Landlord’s Guide to the Residential Tenancies Amendment Act 2020

Rent increases: From 12th August 2020 Rent increases are limited to once every 12 months. This is a change from once every 180 days (six months).
There continues to be a freeze on rent increases. This means landlords cannot increase rent until after 25 September 2020.
Any rent increase notices given to tenants from 12 August must comply with the new 12-month rule.

Changes in the Residential Tenancies Amendment Act 2020

Six months after the giving of Royal Assent in February 2021, Phase 2 of the Residential Tenancies Amendment Act 2020 comes into force. This bill has several significant changes, both for tenants and landlords alike. The biggest of these changes though, is in relation to periodic tenancies.
Aimed at improving security for tenants while protecting the interests of landlords, the Residential Tenancies Amendment Act 2020 isn’t without controversy. As property managers though, our role is to support our landlords by ensuring they meet their obligations for this Act, and that their tenants also understand their rights and responsibilities.

As stated above, one of the major changes of this bill is regarding periodic tenancies. The following is a list of changes within this bill:

• to end a periodic tenancy, a landlord must have a specific reason such as the property being put on the market within 90 days of the termination date, it has been sold unconditionally and with vacant possession, renovations will be undertaken within 90 days of the termination date which make the property untenantable, the property will be demolished within 90 days of the termination date or that the property will be converted to commercial usage for at least 90 days. Gone are the days a landlord can end a periodic tenancy without giving a reason.
• tenants must now give 28 days’ notice in writing to end a tenancy, up from 21.
• fixed term tenancies will now convert to periodic tenancies unless the teat gives notice to leave 28 days before the end of the tenancy, the landlord gives notice to end the tenancy using one of the reasons above or both parties agree to extend, end or renew the fixed term tenancy.
• tenants can add minor fittings to the property where the installation and removal is low risk
• an application to evict a tenant can be made if they are late with the rent at least five working days three times within 90 days.
• Tenancy Tribunal wins will no longer have identifying details published publicly
• anti-social tenants can only be evicted if landlords can prove their behaviour occurred three times in a 90 day period and written warnings were issued each time, and an application to the Tenancy Tribunal is made within 28 days of the third examples.
• landlords must provide details within 21 days upon being asked by a tenant how their property meets the Government’s healthy home standards.

These changes will mean additional paperwork, recording and compliance checking for landlords. This is something we are more than happy to manage for you on your behalf. As Auckland property managers, we can take all the stress and hassle of not only the day to day management of your rental, but also ensure you meet all your legal responsibilities as a landlord.

Get in touch with Hollie and the team here at Hollie Joss Property Management today and let us explain how we can make having a rental property enjoyable again.