Changes passed in July under the Residential Tenancies Amendment Act 2010 will come into effect from 1 October, which could potentially have significant financial consequences for tenants and their landlords.

As reported in Salient earlier in the year, one of the most significant features of the legislation is the introduction of financial incentives to encourage tenants and landlords to adhere to their obligations under the Act.

As of next month, tenants can be fined up to $2000 for harassing neighbours, while landlords who provide substandard housing may face fines of up to $3000.

The legislation also clarifies the process for terminating tenancy agreements where tenants fail to pay rent, and increasing the enforceability of Tenancy Tribunal orders; giving badly-behaved tenants less than a month before skipping rent and playing dubstep too loudly may have dire consequences.