NSW Strata By-Laws for Rental Properties: What Landlords and Tenants Must Follow
How By-Laws Bind Tenants
Strata by-laws are not just rules for lot owners. Under the Strata Schemes Management Act 2015, a tenant occupying a lot in a strata scheme is bound by the by-laws as if they were a party to the strata scheme. The tenant does not sign the by-laws, but they are legally obliged to comply with them from the moment they take possession.
This creates a practical obligation for landlords: the tenant needs to know what the by-laws say before moving in, not after the first complaint from the owners corporation.
Disclosure Before the Tenancy Starts
Section 26 of the Residential Tenancies Act 2010 requires the landlord or agent to give the tenant a copy of the strata scheme's by-laws before the tenancy agreement is entered into. It also requires disclosure if a strata renewal committee is currently established. Prescribed material facts include scheduled major structural repairs, asbestos rectification, or building work affecting the common areas or lot during the tenancy.
Provide the current by-laws before the agreement is entered into; the tenant needs them to understand the rules that apply to the property.
Common by-law provisions that directly affect tenants:
- Pet rules — some schemes require notice or approval and may set reasonable conditions, but a by-law cannot unreasonably prohibit a pet
- Noise and behaviour — quiet hours, music levels, and restrictions on activities that affect other residents
- Parking allocation — which spaces belong to the lot and which are common property visitor bays
- Balcony and window appearance — restrictions on hanging laundry, installing aerials, or attaching fixtures to external surfaces
- Renovation and modification rules — what a tenant can and cannot change within the lot
- Short-term letting restrictions — some by-laws restrict or prohibit Airbnb-style subletting
When a Tenant Breaches a By-Law
If a tenant breaches a by-law, the owners corporation may issue a notice to comply to the tenant as occupier or to the lot owner. The person who receives the notice must comply.
If the tenant refuses to comply:
- The owners corporation can apply to NCAT for an order or penalty under the strata law
- NCAT can impose a monetary penalty on the person who received a notice and then continued to breach the by-law
- The landlord may issue a breach notice to the tenant under the Residential Tenancies Act, which can ultimately lead to a termination notice if the breach is not remedied
The lot owner may be involved if the owners corporation serves a notice on them, but the notice and any NCAT penalty can also be directed to the tenant as occupier.
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Model By-Laws vs Custom By-Laws
The Strata Schemes Management Regulation 2016 provides model by-laws as templates. They apply only if the owners corporation adopts them. Many schemes adopt model by-laws and then add or change rules for their own needs.
Landlords should not assume the model by-laws apply. Request the current consolidated by-laws from the strata manager. Changes to by-laws require a special resolution at a general meeting and registration with NSW Land Registry Services — they are legally binding once registered.
By-Laws That Affect Compliance Obligations
Some by-laws create additional compliance requirements beyond what the Residential Tenancies Act mandates:
Smoke alarm interconnection — a by-law may require all lot smoke alarms to be hardwired and interconnected with the building's fire detection system. This is separate from the minimum statutory requirement (which allows standalone alarms) and affects which tradesperson you need for maintenance.
Window treatment standards — beyond the statutory child window safety device requirements, some by-laws mandate specific window covering types or prohibit certain external fixtures.
Flooring and sound insulation — some schemes require acoustic underlay beneath hard flooring (timber, tile) to reduce noise transmission to lower lots. If your tenant installs hard flooring without the required underlay, you may receive a by-law breach notice.
Common area usage — by-laws typically govern how tenants use lobbies, gardens, pools, gyms, and other shared facilities. Damage to common property caused by your tenant can result in costs levied against your lot.
Keeping Up with By-Law Changes
By-laws can change at any general meeting of the owners corporation. As a lot owner, you receive notice of meetings and can vote on proposed by-law changes. Attending meetings (or reviewing the minutes) keeps you informed of changes that will affect your tenant.
When a by-law changes during an existing tenancy, give the tenant a copy of the new by-laws within 14 days after the change starts. A tenant who unknowingly breaches a new by-law creates an enforcement problem that lands on you.
The NSW minimum standards guide covers the full pre-tenancy disclosure sequence, including how strata by-laws interact with the Section 52 compliance obligations and the condition report process.
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