Do sole traders need to comply with Residential Tenancies Act 2010 (NSW)?

Only if a further fact applies. Looking in real estate agents and every size band, the engine's answer for a sole trader is: only if a further fact applies.

Do businesses with 1–5 employees need to comply with Residential Tenancies Act 2010 (NSW)?

Only if a further fact applies (1–5 employees, turnover $100K–$1M).

When is "Comply with Residential Tenancies Act 2010 (NSW)" due?

Bond lodged with NSW Fair Trading through Rental Bonds Online (offered to the tenant as the first option); no rent increase in the first 12 months or within 12 months of the last increase, with 60 days' written notice; termination notices served with the notice period required for the ground (calendar days, plus 7 working days if posted).

Who must comply with Residential Tenancies Act 2010 (NSW)?

The applicability test for Comply with Residential Tenancies Act 2010 (NSW) (NSW Fair Trading), computed across 35 industries, 9 business structures and 6 size bands.

Short answer: Only if

Applies only if you manage residential rental properties. Whether it applies turns on a fact that no industry, structure or size settles on its own.

What the obligation is

Landlords + agents must lodge bonds with Rental Bond Board + comply with notice + minimum standards.

The Residential Tenancies Act 2010 (NSW) sets the rules for residential tenancy agreements between landlords, their agents and tenants, administered by NSW Fair Trading with disputes decided by the NSW Civil and Administrative Tribunal (NCAT). Rental bonds are held by NSW Fair Trading, lodged through Rental Bonds Online, and cannot exceed 4 weeks' rent; rent in advance is capped at 2 weeks. Since 31 October 2024 rent can be increased only once every 12 months, with at least 60 days' written notice. Since 19 May 2025 landlords need a valid ground to end a tenancy and face limits on refusing pets: every landlord termination notice must state the ground, attach any required supporting documents, and come with the approved termination information statement. Landlords may choose the most suitable applicant but must not unfairly discriminate, and tenants cannot be required to use third-party apps to pay rent.

The applicability test

Applies only if you manage residential rental properties. Whether it applies turns on a fact that no industry, structure or size settles on its own.

How the regulator frames it: Landlords of residential rental properties in New South Wales and the real estate agents and property managers acting for them, including self-managing landlords using Rental Bonds Online. Social housing landlords are also covered, with a rent-rebate exception to the once-a-year increase rule.

What triggers it: Advertising a property, selecting a tenant, signing a residential tenancy agreement in NSW, taking a bond, increasing rent, or ending a tenancy.

Jurisdiction: New South Wales law only. A business with no operations in NSW is outside it, whatever the rest of the test says.

Which industries are in or out

Outcome across the 35 industries Rules Mate maps (1 of 35: only if a further fact applies; 34 of 35: no).

Industry	Answer
Real estate agents	Only if a further fact applies
No	34 other industries

Business structure and size

Structure does not change the answer in real estate agents: for every structure the answer is "only if a further fact applies".

Size does not change the answer in real estate agents: at every size band the answer is "only if a further fact applies".

Worked examples

Each line is one run of the Rules Mate applicability engine for a single business profile, with the reason the engine gives:

Pty Ltd company in accountants & bookkeepers with 6–19 employees, turnover $1M–$3M: does not apply. Requires a trigger outside this questionnaire.
Pty Ltd company in real estate agents with 6–19 employees, turnover $1M–$3M: check whether it applies. applies only if you manage residential rental properties.

When you need to check further

The engine shows this obligation as "check whether this applies" when a business has industry: Real estate agents. It then applies only if you manage residential rental properties. That fact is not something Rules Mate can infer from industry, structure or size.

What you must do, and when

When due: Bond lodged with NSW Fair Trading through Rental Bonds Online (offered to the tenant as the first option); no rent increase in the first 12 months or within 12 months of the last increase, with 60 days' written notice; termination notices served with the notice period required for the ground (calendar days, plus 7 working days if posted).
Frequency: When a triggering event occurs
Evidence to keep: Signed residential tenancy agreement; Rental Bonds Online lodgement and receipt; rent increase notices showing the new rent amount and start date; termination notices stating the ground, with supporting documents and the termination information statement; proof of the method and date of service for each notice; records of tenant selection and advertising.
Status: Current
Priority: High

Penalty for not complying

Maximum penalty: The Act creates offences for ending a tenancy on a ground that is not genuine and for giving false or misleading supporting documents or information (NSW Fair Trading accepts complaints on both). Where a rent increase is excessive NCAT can set the rent for the next 12 months, and a tenant can ask NCAT to challenge a termination notice given without the correct process. Offence penalty amounts were not verified for this entry; check the Act on legislation.nsw.gov.au.

Audit or assurance level

Rules Mate has not yet classified the audit or assurance level for this obligation. Any audit, review or certification requirement is set by the regulator source listed below.

Obligations with the same applicability test

If this obligation applies to you, so do these 2: the engine uses the same rule for each.

Where it sits in the corpus

Rules Mate tracks 5 published obligations tagged "tenancy", 0 of them rated critical. For a professional services Pty Ltd company with 6–19 employees operating in every state, 0 of those apply outright. This obligation is rated high priority, and is triggered by events.

Regulator, legislation and tools

Regulated by NSW Fair Trading.

NSW Fair Trading: Consumer protection, licensing (building, conveyancing, motor dealers), and tenancy regulator in NSW.

NSW Fair Trading

Free tools that help with this obligation:

Compliance calendar builder

Run the compliance journeyAnswer a short questionnaire about your business and get the obligations that apply to you, with the reason each one applies.

Questions

Who must comply with Residential Tenancies Act 2010 (NSW)?: Applies only if you manage residential rental properties. Whether it applies turns on a fact that no industry, structure or size settles on its own.
Do sole traders need to comply with Residential Tenancies Act 2010 (NSW)?: Only if a further fact applies. Looking in real estate agents and every size band, the engine's answer for a sole trader is: only if a further fact applies.
Do businesses with 1–5 employees need to comply with Residential Tenancies Act 2010 (NSW)?: Only if a further fact applies (1–5 employees, turnover $100K–$1M).
When is "Comply with Residential Tenancies Act 2010 (NSW)" due?: Bond lodged with NSW Fair Trading through Rental Bonds Online (offered to the tenant as the first option); no rent increase in the first 12 months or within 12 months of the last increase, with 60 days' written notice; termination notices served with the notice period required for the ground (calendar days, plus 7 working days if posted).

Sources

NSW Fair Trading: official source

Computed by the Rules Mate applicability engine from the published obligation corpus; facts last checked 3 October 2026. Rules Mate is not a law firm and this is general information, not legal advice. Confirm your position with the regulator source or a qualified adviser before acting.