NSW pet reforms – positive or risky?

Pet reforms are on the horizon in New South Wales, making it easier for tenants to rent with their furry friends. Are the changes a positive step forward or do they leave landlords at risk? We chat to Ashlea Merlo, Founder and Director of The Property Collab, to find out…  

Starting her real estate career in 2006, Ashlea has done it all – from reception work to sales support, from leasing to property management, from team leader to department head, from coaching and training in a corporate role to then starting her own specialist property management agency, The Property Collab, in 2019. 

Today she leads a team to be at the forefront of the real estate market, implementing new technology to create efficiencies, focussing on growth initiatives, team training, increasing performance and delivering second-to-none customer service to her portfolio of clients.  

Considering Ashlea’s knowledge and experience, EBM RentCover decided to catch up with her to chat all things real estate and what is on the horizon for the industry in 2025. For those in New South Wales, the looming pet reforms are something to be across. Keep reading to discover Ahlea’s insights…  

What changes do you think the real estate industry will experience in the year ahead? 

Speed is the new currency; consumers are wanting information faster than ever before and the landscape of technology around us is changing at a rapid pace. There are quite significant changes coming to legislation in New South Wales which is really going to affect how property managers operate, and it will take a lot of resilience, flexibility and learning to be able to educate and thrive under the new legislation requirements.  

Speaking of legislation, pet reforms are on the horizon in NSW. Are they a positive?  

As an animal lover, I support pet-friendly rental options for properties that are suitable for pets. The upcoming reforms are a positive step forward, making the process more transparent and ensuring tenants receive timely responses regarding pet requests. 

That said, it's equally important to protect landlords’ interests and maintain their properties to the highest standards. Clear approval processes, well-defined special conditions, and comprehensive landlord insurance policies are essential in balancing tenant rights with property protection. By implementing stringent guidelines for pet approvals, we can create a fair system that benefits both landlords and responsible pet-owning tenants. 

What do your landlords think about the reforms?  

Initially, many landlords were naturally hesitant about allowing pets, but once they understand that clear parameters still exist—such as size, type, and number of pets appropriate for a property—they feel more at ease. A tenant cannot simply move in with multiple large pets in a small apartment without proper consideration. 

Also, most people now recognise that pets are a significant part of many tenants' lives, and a well-managed pet policy can actually attract responsible, long-term renters. This is where a professional property manager is invaluable. We help landlords navigate these changes by implementing strong approval processes, recommending appropriate special conditions, and ensuring their landlord insurance provides adequate protection. By taking a structured approach, we can balance the needs of both landlords and tenants while safeguarding the property. 

Do you have an example of a pet damage claim that you have had to submit?  

I haven’t had to submit a pet damage claim through insurance, as we’ve always been able to negotiate directly with tenants to cover repair costs. However, a recent case I heard about highlighted the importance of having safeguards in place—a distressed animal, left alone during a storm, completely destroyed a full timber bi-fold door, requiring a full replacement. 

This situation underscores why clear pet agreements and comprehensive landlord insurance are so valuable. While tenant negotiations can often resolve damage issues, having the right insurance policy ensures landlords are protected against unforeseen incidents where negotiation isn’t possible. 

What other tips do you have for those managing properties in 2025?  

As I have touched on, speed is the new currency in property management, and with new legislative requirements, property managers need to be more proactive and time-conscious than ever. The key to staying ahead in 2025 is leveraging technology to manage the growing workload efficiently. Digital platforms, automation, and AI-driven processes help us stay on top of tenant applications, maintenance requests, and compliance requirements, allowing us to provide better service while working at the pace the industry now demands. 

Attention to detail has always been important, but now, refining systems and processes is critical to ensuring both landlords and tenants are fully protected. Things like thorough tenant screening, clear lease agreements, and regular property inspections help safeguard investments and minimise risks. With pet reforms and other changes in play, having strong policies in place—like specific pet conditions in lease agreements and ensuring appropriate landlord insurance—is more important than ever. 

At the end of the day, great property management is about balancing efficiency with care. Keeping landlords informed, making sure tenants understand their responsibilities, and staying ahead of potential risks means fewer disputes and better long-term outcomes for everyone. By embracing technology, refining processes, and staying proactive, property managers can navigate these changes successfully while ensuring properties are well-protected. 

As you’ve mentioned, insurance is a vital way to safeguard properties. What should landlords look out for in a landlord insurance policy?  

While property managers are unable to provide personal (or general) advice to clients about landlord insurance, it’s crucial for landlords to fully understand the different types of coverage available, what their policy includes, and under what circumstances they are protected. We’ve seen cases where landlords who arranged their own insurance were caught off guard by high excesses or exclusions they weren’t aware of, leaving them financially vulnerable. To help our clients navigate this, we work with EBM RentCover to provide a comprehensive comparative checklist. This has been an invaluable tool in helping landlords do their due diligence, ensuring they are fully protected and confident in their level of coverage. Taking the time to review and understand policy details upfront can make all the difference in safeguarding their investment in the future.  

To partner with EBM RentCover and help protect your landlords’ investment properties, click here. Or for questions about cover and claims, call 1800 661 662.