.

Practical resilience checklist for tenants

1. Do not move out in response to a notice without a stated reason — it is invalid.
2. If the reason seems false, document everything and apply to NCAT.
3. Use NSW Fair Trading’s free advice line before engaging legal services.
4. Be aware of bond return rules — the reform does not change bond procedures.

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Disclaimer

Legal information, not legal advice. MmowW Scrib🐮 is operated by a licensed Gyoseishoshi (行政書士) office in Japan. We are not Australian solicitors, barristers, or migration agents.

Sources

• NSW Fair Trading — New residential tenancy laws (19 May 2025): https://www.fairtrading.nsw.gov.au/news-and-updates/news/new-residential-tenancy-laws
• NSW Fair Trading — Renting hub: https://www.fairtrading.nsw.gov.au/housing-and-property/renting
• Consumer Affairs Victoria — Renting: https://www.consumer.vic.gov.au/housing/renting
• Queensland RTA: https://www.rta.qld.gov.au/