Renting out a room in Queensland: bond and rent rules

The bond cap, in dollars

The RTA says the maximum bond for general tenancies and rooming accommodation is four weeks' rent, whatever the bond is called and however many are taken. Taking more is an offence. To show what that means in Brisbane, we applied the four-week limit to SQM Research's latest asking rents. A room is usually cheaper than a whole home, so its bond will be lower, but the rule is the same: four weeks of the agreed rent.

Key numbers

Whoever takes a bond must give a receipt and lodge it with the RTA within 10 days, online or with Form 2. Rent can only go up once at least 12 months have passed since the current rent became payable, and the RTA says that limit applies to the property, not just one tenancy. Written notice is at least two months for a general tenancy and at least four weeks for rooming accommodation.

Why the number of rooms matters

The RTA sets out three situations for owners who live in the home and rent out rooms. If you rent out one, two or three rooms in your main residence and take a bond, the law applies in part: the bond rules apply, but other parts may not, such as rules on ending an agreement or entering a room. If you rent out one to three rooms and take no bond, the law may not apply at all. If four or more rooms are rented or available, or you rent out a self-contained secondary dwelling, the law applies in full and a written agreement is required.

The RTA also notes that owners who received certain transfer duty concessions, including first home buyer concessions, can now rent out rooms under newer laws. If you are unsure which situation you are in, the RTA suggests getting independent legal advice, and QCAT can make a determination.

Practical steps before you advertise

• Put it in writing. Even when the law only partly applies, the RTA recommends confirming rent, bills, notice and house rules in writing.
• Lodge any bond. Give a receipt and lodge it with the RTA within 10 days. Do not hold it in your own account.
• Set the rent with care. Because increases are limited to once every 12 months, start at a fair price you are happy to keep for a year.
• Check other rules. Ask your lender, insurer and any body corporate, and check how room income is taxed.
• Compare costs. Our piece on share house vs living alone shows why so many renters are looking for rooms.