Rental crackdown

Bad landlords and bad tenants are expected to "get their comeuppance" as changes to the Residential Tenancies Act bed in.
Changes that came into effect on October 1 have been welcomed by the industry for introducing new "unlawful acts" and adding more teeth to existing legislation by increasing financial penalties. Real Estate Institute of New Zealand property management group chairman Richard Evans described the changes as "good lawmaking, from the point of view of tenants, landlords and property managers".
Feedback from the Real Estate Institute of New Zealand (REINZ) property managers' conference in Wellington in October was very positive. "The changes seem to be working very well. There have been no major cases yet, with landlords being fined $3000 for not doing work, but it will happen."
Changes include 11 new unlawful acts and an increase in financial penalties for breaching them. These include:
* Owners asking for unauthorised forms of security.
* Owners failing to appoint an agent if they are out of the country for more than three weeks.
* Tenants harassing neighbours.
* Tenants using the premises for unlawful purposes.
* Unlawful entry by the landlord.
Mr Evans said the changes made the law more evenly balanced and would encourage some investors, who felt they had previously received a raw deal, to re-enter the market.
"There was a perception that the 1986 act was unevenly tilted against landlords. Whether that was true or not, it is now history."
Both the REINZ and the Tenants' Protection Group were consulted before the changes were made and Mr Evans said the amended act created a more level playing field and a more balanced set of rules.
"We are all looking forward to seeing bad landlords and bad tenants get their comeuppance."
The REINZ has been working with the Auckland District Law Society to create a new generic tenancy agreement template that reflects the changes. Mr Evans said the aim was to have this available on both organisations' websites by Christmas.

THE RESIDENTIAL TENANCIES ACT
What are your rights and responsibilities?
Rent
* Landlords cannot ask for rent to be paid more than two weeks in advance.
* Sixty days' written notice must be given for rent increases.
* Rent must not be increased within 180 days of the start of the tenancy or the last rent increase.
* Receipts must be given immediately if rent is paid in cash.
* If rent has been reduced, a return to normal rent is not considered an increase.
Bond
* A landlord may require a bond of up to four weeks' rent.
* Bonds must be lodged with the Department of Building and Housing within 23 working days.
* Receipts must be given for bond payments.
* If the property is sold, the landlord's bond rights pass on to the purchaser.
* The bond covers damage or loss to the landlord if the tenant's obligations are not met, but does not cover fair wear and tear.
Landlords must
* Provide and maintain the premises in a reasonable condition.
* Allow the tenant quiet enjoyment of the premises.
* Comply with all relevant building, health and safety standards.
* Not seize tenants' goods for any reason - abandoned goods should be dealt with as per the Residential Tenancies Act.
Let tenants know if the property is for sale.
* Give 90 days' written notice of tenancy termination or 42 days' if there is an unconditional agreement to sell with vacant possession or the premises are needed for the owner or a member of his/her family.
Rights of entry
The landlord must enter the premises only:
* With the tenant's consent.
* In an emergency.
* After 24 hours' notice for repairs or maintenance, between 8am and 7pm.
* After 48 hours' notice for an inspection
* To show premises to prospective tenants or purchasers or associated professionals with the tenant's prior consent.
Tenants must
* Pay rent on time.
* Keep the premises reasonably clean and tidy and notify the landlord of any necessary repairs.
* Use the premises mainly for residential purposes.
* Pay for consumables such as electricity, gas, telephone charges and metered water.
* Leave the property clean, tidy and clear of rubbish and possessions; leave all chattels; and leave all keys with the landlord at the end of the tenancy.
* Give 21 days' written notice to terminate a tenancy.
Tenants must not
* Damage or permit damage to the premises.
* Disturb neighbours or other tenants.
* Alter the premises without written consent.
* Use the property for any unlawful purposes.

- Department of Building and HousingChanges to legislation should help pull rogue tenants