Understanding the new bond system

REIWA has announced the latest updates to Western Australia’s rental laws, with the new bond release and dispute process commencing from 28 March 2026.

This marks the final phase of the Residential Tenancies reforms first announced in 2023, and introduces significant changes to how bonds are handled at the end of a tenancy.

At D Residential Group, we believe it’s essential for landlords to not only understand these changes, but to be properly positioned to navigate them with confidence.

What Has Changed?

A new bond release process

Under the updated system, both landlords (or property managers) and tenants can apply for the release of the bond once the tenancy ends.

Before this happens, there are a few critical steps:

• A final inspection must be completed
• An outgoing Property Condition Report (PCR) must be issued
• Both parties should attempt to reach an agreement on the bond

If both parties agree, the bond can be released promptly through the updated system.

This creates a more streamlined process, but also places greater importance on getting the end-of-tenancy process right from the outset.

A new way to handle disputes

One of the most significant changes is the introduction of a Commissioner determination process for bond disputes.

If an agreement cannot be reached, the matter no longer automatically proceeds to court. Instead:

• Both parties can submit evidence
• A Commissioner will assess the claim
• A determination will be made based on the information provided

According to REIWA, this is expected to improve consistency in outcomes and reduce the time and cost traditionally associated with court proceedings.

Importantly, these decisions will be published, providing greater transparency and guidance for both landlords and tenants moving forward.

Changes to pet bonds

As part of the reforms, the pet bond has increased from $260 to $350.

It can now also be used for more than just fumigation, offering landlords broader protection where pets are approved at the property.

Why This Matters for Landlords

While these reforms are designed to simplify and modernise the system, they also raise the standard when it comes to documentation and process.

In our experience, the success of any bond claim comes down to one thing: evidence.

This means:

• Detailed and accurate Property Condition Reports
• Thorough final inspections
• Clear photo documentation
• Consistent communication throughout the tenancy

Without these, even legitimate claims can become difficult to substantiate under the new determination process.

A More Structured System, But Less Room for Error

The new framework provides a more structured and transparent approach to bond disputes.

However, it also removes some of the flexibility that previously existed when matters were handled informally or negotiated at a local level.

With decisions now being assessed and recorded, there is less room for ambiguity and more reliance on clear, well-documented evidence.

How We Support Our Clients Through These Changes

At D Residential Group, this is where our hands-on, detail-driven approach makes a real difference.

We don’t just manage properties, we manage risk.

Our processes are designed to ensure:

• Every inspection is thorough and documented
• Property Condition Reports are clear, detailed and defensible
• Tenancies are managed proactively from day one
• End-of-tenancy procedures are handled with precision and care

Because when it comes to bond outcomes, preparation is everything.

Final Thoughts

The updated bond release and dispute process is a positive step forward for the industry, bringing greater consistency and efficiency to what has traditionally been a complex area of property management.

However, for landlords, it reinforces the importance of having the right systems and the right property manager in place.

If you would like to understand how these changes may impact your investment, or ensure your property is managed in line with the latest legislation, we’re here to help.