Short-Term Rental Accommodation Incentive Scheme

The STRA Incentive Scheme offers a $10,000 financial incentive to existing owners of un-hosted short-term rental accommodation properties in Western Australia, to transfer their property to the long-term rental market for at least 12 months to support people seeking a rental home.
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What you need to know

Short-Term Rental Accommodation (STRA)

Short-term rental accommodation is the common name given to holiday homes, units or apartments offered for short-term or short-stay rental, usually through an online booking platform such as Airbnb, or a management agency.

These properties are usually built for residential purposes in residential areas and are often ‘un-hosted’ meaning the guests stay in the property and the property owner does not stay on site.

STRA Incentive Scheme

The scheme provides a $10,000 incentive payment for property owners who offered short-term rental accommodation between 28 September and the announcement of the scheme on 9 November 2023 but are now willing to transition to a minimum 12-month long-term tenancy, at or below the maximum rent chargeable for their property’s location (see table below).

Am I eligible?

Yes

You must meet all of the below requirements:

  • You own a single, self-contained property i.e. house, flat, apartment or units.
  • The property was occupied or advertised as un-hosted short-term rental accommodation between 28 September 2023 and the announcement of the scheme on 9 November 2023.
  • You transition your property from short-term to long-term rental accommodation by midnight on 8 May 2024.
  • You enter into a residential tenancy agreement for at least 12 months, and the rent charged is at, or below, the maximum rent chargeable for your property’s location (see table below).
  • You have an Australian bank account that payments can be made into.

No

If any of the below are applicable to you:

  • A property is not yours.
  • You are not renting the entire property i.e. only renting one room.
  • Your property was subject to a long-term tenancy agreement between the 28 September 2023 and the 9 November 2023.

Maximum rent chargeable by location

Location* Maximum weekly rent chargeable
Greater Perth (includes Mandurah)$800
Peel (excluding Mandurah)$600
Gascoyne$1,000
Goldfields/Esperance$700
Great Southern$600
Kimberley$1,300
Mid West$600
Pilbara$1,400
South West$650
Wheatbelt$550

* Maximum Rent Chargeable by Location has been calculated by Consumer Protection WA using the four-bed median rental price for a house in each location as published by REIWA. This takes into account potential increases in the rental price over the term of the 12-month lease.

Incentive payments

Approved property owners will receive $10,000 in two stages.

  • $4,000 once the application is approved by Consumer Protection.
  • $6,000 once the rental agreement reaches 12 months.

How do I apply

Applicants are encouraged to submit their application online.

Submit your application online now

To apply online you must have established a Digital Identity such as myGovID. A Digital Identity is a safe, secure and convenient way to prove who you are online to access government online services.

You can establish a digital identity through myGovID.

If you can't apply online, a manual application form is available by contacting Consumer Protection on 1300 30 40 54.

Supporting documentation

Applicants will need to provide supporting documentation to show that they meet the STRA Incentive Scheme criteria.

A copy of the residential tenancy agreement must be included with your application to show that the property is rented on the long-term rental market for at least 12 months and that the tenancy started after the announcement of the STRA Incentive Scheme on 9 November 2023.

Supporting documentation must also be included with your application to show that the property was booked as short-term rental accommodation, or was available for booking, between 28 September 2023 and the announcement of the scheme on 9 November 2023 (relevant period).

This might include:

  • a booking platform agreement covering the relevant period;
  • booking confirmation emails demonstrating that the property was booked as short-term rental accommodation within the relevant period;
  • extracts from your booking calendar, showing that the property was either booked or available for booking as short-term rental accommodation during the relevant period; or
  • a copy of a tax or transaction statement issued by your booking platform to substantiate the property’s use as short-term rental accommodation. The statement must indicate bookings, or payments, within the relevant period.

Residential tenancies

When entering into the residential tenancy agreement you must ensure the tenancy complies with the Residential Tenancies Act 1987 (WA) and Residential Tenancies Regulations 1989 (WA).

As a landlord it will be important for you to know your rights and responsibilities.

A renting tools and checklist is available through Consumer Protection WA with publications and forms to provide you with all the information you need to help you manage your tenancy.

Renting out your property - a lessor’s guide is an easy-to-read guide and explains your rights and responsibilities as a private property owner.

Make sure you are up to date with the latest reminders, news and law updates by subscribing to the landlords bulletins.

Contact

If you have questions about the STRA Incentive Scheme, you can contact Consumer Protection on 1300 30 40 54, or email cpgrants@dmirs.wa.gov.au.

STRA Incentive Scheme Fact Sheet

Consumer Protection’s STRA Incentive Scheme 2023-24 Fact Sheet (PDF 374 KB) provides more information about the scheme. Click to download the document or share with someone you know.

STRA Incentive Scheme 2023-24 Fact Sheet

STRA Incentive Scheme Terms and Conditions and Guidelines

Consumer Protection’s STRA Incentive Scheme Terms and Conditions (PDF 772 KB) and Guidelines (PDF 525 KB) provides further information around the eligibility requirements for the scheme. Click to download.

STRA Incentive Scheme Terms and Conditions

STRA Incentive Scheme Guidelines

Frequently Asked Questions

What if the tenancy is terminated before the 12-month lease ends?

In order to remain eligible for the second incentive payment, the property must be re-let on the long-term rental market with a gap of no more than six weeks between tenancies.

If an owner executes subsequent tenancies within the allowed six-week period, the second incentive payment is due to the owner after the 12-month anniversary of the property being initially leased.

If the initial tenancy is terminated and I need to re-let the property, is there a minimum length applicable to the subsequent tenancy?

No. Any subsequent tenancies are not subject to a minimum tenancy length however, to receive the second incentive payment the property must have been leased on the long term rental market for at least 12 months from the property initially being leased.

Can the rent be increased during the 12-month lease?

Any rent increase must comply with the Residential Tenancies Act 1987 as well as the terms of the residential tenancy agreement.

To be eligible for the second incentive payment, the tenant’s rent must remain at or below the maximum rent chargeable by location for the entire 12-month period.

To be eligible for the second incentive payment, the tenant's rent must remain at or below the maximum rent chargeable by location for the entire 12-month period. What are the eligibility criteria for the scheme?

  • You own a single, self-contained property i.e. house, flat, apartment, unit.
  • The property was occupied or advertised as un-hosted short-term rental accommodation between 28 September 2023 and the announcement of the scheme on 9 November 2023.
  • You transition your property from short-term to long-term rental accommodation by midnight on 8 May 2024.
  • You enter into a residential tenancy agreement for at least 12 months, and the rent charged is at, or below, the maximum rent chargeable under the scheme for your property’s location.
  • You have an Australian bank account that payments can be made into.
  • The property was leased on the long-term rental market for at least 12 months since the announcement of the STRA Incentive Scheme.
  • The owner has complied with the requirement that rent be at or below maximum rent chargeable under the scheme by location throughout the 12-month term of the lease agreement.

How do I apply?

Applicants are encouraged to submit their applications online.

To apply online you must have an established 'Standard' strength Digital Identity such as myGovID. (Please see FAQ's "What is a Digital Identity and how do I establish one?")

If you are unable to apply online, a manual application form is available by contacting Consumer Protection on 1300 304 054.

What is a Digital Identity and how do I establish one?

A Digital Identity is a safe, secure and convenient way to prove who you are online to access government online services.

You can establish a digital identity through myGovID.

Can I make the application for someone else?

No, the owner of the property must make the application and complete the declaration within the application process.

What is the application closing date?

Applications must be submitted by midnight 8 May 2024.

Will my application be put ahead in the queue because I have completed an expression of interest?

No, all applications will be dealt with in order, on receipt of all relevant criteria being met and documentation being provided.
 

What are the eligibility criteria for the scheme?

  • You own a single, self-contained property i.e. house, flat, apartment, unit.
  • The property was occupied or advertised as un-hosted STRA in the six-weeks prior to the announcement of the STRA Incentive Scheme on 9 November 2023.
  • You transition your property from short-term to long-term rental accommodation by midnight on 8 May 2024.
  • You enter into a residential tenancy agreement for at least 12 months, and the rent charged is at, or below, the maximum rent chargeable under the scheme for your property’s location.
  • You have an Australian bank account that payments can be made into.
  • The property was leased on the long-term rental market for at least 12 months since the announcement of the STRA Incentive Scheme.
  • The owner has complied with the requirement that rent be at or below maximum rent chargeable under the scheme by location throughout the 12-month term of the lease agreement.

Are the STRA Incentive Scheme payments subject to tax?

STRA Incentive Scheme payments may be assessable income for taxation purposes. We recommend you seek independent professional advice on your taxation obligations.

Does my property have to be fully furnished?

No, your property does not need to be fully furnished when being leased on the long-term rental market. It is at the owner’s discretion if they lease the property furnished or un furnished, however, the rent must still be at or below the maximum rent chargeable under the scheme by location.

Are there any conditions that need to be met?

Yes, applications to the STRA Incentive Scheme must meet the following conditions:

  • the property is located in WA
  • the applicant is an owner of the property, and where it is jointly owned, they are authorised by any other owner/s to make the application on their behalf
  • the applicant and any co-owners do not live in the property
  • the applicant and any co-owners are not related to any of any of the tenants
  • only one application can be made per property
  • the residential tenancy complies with the Residential Tenancies Act 1987 (WA) and Residential Tenancies Regulations 1989 (WA)
  • the applicant has all necessary approvals to rent the property such as strata company approvals if required.

What documentation do I need to include with my application?

Applicants will need to provide supporting documentation to show that they meet the STRA Incentive Scheme criteria.

A copy of the residential tenancy agreement must be included with your application to show that the property is rented on the long-term rental market for at least 12 months and that the tenancy started after the announcement of the STRA Incentive Scheme on 9 November 2023.

Supporting documentation must also be included with your application to show that the property was booked as STRA, or was available for booking, between 28 September 2023 and the announcement of the scheme on 9 November 2023 (relevant period).. This might include:

  • a booking platform agreement covering the relevant period;
  • booking confirmation emails demonstrating that the property was booked as STRA within the relevant period;
  • extracts from your booking calendar, showing that the property was either booked or available for booking as short-term rental accommodation during the relevant period;
  • a copy of a tax or transaction statement issued by your booking platform to substantiate the property’s use as short-term rental accommodation. The statement must indicate bookings, or payments, within the relevant period.

If I enter into a residential tenancy agreement and the start date is in the future, when would I be eligible for the state one payment?

Eligible applicants are entitled to the Stage One incentive payment once the tenancy has commenced, not when the residential tenancy agreement is executed. It is a requirement that the tenant has taken up occupancy of the property to be eligible for the scheme as the 12 month tenancy extends from the occupancy date not from the date the agreement was entered into. 

I have a property in regional Western Australia, can I apply?

Yes. If you have an eligible property in any part of WA, you can apply to the STRA Incentive Scheme.

What if the property is owned by an organisation or trust?

If the property is owned by an organisation or trust, then you will need to provide evidence that you have authority to act on behalf of the Trust or Company. This must be submitted with your application.

What if my property was available for booking as short-term rental accommodation in the six-week period before the STRA Incentive Scheme announcement but was not booked?

If the property was advertised and available for booking as short-term rental accommodation during the six weeks before the STRA Incentive Scheme announcement, then you meet this criterion.

How are the STRA Incentive Scheme payments paid?

STRA Incentive Scheme payments will be made to the bank account you nominate in your application. However, payments will only be deposited in Australian bank accounts.

If I qualify, when will the second incentive payment be paid?

The STRA Incentive Scheme provides a second incentive payment of $6,000. This payment is available to property owners who qualified for the first incentive payment by leasing their property on the long-term rental market for 12 months. If eligible, the applicant will be entitled to the second payment after the 12-month anniversary of the property being leased on the long-term rental market.

Am I eligible for the stage two incentive payment if I sell my property before the end of the 12 month tenancy?

No. If you sell the property before the end of the 12-month tenancy then you will not be eligible to receive the Stage Two incentive payment. It is a key requirement that you own the property and in this scenario, at the time that the Stage Two payment falls due, you are no longer the owner of the property and so you will not be eligible for the Stage Two payment. If you sell the property it does not affect your entitlement to the Stage One payment. It is important to note that the new owner would not be eligible for the Stage Two payment either as they did not own the property at the time of the claim, nor did they own the property when it was available as short-term rental accommodation during the 6 week period prior to the government’s announcement of the scheme.

What if I have current short-term rental accommodation bookings to honour?

Any existing short-term rental accommodation bookings during the application period can be honoured, you can then apply for the incentive scheme once you have transitioned the property to long-term rental accommodation. You need to have transitioned your property from short-term to long-term rental accommodation, and lodged your application, by midnight on 8 May 2024.

Did my property have to be available on a booking platform like Air B'n'B or is it okay that I managed the short-term rental?

It is ok that you managed the short-term rental yourself. You will need to be able to provide evidence of the property being occupied or advertised as un-hosted short-term rental accommodation between 28 September and 9 November 2023. (Please see FAQ’s “What documentation do I need to include with my application?”)
 

I have only used my property for short-term rental accommodation, where do I find information on how to manage a long-term rental?

To manage a long-term rental, read Consumer Protection’s Renting out your property - A lessor’s guide (PDF 1.77 MB). If you have any questions, contact Consumer Protection on 1300 30 40 54 or email consumer@dmirs.wa.gov.au.

Who do I contact if I have questions about the STRA Incentive Scheme?

If you have questions about the STRA Incentive Scheme, contact Consumer Protection on 1300 30 40 54 or email at cpgrants@dmirs.wa.gov.au.