A maintenance approval limit is the dollar amount written into your management agreement. Below it, your property manager can organise repairs without asking you first. Above it, the manager needs your approval. Set it well and repairs move quickly while you keep control of larger spending. Set it badly and you either approve every tap washer or discover a large invoice after the fact.
This guide explains how the limit works in South Australia, what sits outside it, and how to choose a figure that suits your property and your level of involvement.
TL;DR
- The limit is a contractual figure in your management agreement. The Residential Tenancies Act 1995 (SA) does not set a maximum for you.
- Spending under the limit needs no prior approval. Spending over it does, except for genuine emergencies.
- Your legal duty to keep the property in reasonable repair stays with you, whoever approves the work.
- A limit that is too low slows repairs and irritates tenants. One that is too high weakens your control over costs.
- Review the figure when the property, the tenant or your own circumstances change.
Table of Contents
- What a maintenance approval limit means
- What the law still expects of you
- What falls under the limit and what does not
- The practical effect of a low or high limit
- How to choose a figure for your property
- Our perspective
- How we handle approvals at HOSO
- Common mistakes to avoid
- FAQ
- Sources
What a maintenance approval limit means
The limit is the standing authority you give your manager to spend on your behalf. The 2024 REISA residential property management agreement defines the Maintenance Limit as the amount entered in the schedule against the maximum expenditure allowed without the landlord's approval. It sits in Item 13 of that schedule. Under the same agreement, the manager may arrange maintenance or repairs without notice to you where the cost does not exceed that amount.
Two points follow from this wording.
First, the limit is a contract term, not a statutory rule. The Residential Tenancies Act 1995 (SA) does not prescribe a maximum amount for agents, so the management agreement is where the figure is set and enforced. If your agreement is silent or vague, you have no clear basis to hold anyone to a number.
Second, the limit is usually applied per job, not per year. A manager who keeps each invoice just under the limit across many small jobs can still add up to a large annual cost. That is why the way the limit is framed matters as much as the number.
What the law still expects of you
A limit changes who approves spending. It does not change who is responsible. Under section 68 of the Residential Tenancies Act 1995, a landlord must keep the premises in reasonable repair. A breach arises where notice has been given and the landlord has not acted with reasonable diligence. The Act also allows a tenant to recover reasonable repair costs where a licensed person does the work and provides a report.
In practice, a delay caused by an unanswered approval request is still your delay in the eyes of the law. If a quote for a failed hot-water system sits unapproved for weeks, the tenant can follow the repair pathway and you carry the exposure. A workable limit, and a manager who chases you promptly, protects you here.
Since 1 July 2024, landlords must also ensure the premises meet the prescribed minimum housing standards at the start of a tenancy. The SA Law Handbook notes that a tenant may require repairs to meet those standards or terminate the tenancy if they are not met. It also notes that SACAT may order compensation for damage resulting from a failure to repair. Our guide on room checks for minimum housing standards covers what to check before a tenancy begins.
What falls under the limit and what does not
Routine repairs
Routine work is where a limit earns its keep. The South Australian government's own residential agreement lists the ordinary scope of repair work: doors and windows, locks, blinds and screens, built-in appliances, hot-water systems, electrical fittings, walls and ceilings, wet areas, flooring, cupboards and benches, gutters, gates and garage doors, grounds and gardens, and smoke detectors (see the government employee housing lease agreement). A blocked drain, a faulty oven element or a sticking lock all fit comfortably under a sensible limit.
For non-urgent items, the landlord or agent generally needs to give the tenant at least 48 hours' notice and enter during normal hours, according to the Legal Services Commission handbook on right of entry. Emergency entry is treated separately. If you want a closer look at how these jobs are handled, read our guide to non-urgent repairs in SA.
Replacement, upgrades and structural work
The same government agreement allows replacement with an equivalent item where repair is impractical or uneconomic. It requires the lessor's prior consent for work that significantly changes the property's appearance or involves structural alterations or additions. That is a sound template for your own thinking: like-for-like replacement is a maintenance decision, while a changed kitchen layout or a new extension is an owner decision, whatever the cost.
In a premium rental, the line between repair and upgrade matters more. Replacing a worn engineered-timber floor in one room is repair. Re-laying the whole ground floor in a different material is a capital decision. Our luxury rental maintenance standards guide explains how to think about that distinction.
Emergencies
The REISA agreement allows emergency work to be arranged without regard to the limit, provided reasonable efforts are made to obtain your approval beforehand. This is the standard shape of an emergency carve-out: where there is a threat to health or safety, or ongoing damage to the property, the manager can act first and report immediately.
The SA.GOV.AU repairs and maintenance page gives a gas leak as an example of an urgent repair that must be reported to the landlord as soon as possible. It also explains that if a landlord refuses to fix something, a tenant can have urgent problems fixed by a licensed professional and give the landlord the invoice and a report. An emergency carve-out in your agreement means your manager gets there first, using trades you already know, rather than leaving the tenant to organise it.
| Situation | Usually handled how |
|---|---|
| Routine repair, cost within the limit | Manager arranges it, you see it in your reporting |
| Routine repair, cost above the limit | Quote sent to you, work proceeds on your written approval |
| Emergency (gas, major leak, no power, security) | Manager acts immediately, tells you as soon as possible |
| Replacement of an item that cannot be economically repaired | Often within the limit if like-for-like; your approval if above it |
| Structural change, visible change in appearance, additions | Your prior consent, regardless of cost |
| Recurring items such as lawn or gutter servicing | Pre-approved as a budgeted program |
The practical effect of a low or high limit
There is no single right figure. What matters is understanding what each direction costs you.
A low limit gives you maximum visibility. Every job above a small amount comes to you as a quote. The trade-offs are real, though:
- Repairs wait while you read, think and reply, which is a problem if you are travelling, working long hours or living interstate or overseas.
- Tenants see slow responses and are more likely to feel the property is neglected, which affects renewals and the quality of the tenancy.
- Small faults can grow into larger ones while an approval sits in your inbox.
- You make many small decisions that add little value.
A high limit removes friction. Jobs move quickly and you hear about them afterwards. The trade-offs here:
- You rely more heavily on your manager's judgement and on how well they obtain competing quotes.
- A single mid-sized job can be committed before you have formed a view.
- It is harder to spot a pattern, such as repeated callouts for the same fault, if you are not looking at each job.
A useful comparison is to think in terms of a typical failure at your property. If the most common mid-range repair would exceed your limit, you will be approving it every time. If a single job under your limit would surprise you, the limit is too high.
Owners who want no approval requirement at all are asking for something most careful managers will resist. A reasonable manager would rather agree a clear, fairly high threshold than have no check in place. That check protects both sides: it gives you a record of consent and gives the manager a defined mandate.
How to choose a figure for your property
Start with the property, not a round number.
- Look at age and construction. A 1960s brick home in Prospect or Glenelg tends to produce different repairs from a 2021 townhouse in Mawson Lakes. Older homes with ageing plumbing, electrical boards and roofing justify closer attention. Newer builds may bring defect issues that are better handled through the builder; see our guide to new build rental defects.
- Consider your availability. If you can reply within a day, a lower limit works. If you are on a roster, abroad or running a business, a higher limit prevents delay.
- Match the tenant profile. Premium rentals in suburbs such as Unley, North Adelaide or Burnside often house tenants who expect fast, high-standard service. A limit that delays work can cost you a good tenant.
- Check your cash position. Decide what amount you could pay today without needing to think about it. That is a good ceiling.
- Plan the year. Recurring items such as garden maintenance, gutter cleaning or pest treatments can be pre-approved up to a budgeted annual amount instead of being tested against the per-job limit. Our piece on rental maintenance budgets shows how Adelaide landlords plan this, and proactive maintenance scheduling shows how scheduled work reduces emergency callouts.
Document it properly
Write the figure in the schedule of the agreement, in the field intended for it. Then agree in writing how approvals are to be requested and given:
- Which contact method counts as approval (email, portal message or signed quote).
- How quickly the manager will send a quote, and how long you expect to take to respond.
- Whether the manager must obtain more than one quote above a certain level.
- How invoices and photos are shared after completion.
- Who may speak to you if you are unavailable, such as a nominated backup contact.
If you want to change the limit mid-tenancy, do it in writing and keep a copy. A verbal change is hard to prove if a dispute arises later.
Our perspective
We manage rentals only. We do not sell property, so our attention stays on how your asset performs across the years you hold it.
Our view on approval limits is simple: the right limit is the one you understand and have actually agreed to. We would rather talk through a number with you at the start than discover a mismatch after a hot-water system fails on a Friday night. Owners who set a limit and then never look at their reporting miss the point, because the limit only works when it is paired with visibility.
That is why our 24/7 owner portal is part of how we work. You can see work orders, quotes and completed jobs without chasing anyone. We also use compliance as the baseline for maintenance decisions, because a repair that protects the property and meets your legal duties is rarely a bad outcome, even when it costs more than you hoped.
We also push back gently on the idea that tighter control always means better control. A limit so low that every small repair stalls does not protect your asset. It lets small problems become larger ones.
— HOSO
How we handle approvals at HOSO
If you own a rental in Adelaide and want a manager who agrees the approval limit with you in writing, explains the repair process and reports each job transparently, see our property management services. If you are weighing up what your property could achieve before you decide, our rental appraisal is a sensible first step. Our 60-day satisfaction guarantee means you can start with confidence.
Common mistakes to avoid
- Leaving the field blank or vague. Without a stated figure, nobody knows what the manager can approve.
- Treating the limit as a cap on the annual budget. It is a per-job trigger. Plan a separate yearly allowance.
- Forgetting the emergency exception. If you reply slowly to emergencies, you will be told afterwards instead of beforehand. That is how the arrangement is meant to work.
- Assuming approval transfers responsibility. Your obligations under the Act remain yours. Our overview of landlord obligations in South Australia and the Adelaide rental compliance requirements show where those duties sit.
- Never revisiting the figure. A limit set for a new property may not suit the same property ten years on.
FAQ
Does South Australian law set a maximum maintenance approval limit?
No. The Residential Tenancies Act 1995 (SA) does not mandate a specific maximum for agents. The figure is set in your management agreement, so it needs to be stated clearly there.
Can my property manager spend more than the limit without asking me?
Only in an emergency, where the agreement allows it. Under the REISA form, emergency work can be arranged without regard to the limit, with reasonable efforts made to obtain your approval beforehand. For ordinary repairs above the limit, you should be asked first.
What happens if I do not reply to an approval request?
The repair stays in limbo, but your obligation to keep the property in reasonable repair does not pause. A tenant may be able to arrange qualifying repairs through a licensed person and recover reasonable costs. Agree a response time with your manager so that does not happen.
Should I choose a high or low limit if I live interstate?
A higher limit usually suits owners who cannot respond quickly, provided reporting is clear and you can review every job afterwards. A very low limit means more waiting, which affects both the property and the tenant relationship.
Can recurring maintenance be approved in advance?
Yes. Items such as garden care or gutter cleaning can be pre-approved up to a budgeted annual amount, so they do not each need separate approval. Agree the list and the amount in writing.
Sources
- Residential Property Management Agreement (REISA, 2024)
- Residential Tenancies Act 1995 (SA)
- Residential Tenancies Act 1995, section 68
- SA Law Handbook: Repairs
- Legal Services Commission: The landlord's right of entry
- SA.GOV.AU: Repairs and maintenance in private rental
- Government Employee Housing Lease Agreement (Renewal SA)