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Property ManagementRent BiddingNSWMEDIUM

A popular Bondi apartment receives 40 applications at the advertised rent. The property manager emails the shortlisted applicants inviting them to say how much more they would pay per week. How does NSW law treat this?

Correct Answer

A) It is prohibited, because agents must not solicit higher rent offers

NSW law on rent bidding prevents a landlord, agent or digital rental application provider from soliciting or inviting higher rent offers from prospective tenants. The property should be let at the advertised rent, with the landlord choosing the most suitable applicant without unfair discrimination. Emailing applicants to ask how much more they would pay is soliciting a rent bid.

Answer Options
A
It is prohibited, because agents must not solicit higher rent offers
B
It is permitted, because the landlord may choose the most suitable applicant
C
It is permitted, provided the same invitation is sent to every applicant
D
It is prohibited only if the final rent exceeds the median rent for the area

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