Change of tenant
When a tenant or tenants leave a tenancy early, changes can be made to the tenancy agreement, or the agreement can be transferred to a new tenant.
If a tenant needs to move out but the tenancy will continue for the tenants who remain, the most straightforward way to do this is for the tenant(s) and the landlord to agree to replace one tenant with another. This is a ‘variation’ of the tenancy agreement, or a ‘change of tenant’. Before leaving, the departing tenant will need written agreement from the other tenant(s) and the landlord.
If one or all of the tenants in a tenancy agreement are leaving, the whole agreement can be transferred to someone else (a new group of tenants can include some of the same tenants as an existing group of tenants). This is called an ‘assignment’. The tenant(s) must get the landlord’s written consent to do this, and the landlord cannot withhold consent unreasonably.
Variation of a tenancy agreement (change of tenant)
The tenant who is leaving will need written agreement from the landlord and the other tenants to be either removed from the tenancy agreement or replaced with another tenant.
The variation must be signed by both the landlord and tenant(s) and state what date it takes effect. It can be written in the tenancy agreement or on a separate document that is then attached to the tenancy agreement. The landlord must give the tenant(s) a copy of this written variation.
When giving written consent, the landlord can include conditions for the variation. This could include charging reasonable expenses that accrue during the variation process. The landlord should provide the tenant with a breakdown of the expenses and invoices for the costs incurred.
Updating bond details
If the departing tenant has contributed to the bond, arrangements for the refund of their share of the bond should be agreed between all tenants and the landlord before that tenant leaves.
The remaining or new tenant(s) could pay the departing tenant(s) their share of the bond directly. Alternatively, the departing tenant(s) could receive a bond refund and the new tenant(s) could make a new bond payment. Either option would require bond details to be updated.
Changing information on a bond record
Healthy homes standards 'intent to comply statement'
Since 1 July 2019, landlords have been required to include a statement in new, renewed or varied tenancy agreements. This statement must confirm either their intention to comply with the healthy homes standards by the compliance deadline for the tenancy or that the property already complies.
Assignment of a tenancy agreement (transfer of an agreement)
An ‘assignment’ is the transfer of an existing tenancy agreement from a departing tenant(s) to a new tenant(s). This includes any conditions agreed to in the tenancy agreement by the landlord and existing tenants.
For example, a group of tenants may need to leave a fixed-term tenancy early and assign (transfer) their tenancy agreement to a new group of tenants. The new tenants take over the tenancy with the same rent amount, same conditions and same expiry date for the fixed-term tenancy.
Note: Boarding house tenancies cannot be assigned.
Getting consent for an assignment
Tenants must get the landlord's written consent before assigning a tenancy. It is unlawful for the tenant(s) to assign a tenancy without the landlord’s prior written consent.
Requesting an assignment
A tenant can make a written request to their landlord at any time to assign their tenancy to someone else. The request should include the contact details of the person(s) who is taking over the tenancy. Alternatively, the landlord can choose to find a replacement tenant(s) if they want to.
If the tenancy is for a sole tenant, they can request the assignment.
If the tenancy is shared by more than one tenant, one or all of the tenants can request the assignment. Assignment of a tenancy agreement means that the tenancy ends for all existing tenants unless they are also the tenants in the new tenancy agreement.
Request for assignment template [PDF, 43 KB]
Landlords must consider all requests for assignment
Landlords must consider all requests from tenants to assign the tenancy and must not decline a request unreasonably. This does not apply to a tenancy granted before 11 February 2021 if the tenancy agreement prohibits assignment.
When giving written consent, the landlord can include reasonable conditions for the assignment. Alternatively, if the landlord does not want to accept the assignment, they can allow the tenant to end the tenancy.
Response to request for assignment template [PDF, 61 KB]
If a landlord unreasonably declines the assignment, the tenant can apply to the Tenancy Tribunal to approve the proposed assignment or to end the tenancy.
Landlords can charge the tenant for assignment expenses
Landlords are entitled to recover reasonable expenses that accrue during the assignment process. They must provide the tenant with a breakdown of the expenses and invoices for the costs incurred.
If the tenant finds their own replacement, the landlord may still be entitled to charge for any reasonable costs already incurred during the assignment process.
If there is disagreement over whether the costs are reasonable, either the landlord or tenant can apply to the Tenancy Tribunal to determine what costs should be paid.
The original tenant must pay what they owe
On the date the new tenant(s) takes over, the original tenant(s) is no longer responsible for the tenancy. They will remain liable for anything done or owed before that date.
Ending a periodic tenancy
The information above applies to both fixed-term and periodic tenancies. Tenants in a periodic tenancy can also choose to simply give notice to end the tenancy.
If there is more than one tenant named on the tenancy agreement, the landlord can take the notice of one tenant as ending the tenancy for all of them.
If the other tenants want to stay, they should contact the landlord and reach an agreement about this.
Subletting
Sometimes the tenant(s) and landlord may agree that subletting is an appropriate option. This means that the tenant(s) moves out of the property and on-rents it to someone else. The tenancy agreement of the tenant(s) who moves out continues and they remain responsible to the landlord. They also become the landlord of the people who move into the property.
For this to happen, the tenancy agreement must allow for subletting and the tenants must get the landlord's written consent before subletting a tenancy. It’s unlawful for the tenant(s) to sublet, or part with possession of the property without the landlord’s prior written consent.
