Renters across New South Wales can now transfer their existing security deposit directly to a new property following the statewide rollout of the state government’s Smart Rental Bonds scheme.
The portable bond initiative expanded across all local government areas following an initial trial in Penrith, Parramatta, and the Central Coast in August. The preliminary phase saw nearly AU$1 million in bond transfers processed, paving the way for an accelerated statewide release.
The scheme eliminates the need for tenants to fund a second upfront bond while waiting for their original deposit to be returned, saving households up to AU$4,000 per move.
Under the new digital process, renters receive a notification when a landlord or agent lodges a bond request online. Tenants can then log into Rental Bonds Online and elect to transfer their existing bond for a AU$25 processing fee. If the new bond is higher, the tenant pays the difference; if lower, the remaining balance is refunded.
To protect property owners, the NSW government guarantees upfront payouts to landlords if a finalised claim is made against the original bond, with the government subsequently recovering the debt from the tenant.
Premier Chris Minns said the reform was a key cost-of-living relief for the state’s two million renters.
“Moving home is expensive enough without having to find thousands of dollars for a second bond while your first one is still tied up,” Minns said.
“For a family or household already juggling the rent, groceries, power bills and everything else, that’s a lot of money to find at once.”
Housing Minister Rose Jackson added that making bonds portable addresses a major financial burden, helping build greater stability across the rental market.
“We know there’s more work to do, but allowing renters to save thousands of dollars by transferring their bonds between properties is a key part of our plan to make renting fairer,” she said.
The scheme forms part of a broader suite of rental reforms, including bans on no-grounds evictions, limits on rent increases, and fee-free rent payment options.
