Of a residential park

When you decide to move out of the residential park you've been living in, you should be clear about the steps you need to take or it could cost you money. There are some differences between ending a Moveable dwelling agreement and ending a Residential site agreement.

The grounds for terminating a moveable dwelling agreement (an agreement where you rent a park–owned dwelling and site, or a site to put your own caravan or campervan without a rigid annexe) are explained below.

Notice without reason

At the end of the fixed term period:

If it is just before your fixed term is about to end you can give at least 14 days notice to end your moveable dwelling agreement with no reason. The notice can be served on the park owner up to and including the day your fixed term ends. The last day of your notice should not end before the last day of the fixed term.

For example, if you had a 6 months fixed term agreement which ends on 1 December, the date you put on your termination notice as the day you want to end the tenancy cannot be before this date. It must be on or after 1 December.

The park owner can give a resident 30 days notice.

After the fixed term period:

If you serve your termination notice after the fixed term period has ended, you must give at least 21 days notice. The park owner in this case must give you at least 60 days notice if wishing to end your agreement.

Falling behind in rent payments

If you fall behind in rent payments for 14 days or more, the park owner may serve you notice of at least 14 days to terminate your agreement. If this happens, talk to the park owner to try to reach an agreement to catchup.

Breach of agreement

Either a resident or park owner can give at least 14 days notice to end the tenancy if the other party has seriously breached a term of the agreement. The notice must state which term/s has been broken. This 14 day notice can be given regardless of whether the fixed term has ended or not.

Park owner sells the park

If the park is sold and the sale contract requires that the dwelling should be empty before the settlement can take place, the park owner must give you at least 30 days notice (after the contracts of sale have been entered into). This notice can apply only after the fixed term has ended.

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Grounds for terminating a residential site agreement (an agreement to rent a site for your own manufactured home, or caravan or campervan with a rigid annexe) are explained below.

Notice without reason

Once the fixed term has expired, the resident can end the agreement by giving at least 30 days notice without stating a reason.

Breach of agreement

Either a resident or park owner can give at least 14 days notice to end the tenancy if the other party has seriously breached a term of the agreement. The notice must state which term/s has been broken. This 14 day notice can be given regardless of whether the fixed term has ended or not.

Park owner ends the agreement

It is important that you know and understand your rights if this happens. The park owner can only end your residential site agreement for the following reasons.

Rent arrears

If you fall behind in rent payments by 14 days or more, the park owner may serve you notice of at least 14 days.

Breach of agreement

If you have seriously or repeatedly broken the agreement the park owner may serve you notice of at least 14 days.

Run-down home

If you allow the condition of your dwelling to deteriorate, the park owner may give you a notice directing you to fix the problem:

• firstly, a notice directing you to repair your home within 90 days
• a further notice of 30 days if you have not fixed the problem
• if the dwelling has still not been improved you may receive a termination notice of at least 60 days.

Not fit to live in

If the site you are renting is no longer fit to live on (eg. flooded) or the site is not lawfully useable for living on, immediate notice may be given. You may be paid compensation if the park owner gives you notice to terminate your agreement because the site is no longer lawfully useable for a residence, providing you were not aware that the site was not lawfully useable.

Site to be used for a different purpose

If the site you rent is no longer to be used as a residential site, you can be given no less than 12 months notice. You are entitled to compensation if your tenancy is terminated for this reason, however, you cannot be compensated if your site is within a Crown reserve, and:

• you were told when you signed your agreement that you could not get compensation if this happened, and
• your residential site in a Crown reserve will be used for a public purpose.

Repair and upgrade of the site

If the park owner has been ordered by the local council to make your site available for repairs or upgrading a minimum 90 day termination notice may be given to you. You cannot, however, be asked to move out before the end of the remaining fixed term period of your agreement. You are entitled to compensation if the park owner gives you notice to leave the site for this reason.

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Should a park owner seek to terminate a residential site agreement to take possession of residents' sites for the purpose of re–developing the park or changing its use, the following laws apply:

• twelve months notice must be given
• development approval must be obtained before a valid notice of termination can be given
• if development approval is not needed, consent of the Consumer Trader and Tenancy Tribunal (Tribunal) will first have to be obtained before a notice of termination can be given
• the park owner will have to advise Housing NSW when issuing a notice of termination
• the notice of termination is to include specific information about residents' rights:
  • that the resident is not required to vacate until ordered to do so by the Tribunal and
  • that the resident may be entitled to compensation which is payable before the resident is required to leave.
• The Tribunal is not to make an order of possession unless satisfied that compensation has been determined, the park owner has agreed to buy the residents' home or the parties have reached an acceptable settlement.

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Moveable dwelling and residential site agreements are legally binding contracts which cannot be easily broken.

If you believe that you cannot stay in the premises or site for the full term of the agreement or continue to pay the rent, you should notify the park owner or manager as soon as possible. You may apply to the Tribunal to end the agreement early if facing personal hardship, but you may have to pay compensation to the park owner. If you break an agreement early you must pay:

• the rent until another resident is found and begins their tenancy or until your agreement ends, which ever occurs first
• reasonable advertising costs.

The park must take reasonable steps to keep these costs at a minimum.

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A notice of termination is a document that tells the other party when the tenancy will be ended and why. There are strict rules about what must be written in a termination notice to make it effective. A notice of termination must:

• be in writing
• state the address of the site/premises
• be signed and dated
• allow the required period of time
• give the date on which you intend to move out or the park owner wants you to move out
• give reasons for ending your agreement (where applicable)
• the park owner must include a statement that a resident does not have to vacate until the Tribunal makes an order and that compensation may be payable as well as information about tenancy rights.

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It is very important to serve your notice correctly, or it may be considered invalid. You must not put the notice under a door, pin it to a door, or leave it in a letter box. You must serve the notice in one of these ways:

• Give it personally to the resident, park owner, manager or to a person who ordinarily pays or receives the rent (this person must appear to be at least 16 years old). It is advisable to take a witness with you when serving a notice of termination.
• Deliver it to the premises and leave it with someone who is of or above the age of 16. It is advisable to take a witness when serving a notice of termination.
• Send it by fax to the park owner or manager.
• Post the notice (allow four working days for posting) to the premises or the park owners usual place of residence or business.

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The park owner may have to pay you compensation if the Tribunal makes an order for you to leave the site following a termination notice for any of these reasons:

• change of use
• repairs and upgrading
• relocation
• the park owner's hardship, or
• where the site is not lawfully useable as a residential site.

The amount of compensation will depend on the 'reasonable costs' of:

• removing your home from the site (including the cost to disconnect telephone, electricity, etc.)
• transporting your home and possessions to the new site (relocation), or to your new location (up to 500 kms), or disposing of it
• repairing any damage to your home that happened during the relocation (up to its original value)
• landscaping your new site to the same condition as your old one
• installing your home on the new site and connecting any services.

If compensation is awarded by the Tribunal, you do not have to vacate until you have been paid in full.

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