This guide covers landlords (or head-tenants) and tenants (or sub-tenants) in a Residential Tenancy. This applies to the majority of share accommodation and residential property rental situations. To confirm it covers your situation visit What is my share accommodation situation?
Condition Reports record the general state of repair and condition of the rental premises at the beginning and end of the tenancy. If an issue arises about damage or disrepair to the premises, the Condition Reports are used as evidence by the Commissioner or Court to determine who is liable. This is important for determining how the Bond should be paid out, or whether compensation should be paid to the landlord.
In the Northern Territory, the tenant and landlord must complete a Condition Report at the beginning and end of the tenancy. Flatmates.com.au has created a standard form Condition Report which can be used at the beginning and end of the tenancy. The tenant and landlord should each retain at least one copy of the Condition Report during the tenancy.
The standard form Condition Report by Flatmates.com.au can be Downloaded for Free. It should be completed and signed by the tenant and landlord at the beginning and end of the tenancy.
Although a Condition Report is required by law, a tenancy agreement is still valid even if a report has not been completed.
The landlord must conduct an inspection of the premises and complete an Ingoing Condition Report within 3 business days of the tenant moving in. The landlord should inspect the premises thoroughly while completing the report to ensure it is as accurate as possible. A copy of the report must be signed by the landlord and given to the tenant within 3 business days of the tenant moving in.
The landlord should complete the Condition Report in the presence of the tenant, unless it is not practical to do so or the tenant does not attend the premises at the agreed time. It is the landlord’s responsibility to take positive steps to arrange a mutually convenient time with the tenant to conduct the Condition Report. The landlord must give the tenant a reasonable opportunity to attend. The Commissioner or Court is less likely to take a Condition Report as an accurate description of the property if the landlord has not taken reasonable steps to allow the tenant to be present while the report was completed.
It is in the best interests of both the tenant and landlord that the Ingoing Condition Report is completed as close as possible to the beginning of the tenancy. The Tribunal or Court will not value as highly a Condition Report completed too long after the tenancy begins.
What should be in the Ingoing Condition Report?
Flatmates.com.au recommends using our standard form Condition Report. Alternatively, you can create your own report. If you choose to make your own report, it must include at least the following information:
What happens after the landlord gives the Ingoing Condition Report to the tenant?
Once the tenant receives the Ingoing Condition Report from the landlord, they should carefully inspect the premises to see whether they agree with the landlord’s assessment. The tenant then has 3 options:
If the landlord receives the Ingoing Condition Report back from the tenant with modifications, they have 4 options:
The landlord must conduct an inspection of the premises and complete an Outgoing Condition Report within 3 business days of the tenant moving out. The landlord should inspect the premises thoroughly while completing the report to ensure it is as accurate as possible. A copy of the report must be signed by the landlord and given to the tenant within 3 business days of the tenant moving out.
The landlord should complete the Condition Report in the presence of the tenant, unless it is not practical to do so or the tenant does not attend the premises at the agreed time. It is the landlord’s responsibility to take positive steps to arrange a mutually convenient time with the tenant to conduct the Condition Report. The landlord must give the tenant a reasonable opportunity to attend. The Commissioner or Court is less likely to take a Condition Report as an accurate description of the property if the landlord has not taken reasonable steps to allow the tenant to be present while the report was completed.
Alternatively, if the landlord believes that the tenant has abandoned the premises, within 3 business days the landlord can complete a Condition Report alone and post it to the last known residential, business, or postal address of the tenant.
It is in the best interests of both the tenant and landlord that the Ingoing Condition Report is completed as close as possible to the end of the tenancy. The Tribunal or Court will not value as highly a Condition Report completed too long after the tenancy ends.
What should be in the Outgoing Condition Report?
Flatmates.com.au recommends using our standard form Condition Report. Alternatively, you can create your own report. If you choose to make your own report, it must include at least the following information:
What happens after the landlord gives the Outgoing Condition Report to the tenant?
After receiving the Outgoing Condition Report from the landlord, the tenant should inspect the premises (if possible) to see whether they agree with the landlord’s assessment. The tenant then has 2 options:
If the tenant and landlord cannot agree on the Outgoing Condition Report, then either can apply within 7 business days to the Commissioner of Tenancies for a neutral report that will be considered an accurate account of the premises.
In addition to the standard form Condition Report, tenants and landlords can attach additional information to provide a more comprehensive account of the general condition of the premises.
For example, if a part of the premises is not included in the standard form Condition Report, then either party may add an additional document recording the state of that part. Further, it is common and good practice for tenants and landlords to take pictures of the premises at either the beginning or end of the tenancy to provide a visual record in addition to the written report.
If additional information is attached by the tenant or landlord, the other party should indicate whether they agree that it is an accurate record of the condition of the premises.
Condition Reports are particularly important in co-tenancy arrangements as they help in attributing liability to individual co-tenants for any damage caused to the premises. Every time a co-tenant is removed from or added to a tenancy agreement, a new condition report should be completed by the landlord, the continuing co-tenant(s), and the incoming or outgoing co-tenant(s).
By completing a new report each time there is a change in co-tenants, liability can be more accurately attributed to the responsible co-tenant, especially if the damage is only recognised a long time after a former co-tenant has left the premises.
If a tenancy agreement is renewed for the same property, and at least one of the tenants is continuing onto the renewed agreement, then it is not necessary to complete a new Condition Report. The Ingoing Condition Report from the original tenancy agreement is transferred to the new agreement. An Outgoing Condition Report will still be required at the end of the second tenancy agreement if it not renewed again.
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NT Tenancy Agreements
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NT Holding Deposits
These legal guides provide a brief summary and introduction of the laws and regulations affecting share accommodation. They do not cover all cases in all legal jurisdictions and might not apply in your specific share accommodation situation. It is important that you use this information as a guide only and seek independent Legal Advice or consult the Relevant Acts. We do not accept any liability that may arise from the use of this information.