Millions of renters across the state will soon be able to move homes and transfer their bond with them with the Minns Labor Government investing $6.6 million to develop and deliver the nation's first Portable Rental Bonds Scheme.
There is a turnover of more than 330,000 tenancies every year across the state, with the average tenancy 1.6 years.
As residents juggle high rents, low vacancy rates and general cost-of-living pressures, they're also faced with an average moving cost of $4,000 and the prospect of having to pay a new bond before their old one is returned.
The Portable Rental Bonds Scheme will be a financial relief measure which makes it easier for renters when moving by allowing eligible tenants to digitally transfer their existing bond to their new rental home.
This new scheme maintains the integrity of the bond system ensuring homeowners have security while improving cashflow and reducing financial stress for renters.
The Rental Commissioner is leading the development of the Scheme which is currently out to public tender.
Development will involve an upgrade of the existing rental bonds system and work is expected to be completed in 2025.
Premier Chris Minns said:
"Moving house is one of the most stressful things you can do, not to mention expensive for many renters."
"The process can leave renters out of pocket, for up to several weeks.
"The NSW Government's portable bonds scheme will give cost of living relief to renters moving homes, by making sure they don't have to set aside extra money while they wait for their bond to be refunded."
Minister for Better Regulation and Fair Trading Anoulack Chanthivong said:
"This scheme will be the first of its kind in the nation.
"Once in place, renters won't have to think twice about how they'll pay their bond on top of moving costs.
"The NSW Government is committed to working towards a fairer rental marketplace. This Scheme is a win for renters and owners."
Minister for Housing and Homelessness, Minister for Youth Rose Jackson said:
"Amid a housing and cost of living crisis we must explore every option to alleviate the financial pressure renters face when moving house.
"The harsh reality is that the high cost of moving, especially having to pay a new bond before the old one is refunded, can push people to the brink of homelessness.
"The portable bonds scheme is an important and practical way to help ease this pressure renters feel."
