Recent updates to South Australia's Residential Tenancy Act 1995 have brought significant changes to the way landlords and tenants interact. One major area affected is the termination of fixed-term tenancy agreements.

The 60-Day Notice and Valid Reasons

Landlords now must provide tenants with at least 60 days' notice before the end of a fixed-term lease if they intend to terminate it. Additionally, the landlord must specify a valid reason for the termination. Acceptable reasons include:

• Demolition: The property is required for demolition.
• Renovations: Major repairs or renovations are planned that cannot be reasonably carried out while the tenant resides in the property.
• Owner Occupancy: The landlord, their spouse, child, or parent intends to move into the property.
• Sale of Property: The property has been sold, and vacant possession is required for the purchaser.

Evidence Requirements and Restrictions

Depending on the reason for termination, landlords may need to provide evidence to support their claim. For instance, if the reason is the sale of the property, a copy of the signed contract of sale would be required.

Important: If a landlord gives a 60-day notice to terminate, they cannot re-let the property for six months unless they obtain consent from the South Australian Civil and Administrative Tribunal (SACAT).

Terminating for Breach of Agreement

Landlords can also terminate a tenancy with 60 days' notice under Section 83A of the Act for specific reasons, such as:

• Serious damage caused by the tenant or their guests.
• Repeated breaches of the tenancy agreement despite receiving two breach notices.
• Failure to pay the bond.
• Providing false or misleading information to secure the tenancy.
• Serious risk to the life, health, or safety of the landlord, agent, or neighbors posed by the tenant or their guests.

Tenant's Right to Terminate Early

Once a termination notice is issued, tenants have the right to terminate the lease early by providing seven days' written notice. They will not be liable for rent after the seven-day period ends, except in cases where the termination is due to a breach of the tenancy agreement by the tenant.

Correct Termination Procedures

To ensure a valid termination, landlords should use the official 'Notice of Termination By Landlord At End of Fixed Term Tenancy (General Form)' (Form 9) and provide it in writing. Failure to provide the 60-day notice will result in the tenancy automatically converting to a periodic tenancy, and different termination rules will then apply.

Seek Professional Advice

If you are a landlord in South Australia and have questions about terminating a fixed-term tenancy, it's crucial to seek advice from a qualified professional to ensure you comply with all legal requirements.

Disclaimer: This blog post is intended for informational purposes only and should not be considered legal advice. Always consult with a qualified professional for advice specific to your situation.  

Need Help Navigating the New Rules? Contact Us Today

If you're a landlord in South Australia and need assistance understanding the recent changes to the Residential Tenancy Act or require help with a specific tenancy issue, our team of experienced property managers is here to help. Contact us today for a free consultation.