Back to basics Property Management 101 - Be savvy about SMOKE ALARMS

23 May 2023

Property management is complex. Here we explain the details of a common area of confusion and give you the resources you need to practice effectively. Smoke alarms are critical, life-saving devices that provide an early warning of the presence of smoke and fire. Do you fully understand the relevant obligations when it comes to the installation, repair and maintenance of smoke alarms? Importantly, have you advised your landlords?

While it’s easy to dismiss these small devices as just another item to tick off your ‘to do’ list, the importance of having compliant and operational smoke alarms in rental properties cannot be stated strongly enough.

“Smoke alarms save lives and we all need to take our obligations extremely seriously,” Gary Triganza, Senior Property Manager at Award Group Real Estate and a member of the REINSW Property Management Chapter Committee, said.

Landlord obligations

Landlords must ensure that the repair or replacement of smoke alarms installed in their rental property is carried out in accordance with the Residential Tenancies Regulation 2019 (NSW). If they don’t, a maximum penalty of 20 penalty units will apply.

The Residential Tenancies Regulation sets out that landlords must:

  • Repair or replace a smoke alarm within two business days of becoming aware that it’s not working (see clause 14(1))
  • Replace a smoke alarm within 10 years of the date of manufacture, or earlier if specified by the manufacturer (see clause 20(a))
  • Install or replace (other than a non-removable battery):

                    (a) removable lithium batteries within the period specified by the manufacturer; or

(b) otherwise annually (see clause 20(b))

  • Conduct an annual check of all smoke alarms to ensure they are functional (as required by clause 42.2 of the prescribed standard form of residential tenancy agreement in Schedule 1 of the Residential Tenancies Regulation).

Notably, clause 15(1)(b)(ii) of the Residential Tenancies Regulation sets out that, in the case of hard-wired smoke alarms, the landlord must engage an authorised electrician to carry out any repair or replacement.

Further, clause 13 of the Residential Tenancies Regulation allows landlords to enter the premises without the tenant’s consent to either inspect, assess the need for repair or replacement of, or to carry out the repair or replacement of a smoke alarm where the proper notice has been given. In the case of entry for the purposes of inspecting or assessing the need for repair or replacement, at least two business days’ notice must be given. Not less than one hour’s notice must be given in the case of entry for the purposes of carrying out repairs or replacement.

When it comes to tenants’ obligations, the Residential Tenancies Regulation requires that the tenant must notify their landlord if a smoke alarm needs to be repaired or replaced. It also sets out some limited circumstances when the tenant may repair or replace a smoke alarm.

The tenant may choose to replace a removable battery or a removable back-up battery; if they do, they need to notify the landlord (see clause 15). Further, the tenant may repair or replace a battery-operated smoke alarm (or arrange for someone to do it on their behalf) or a hardwired smoke alarm when they have notified the landlord that it is not working and the landlord fails to repair or replace it within the two business days (noting there are additional requirements if the lot is in a strata scheme); in the case of a hardwired smoke alarm, the tenant must engage an authorised electrician to repair or replace it (see clause 17).

Where the tenant carries out the repair or replacement, they’re entitled to reimbursement for the cost within seven days of providing written notice to the landlord (see clause 18).

Complying with the legislation

Gary said that the provisions help clarify who is responsible for what and when in the case of smoke alarms.

“As property managers, we can point to these provisions when we talk to our landlords about smoke alarms,” he said.

However, Gary noted that the provisions don’t quite go far enough and fall short of what’s required to ensure all smoke alarms are compliant and operational at all times.

“Put simply, landlords, tenants and property managers are not appropriately qualified and the installation, repair and maintenance of smoke alarms should only be carried out by qualified trades people,” he said.

“REINSW recommends that all repairs to and maintenance of smoke alarms should be carried out by an authorised electrician (for hardwired smoke alarms) or a qualified technician (for battery-operated smoke alarms), rather than by a property manager, landlord, tenant or handyman.”

Gary emphasised that all smoke alarms need to be checked annually to ensure they are functioning.

“Unfortunately, the legislation still allows landlords to carry out this check themselves,” he said. “Where this is the case, you should obtain written confirmation from them to this effect. However, it’s best practice to arrange for this inspection to be carried out by a recognised smoke alarm company or an authorised electrician, and always ask for a certificate of compliance upon completion of any work carried out.”

Best practice tips

All smoke alarms

  • Advise landlords that smoke alarms need to be checked annually to ensure they are functioning. If they don’t comply with this obligation, they are in breach of the residential tenancy agreement.

  • Put processes in place to ensure all smoke alarms are checked annually by a recognised smoke alarm company or an authorised electrician, and always ask for a certificate of compliance upon completion.

  • When engaging an authorised electrician or qualified technician for the repair or replacement of a smoke alarm, always check that their licence is valid and current with NSW Fair Trading. Also ensure that their name and licence number appear on any work order.

  • Upon completion of any work, ensure the invoice shows details of the tradesperson who carried out the work and their licence number.

Hardwired smoke alarms

  • Ensure that all repairs, replacement and maintenance of hardwired smoke alarms are only carried out by an authorised electrician. Property managers, landlords, tenants or handymen should not carry out work.

  • Only engage an authorised electrician for the repair and replacement of hardwired smoke alarms. Where a smoke alarm company carries out the work, inform them that an authorised electrician must undertake the work.

Battery-operated smoke alarms

  • Ensure that all repairs, replacement and maintenance of battery-operated smoke alarms is only carried out by an authorised electrician or a technician specialising in smoke alarms. Property managers, landlords, tenants or handymen should not carry out work.

Case study

Our agency employs a specialist smoke alarm company to attend to most of our smoke alarm servicing needs.

When taking on new managements, we recommend that the property owner signs up to this service, so they have the peace of mind of knowing that their obligations under the law are being met. A vital part of our briefing to owners is to emphasise that they may be liable for damages if a fire occurs and the smoke alarms in the property are non-compliant.

Unfortunately, there are some owners who decide not to sign up for the service. In these cases, we ask the landlord to confirm, in writing, they are taking on all responsibility for the installation, maintenance and replacement of smoke alarms. We also create an alert requiring the property manager to contact the owner one month before servicing is due to ask them to arrange their nominated tradesperson to attend the property to complete the relevant works. We then ask the owner to advise us in writing of the date and time of the service, as well as the type of smoke alarm and, in the case of battery-operated smoke alarms, whether the battery can be replaced by the tenant and, if so, the type of battery required. This is communicated to the tenants, so they can provide access to the property and is also needed for the residential tenancy agreement and condition report.

All of this information is then saved into our CRM.

GARY TRIGANZA, Senior Property Manager at Award Group Real Estate and a member of the REINSW Property Management Chapter Committee.

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