Whether you’re leasing out a property or trying to secure one, renting works best when there’s trust on both sides of the lease.
From mid-2025, NSW privacy laws were brought to the forefront to determine clearer limits around tenant data collection. The amendments have changed how personal information is collected, stored and disclosed, with emphasis on protecting tenants’ personal data while giving landlords (and agencies) consistent, transparent rules.
So what’s new, and why does it matter?
For tenants
Applying for a rental shouldn’t feel like handing over your life story – yet for decades, tenants have been required to share considerable amounts of personal information.
The 2025 NSW privacy amendments have dialled that back. New legislation has drawn a clear line around what agents and landlords can ask for; for instance, an agent screening a prospective tenant’s social media profile is not considered reasonable information and may lead to unfair or prejudicial decisions, which does not constitute best practice – and in some instances, may lead to penalties.
The new guidelines seek to reduce identity theft, discrimination, data breaches and misuse of sensitive information. For tenants, it means you’re no longer playing ‘is this normal?’ every time you apply; you’ll know what’s reasonable, and when something crosses the line.
For landlords
With protecting both sides of the lease at the forefront of the changes, landlords will now know where they stand, with regard to how much and what kind of information can be collected.
However under the new laws, collecting information is only half the story; what happens to the data once an application is decided matters just as much, and personal information can no longer simply be kept in the digital filing cabinet ‘just in case’.
Landlords and agents are expected to delete or securely destroy tenant data as soon as it is no longer required. This includes:
- Unsuccessful rental applications
- Identity documents collected during screening
- Supporting documents such as payslips or bank statements
For landlords and agents, this means that once the rental decision is made, there must be a legitimate reason to keep information – and ‘convenience’ isn’t one of them. It also means that third-party platforms such as property CRM providers must have a secure way of permanently deleting stored data.
Some key tips for landlords and agents:
- Set a clear timeframe for deleting unsuccessful applications
- Audit digital storage and email inboxes regularly
- Confirm how third-party platforms manage deletion
- Document your data retention practices
Of course, getting tenant privacy wrong now comes with real consequences – hefty fines for both individuals and businesses.
Last year’s privacy changes aren’t just red tape; they’re about making renting fairer and safer for everyone, designed to protect both sides and to ensure a trustworthy rental market.
Prudential Real Estate Macquarie Fields | (02) 9605 5333 | macquariefields@prudential.com.au
Prudential Real Estate Narellan | (02) 4624 4400 | narellan@prudential.com.au
