A common question we are asked is “What is a periodic lease?”. In short, a Periodic lease is a tenancy agreement that does not have a fixed term or a specified end date.

A periodic lease is often described as a “month-to-month” agreement which can be misleading. Whilst a periodic tenancy can be signed at the commencement of a tenancy, they commonly occur at the end of a fixed term agreement. If a fixed term agreement ends and a new fixed term lease has not been signed, generally a lease will roll periodic.

How does a periodic tenancy end?

The main difference between a periodic tenancy and a fixed-term tenancy is the periodic tenancy can be terminated by either party at any time providing the required notice. In South Australia, there are different notice periods depending on the reason and the party providing notice.

For Tenants, a tenant is required 21 days' notice to terminate the tenancy agreement. This does not change no matter the reason.

For Landlords it depends on the reason. If no specific reason is provided, a 90 day notice period applies. If notice is provided because the property owner wants to move in, major renovations or demolition is planned, or because the property has been sold and is subject to vacant possession, a 60 day notice period applies.

Can the rent be increased?

In short, yes. A Landlord can increase the rent during a periodic tenancy by providing 60 days written notice to the tenant.