Think Australian rental agreements are tough? Think again. While Australian renters might feel constrained by short leases and high rents, the global rental landscape is a wild and wonderful tapestry of quirks, customs, and downright bizarre practices.
“Many international tenants are surprised by how different the Australian rental market is from what they’re used to when they arrive here,” said Damien Lake, a Sydney-based residential property manager who frequently works with overseas professionals relocating overseas for work.
“But I’ve also seen firsthand how different rental expectations can be across cultures.”
Countries around the world have very different rental practice to Australia. Picture: Getty
Faced with insecure tenancies and unaffordable home ownership, Australians often lament the short-term nature of our rental leases and dream of long, European-style tenancies being imported here.
However, before you pack your bags and take flight in search of a renting paradise overseas, read on to see how the grass isn't always greener on the other side of the rental fence.
Germany: A home without a kitchen
Forget the built-in ovens and dishwashers you might expect in an Australian rental. In Germany, it's common for units to come without a kitchen entirely.
German rentals do not come with full kitchens, just plumbing and power. Picture: Getty
Yes, believe it or not, tenants are expected to purchase and install their own appliances, cabinets, and even the kitchen sink. On one hand it offers the freedom to design your dream kitchen, on the other it means significant upfront cost and the hassle of moving it all when you leave.
“Unlike in Australia, where landlords must provide a functional kitchen, German tenants invest in their homes as though they were owners due to longer lease durations,” explained Mr Lake. “In Germany the average length lease is a whopping 11 years, reflecting the long-term rental culture of the country.”
German renters typically install their own kitchens and take them when they leave. Picture: Getty
This DIY approach extends to other aspects of the property too, with tenants often expected to handle minor repairs and maintenance, such as painting walls or fixing minor plumbing issues. A blessing when it comes to changing the decor and hanging pictures, a curse when it involves something more taxing or costly.
UAE: Paying an entire year’s rent upfront
In the UAE, wannabe renters typically have to fork out for an entire year’s rent upfront before they even move in.
When you compare that with New South Wales for example, where tenancy laws restrict landlords to requesting a maximum of two weeks rent in advance with no further rent payments due until the end of the period for which rent has already been paid, it could seem a bit extreme.
Tenants in Dubai pay a year in advance. Picture: Getty
In the Gulf country it is standard practice for tenants to pay an entire year’s rent in advance. Some landlords accept post-dated cheques for staggered payments, but paying upfront can often secure a discount. Given the huge sums of money involved, many expats rely on employer subsidies, personal savings, or bank loans to comply.
Japan: Cash ‘gifts’ to your landlord
As with so much of Japan, the country’s rental market is steeped in cultural traditions with practices that can, to outsiders at least, seems bewildering. One such custom is ‘key money’ or 'reikin', a non-refundable gift paid to landlords as a gesture of gratitude and goodwill.
A gratuity payment to the landlord is expected in Japan. Picture: Getty
“Renting in Japan usually involves paying ‘key money’,” said Mr Lake.
“A kind of non-refundable gratuity given to landlords as a gesture of appreciation. This is in addition to security deposits and agency fees, which combined, makes moving costs significantly higher here. Australian rental agreements have no equivalent requirement — tenants only pay a bond (capped at four weeks’ rent) and do not have to provide a goodwill payment.”
Additionally, Japanese rental agreements often include detailed clauses about noise levels, garbage disposal, and even restrictions on overnight guests, reflecting the country's emphasis on social harmony.
Canada: A mass rental exodus on ‘moving day’
Imagine the chaos if every rental lease in your city expired on the same day — the scramble to book removalists and the piles of discarded furniture littering the pavements en masse.
In Quebec, Canada July 1 – which is also Canada Day – is known as 'Moving Day'. Picture Getty
For renters in Quebec, Canada, this is a reality when July 1 rolls around annually. Dubbed ‘moving day’, the tradition is rooted in 18th century when most leases ended on June 30.
“While it is said to foster a sense of community the sheer logistical nightmare of coordinating a citywide move is enough to make any renter shudder,” commented Mr Lake.
Montreal Quebec on 'Moving Day'. Picture: Getty
“The strain on local resources, the noise and disruption, and the sheer volume of discarded furniture are just some of the challenges associated with this annual migration. In contrast, the Australian rental market operates on rolling lease expiries, allowing tenants greater flexibility and reducing peak moving periods.”
Italy: Lengthy leases and tenant protections
While Australia is known for having shorter than average lease terms with 12 months being standard, in Italy rental agreements are typically for four years with automatic renewals built into the contract.
Italian lease are typically four years long. Picture: Getty
This provides tenants with greater security and stability, but also means it can be difficult to break a lease early. If renters need to move before their lease expires, they may face significant financial penalties.
“Italy’s rental market prioritises tenant stability,” explained Mr Lake. “Renters benefit from strong legal protections against arbitrary evictions or rent increases making it challenging for landlords to evict tenants or raise rents arbitrarily.”
France: Super-strict inventory checks
While Australian renters might feel they lack agency on their rental unit when it comes to hanging pictures and the like, spare a thought for renters in France who face strict and seriously detailed inventory checklists.
French renters need to go over properties with a fine-tooth comb to document any flaws – no matter how small. Picture: Getty
Called ‘état des lieux’, agents demand that every aspect of the property is meticulously documented before and after the tenancy by renters — and they mean EVERYTHING. From chipped paint to a missing lightbulb, any and every detail must be recorded to avoid disputes and potential deductions from security deposits.
Sweden: Second hand contracts
Sweden's rental market is characterised by a complex system of both first and second-hand contracts. A first-hand contract is a direct agreement between the landlord and the tenant, and these contracts are typically permanent unless the tenant violates the rental rules.
Swedish renters often sub-let properties from other tenants. Picture: Getty
However, a second-hand rental contract (called a ‘andrahandsuthyrning’) means renting from the original tenant — essentially sub-leasing — rather than directly from the landlord, and these contracts are typically fixed term.
Due to high demand for rental properties in cities, tenants often obtain apartments through second-hand contracts from existing tenants and pay an additional premium for the privilege.
Spain: Flexible leasing and automatic renewals
In Spain, renters can end their lease early with one month’s notice and, as long as they end the lease six months after its commencement, they do not have to pay any fees to the landlord.
When faced with evictions, Spanish renters are generally only evicted if their landlord wishes to move in or if they fall behind on their rent. Contracts also automatically renew for five or seven years, unless the tenant and landlord agree for the contract to be extended for a different length of time.
Renters in Spain can exit a lease without fees. Picture: Getty
“Spanish rental laws allow tenants to exit a lease with just one month’s notice after six months of occupancy without financial penalties,” said Mr Lake.
"Contracts also auto-renew for five to seven years unless otherwise agreed, providing renters with greater stability. In contrast, NSW tenancy laws offer flexibility but still require tenants to pay break lease fees if they exit early, unless they are on a periodic lease.”
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