Landlord e-newsletter No.4 - November 2007
Keeping clean and tidy
Landlords are required to provide premises in a ‘reasonable state’ of cleanliness for an incoming tenant. By presenting the property in a tidy condition, a landlord helps set the expectation for what ‘reasonably clean and tidy’ means, particularly when a tenancy expires.
The definition of ‘reasonably clean and tidy’ is more subjective during the tenancy itself. A tenant’s sense of clean and tidy conditions could differ from a landlord’s expectation.
The Residential Tenancies Act 1986 (the Act) states the tenant is responsible for maintaining the premises in a clean and tidy condition after moving in. Any concerns the landlord has with the tenant should be raised as part of a formal inspection.
Insects and infestations
Typically, issues of cleanliness and tidiness relate to some specific circumstances. For example, around spring and early summer, complaints about cleanliness are often linked to concerns about insects or infestations.
Landlords should take responsibility for fumigations and any insect issues before a new tenancy begins. Some landlords will commission an annual fumigation (at their cost) as part of the terms of the tenancy agreement. Landlords may also want to record that there are no known infestations or recent infestation issues in the tenancy agreement.
Any recurring infestations or insect-related problems after these treatments could be argued to be the responsibility of the tenant as part of their obligation to keep the premises reasonably clean and tidy. In those cases, a landlord could seek an order from the Tribunal that the fumigation work is done and the tenant be charged for that work.
Tools for tracking and recording rent
The Christmas season is usually a time when more tenants fall into rent arrears. It is very important for landlords to take action as soon as a rent payment has been missed.
Your bank may offer services that can help you monitor rent payments quickly. Telephone banking and internet banking are two of these services. Some banks are now offering text banking services, which sends a text message to confirm a payment has been made.
Check with your bank for more information about the services they provide.
Keeping accurate rent records
Landlords applying to the Tenancy Tribunal for any order relating to rent arrears must provide an up-to-date rent summary sheet, which details the payment dates and amounts for the duration of the tenancy. Bank statements are not sufficient evidence for the Tribunal. The Department of Building and Housing provides a rent summary spreadsheet (available in Word and Excel), along with other helpful resources.
Filing Tenancy Tribunal applications online
More and more landlords and property managers are filing Tenancy Tribunal applications using our online service. The system is safe, quick and convenient. To complete a Tenancy Tribunal application online, you need to have:
- a working email address
- a valid credit card – VISA or MasterCard*
- your Tenancy Agreement
- your Bond number (if you have lodged a bond) and
- Adobe Acrobat Reader
installed on your computer (free to download).
*If you don’t have a Visa or Mastercard, you can use a pre-paid Prezzy card (available from NZ Post). Details on how to use a Prezzy card can be found on the New Zealand Post website
How does the online application work?
It's a four step process:
- Register to apply for the first time
- Log in
- Fill in the application form
- Pay the non-refundable $20 application fee online by credit card and submit the application.
It usually takes 20 – 30 minutes to complete your first online application. Subsequent applications can be completed faster, as the system remembers your details. The system will save a partially completed application for up to 7 calendar days so you can continue to work on it.
Landlords and low-income tenants to benefit from 55 percent insulation subsidy
Landlords and their low-income tenants are the winners in a government scheme to meet up to 55 percent of the cost of insulation upgrades. Landlords will benefit from having the value of their properties enhanced and made more attractive to long-term tenants. Tenants will benefit from warmer, drier homes that are healthier to live in and cost less to run.
The scheme covers ceiling and underfloor insulation, hot water cylinder wraps, pipe lagging, low-flow showerheads and draught proofing in pre-1978 homes occupied by low-income tenants.
Recent research conducted by AC Nielsen shows 88 percent of renters are likely to stay longer in more energy efficient properties and 83 percent are more likely to rent them in the first place if they were energy efficient.
Last year the Energy Efficiency and Conservation Authority (EECA) introduced a similar offer to landlords who were members of the New Zealand Property Investors’ Federation. This time around the offer is open to all applicants, provided tenants are eligible for a community services card and the property was built before 1978.
Is your rental property eligible?
Landlords can call Eco Insulation (0800 400 ECO) and the Energy Efficiency Community Network (0800 151 565) to check eligibility and to arrange for the work to be done. For further information visit the EECA website
Another tool for selecting tenants
The Tenancy Tribunal hears approximately 20,000 cases each year. To improve public access to these judicial decisions, a government website has been set up to publish Tenancy Tribunal orders.
The website is not intended to provide an authoritative background check, but it is one of many sources of information landlords and tenants can use when considering entering into a tenancy agreement.
The new website, www.tenancytribunal.govt.nz , includes Tribunal orders dating back to February 2007. By providing easy access to information and services, both tenants and landlords can make more informed decisions. The service is free.
There is a small percentage of records not included, due to legal or technical reasons. However, paper copies of Tenancy Tribunal orders can still be obtained from the District Court where the dispute was heard.
That’s all for this issue, but remember, if you have an idea or burning issue you’d like to see covered in our next newsletter, we welcome all suggestions. Email us at info@dbh.govt.nz
For online services, forms and information about being a Landlord, visit our website,
www.dbh.govt.nz. To ask a question about renting law or to get advice about a problem, call us on 0800 TENANCY (0800 83 62 62)
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