How to Take a Tenant to Tribunal for Property Damage in NSW

# How to Take a Tenant to Tribunal for Property Damage in NSW

When a tenant leaves your property with holes in walls, broken fixtures, or stained carpets — and the bond does not cover the cost — you can recover those losses through the NSW Civil and Administrative Tribunal (NCAT). This guide explains the process, evidence requirements, and how to calculate repair costs properly.

Understanding Property Damage vs Fair Wear and Tear

Not all damage is recoverable. Tenants are responsible for damage they cause, but not for fair wear and tear.

Fair wear and tear includes:

• Faded paint or curtains from sunlight
• Minor scuff marks on walls from normal use
• Worn carpet in high-traffic areas
• Deterioration from age and normal use

Tenant-caused damage includes:

• Holes in walls from picture hooks or furniture
• Broken windows, doors, or fixtures
• Burns, stains, or tears in carpets beyond normal wear
• Damage to appliances from misuse or neglect
• Unapproved modifications or alterations

You carry the burden of proof. You must show the damage was caused by the tenant, not pre-existing or the result of fair wear and tear.

Bond Claims vs Standalone Property Damage Claims

There are two pathways to recover property damage costs, depending on whether the tenancy has ended and whether the bond is sufficient.

Bond Claim (NCAT Form 3)

If the tenancy has ended and you hold the bond with NSW Fair Trading, apply to NCAT for a bond claim.

When to use it:

• Tenancy has ended
• Bond is held by NSW Fair Trading
• You want to claim all or part of the bond for damage, unpaid rent, or other breaches

Process:

1. Complete condition report and calculate damage costs
2. Apply to NCAT using Form 3
3. Serve the application on the former tenant
4. Attend the hearing with evidence

The bond is capped at 4 weeks’ rent. If damage exceeds the bond, you need a separate property damage claim.

Standalone Property Damage Claim (NCAT Form 1)

If the bond does not cover the damage, or if the tenancy is still ongoing, apply for a standalone property damage order.

When to use it:

• Damage exceeds the bond amount
• Tenancy is still ongoing and you want urgent repairs
• Bond has already been released and you later discover damage
• No bond was paid

Process:

1. Gather evidence of damage and repair quotes
2. Apply to NCAT using Form 1
3. Pay the filing fee (varies by claim amount)
4. Serve the application on the tenant
5. Attend the hearing

NCAT’s General Division can typically hear claims up to $30,000 for property damage.

Evidence You Need to Prove Property Damage

NCAT requires clear, contemporaneous evidence.

Entry and Exit Condition Reports

The condition report is your most important evidence. NSW landlords must complete a condition report at the start and end of every tenancy.

Entry report:

• Completed within 7 days of the tenant moving in
• Signed by both landlord and tenant (or tenant given opportunity to comment)
• Photographs of every room, fixture, and surface
• Detailed written description of condition

Exit report:

• Completed after the tenant vacates
• Photographs of the same areas, showing damage
• Detailed description of new damage

If the entry report shows the wall was clean and the exit report shows holes, you have a strong case. Without an entry report, proving tenant-caused damage becomes much harder.

Photographs and Video

Take high-resolution photos and videos:

• Wide shots showing the room context
• Close-ups of specific damage
• Date-stamped images (use phone metadata or timestamp apps)
• Before-and-after comparisons

Repair Quotes and Invoices

NCAT expects you to quantify your loss with evidence, not estimates.

Acceptable evidence:

• Written quotes from licensed tradies (at least two quotes for major repairs)
• Tax invoices for completed repairs
• Receipts for materials if you did the work yourself (but not your own labour)

Unacceptable evidence:

• Verbal quotes
• Your own estimate of repair time and cost
• Inflated quotes from mates

Tenancy Agreement and Correspondence

Bring:

• The signed tenancy agreement
• Any written notices you gave the tenant about the damage
• Emails or texts where the tenant acknowledged the damage

How to Quantify Repair Costs

NCAT will only award the reasonable cost of restoring the property to its pre-damage condition, minus fair wear and tear.

Partial Replacement vs Full Replacement

If the tenant damages part of a carpet, you cannot claim the cost of replacing the entire house. NCAT will reduce your claim to the proportional cost.

Example: Tenant burns a 2m² section of carpet in the lounge room. The lounge room is 20m². You can claim 10% of the carpet replacement cost, not 100%.

Depreciation

For older items, NCAT will apply depreciation. A 5-year-old carpet has less value than a new one.

Common depreciation schedules:

• Carpet: 10 years
• Paint: 5-7 years
• Blinds: 5 years
• Appliances: 7-10 years

If your carpet was 8 years old and the tenant damaged it, NCAT may only award 20% of the replacement cost.

Betterment

You cannot use the tenant’s damage as an opportunity to upgrade. If the tenant breaks a standard tap, you cannot claim for a designer tap. NCAT will reduce your claim if the repair results in a material improvement to the property.

The NCAT Hearing Process

NCAT tenancy hearings are informal but legally binding.

Before the hearing:

• Prepare a written summary of your claim (1-2 pages)
• Organise your evidence in chronological order
• Bring three copies of everything (one for you, one for the tenant, one for the tribunal)

At the hearing:

• Arrive 15 minutes early
• Dress appropriately (business casual)
• Speak clearly and stick to the facts
• Answer the member’s questions directly

Common questions NCAT will ask:

• Do you have an entry condition report?
• When did you first notice the damage?
• Did you give the tenant notice of the damage?
• Are these quotes reasonable and necessary?
• Have you accounted for fair wear and tear?

Most property damage hearings run 30-60 minutes. NCAT usually delivers an oral decision on the day, followed by a written order within 1-2 weeks.

What Happens If You Win

If NCAT orders the tenant to pay you compensation, the tribunal does not collect the money for you. You are responsible for enforcement.

Enforcement options:

• Negotiate a payment plan with the tenant
• Apply for a garnishee order (if the tenant is employed)
• Apply for a writ of execution (if the tenant has assets)
• List the debt with a credit reporting agency

If the tenant does not pay and has no assets or income, enforcement may be difficult. Many landlords accept a partial settlement rather than pursue a judgment they cannot collect.

When to Get a Lawyer

Consider engaging a NSW tenancy lawyer if:

• Your claim exceeds $10,000
• The tenant has filed a cross-claim against you
• The damage involves structural issues or safety hazards
• You are unsure whether the damage is fair wear and tear
• The tenant is legally represented

For straightforward bond claims and minor property damage, most landlords represent themselves successfully at NCAT.

How Claim Done Helps NSW Landlords

ClaimDone prepares your NCAT property damage application in 60 minutes. Upload your condition reports, photos, and repair quotes — our Proprietary AI Engine drafts a tribunal-ready application.

What you get:

• Completed NCAT Form 1 or Form 3
• Supporting statement of claim
• Evidence index and checklist
• Service instructions

You file the application yourself and attend the hearing. Claim Done does not provide legal advice, but we give you a professional starting point for $97.

Final Steps: Applying to NCAT for Property Damage

Step 1: Gather your evidence — entry report, exit report, photos, quotes, invoices.

Step 2: Calculate your claim — repair cost minus depreciation and fair wear and tear.

Step 3: Decide whether to use a bond claim (Form 3) or standalone damage claim (Form 1).

Step 4: Complete the NCAT application or prepare your NCAT application in 60 minutes with ClaimDone.

Step 5: File the application online or by post and pay the filing fee.

Step 6: Serve the application on the tenant within the required timeframe.

Step 7: Attend the hearing with three copies of all evidence.

Step 8: If you win, enforce the order through garnishee, writ, or negotiated payment plan.

If you have the evidence and follow the process, NCAT will award you fair compensation for genuine tenant-caused damage. Start your application today.

Frequently Asked Questions

Can I claim for property damage if the tenant is still living in the property?

Yes. You can apply to NCAT for a property damage order even if the tenancy is ongoing. Use NCAT Form 1. You cannot withhold the bond until the tenancy ends, but you can seek a tribunal order for compensation.

What if I don't have an entry condition report?

It becomes much harder to prove the damage was tenant-caused. NCAT may still award compensation if you have other evidence (photos, witness statements, or the tenant’s admission), but the burden of proof is on you. Always complete entry and exit condition reports.

How much does it cost to apply to NCAT for property damage?

The NCAT filing fee depends on the claim amount. For claims under $5,000, the fee is typically $58. For claims between $5,000 and $10,000, it is $116. For claims over $10,000, it is $233. Fee waivers are available in cases of financial hardship.

Can I claim for my own labour if I repair the damage myself?

No. NCAT will not award compensation for your own time or labour. You can claim the cost of materials if you have receipts, but not the value of your work. If you want to claim labour, you must engage a licensed tradie and provide an invoice.

What happens if the tenant does not attend the NCAT hearing?

NCAT can proceed in the tenant’s absence if you have properly served the application. The tribunal will hear your evidence and make a decision based on what you present. If the tenant later claims they did not receive notice, they can apply to set aside the order, so always keep proof of service.