Fixed-Term or Periodic Tenancy?

Mitchell James and MMJ Dapto
Fixed-Term or Periodic Tenancy?

Depending on the circumstances, your landlord or property manager may offer you a fixed-term or periodic tenancy lease agreement. All written tenancy agreements must be done using the Residential Tenancy Agreement.

 Fixed-Term Tenancy

A fixed-term tenancy agreement specifies a start and finish date, and the minimum length of time you agree to stay in the property. Most fixed-term agreements are for  6 or 12 months, but they can be for any time. A fixed term gives you more certainty and security than a periodic tenancy. Rent can only be increased during the fixed-term if the tenancy agreement stipulates the amount of the increase or the method of calculating the increase. A fixed-term tenancy agreement may also state whether you can automatically renew the tenancy at the end of the original period and/or provide for renewal of another fixed term.

Once your fixed term agreement had ended and no new agreement signed & no notice given you will automatically go into a periodic tenancy.

Periodic Tenancy

A periodic tenancy agreement can run for an indefinite amount of time; there is no set finishing date.  This type of tenancy can be written or verbal. In this instance, rent can be payable weekly, fortnightly, monthly or any other period agreed to by the landlord or the property manager.

This type of tenancy provides greater flexibility if you or the property owner’s circumstances change and either of you need to end the tenancy. A periodic tenancy continues on with the same terms and conditions until either you or the landlord or property manager give the appropriate notice to end it.