How does the tenancy transfer process work?

Image of cottage

Renters are responsible for paying their rent as long as their name is on the lease, even if they are not living in the property.

23 July 2019

In rental arrangements involving multiple renters, there are times when one renter may need to leave during the tenancy period. This change necessitates a tenancy transfer, where an outgoing renter is replaced by a new one. This process is crucial for ensuring that the new renter is formally recognised, and the outgoing renter is released from their obligations. 

The tenancy transfer is a detailed process involving the property manager, the renters (both incoming and outgoing), the property owner, and possibly the Residential Tenancies Bond Authority. Accurate and complete documentation is key to a smooth tenancy transfer process. Here is a simplified overview of the steps: 


The outgoing renter informs the property manager about their intention to leave and transfer the tenancy to someone else. 

Approval Process

The property manager will discuss this with the property owner. The incoming renter must then apply to the owner, similar to a standard lease application. This includes reference and employment checks to ensure they are suitable for the property. 

Documentation and Agreement

Once the incoming renter is approved, a document is prepared and sent to all parties. This document specifies the renters who will remain and those who will leave. Upon signing, a tenant transfer fee may be applicable. 

Responsibilities of Incoming Renter

The incoming renter assumes responsibility for their share of the rent and the property’s condition, unless a new lease is drawn up. It’s important for outgoing renters to understand that they remain responsible for rent payments and property care until their name is officially removed from the lease. 

Image of grass

This procedure, while comprehensive, is vital for maintaining the legal and financial responsibilities aligned with tenancy. It ensures that all parties are aware of their roles and protects the interests of both renters and rental providers. 

For further information on lease transfers and tenant rights, including aspects related to discrimination, visit the Tenants Victoria website

If you have any queries regarding property management or leasing, please contact the Marshall White Property Management Team who will be happy to assist. Call us on (03) 9822 8711.

Discover More

Image of indoors