A bill that increases security and stability for tenants has passed its final reading in Parliament tonight.
The Residential Tenancies Amendment Bill removes rental bidding and changes the period for rental increases to 12 months.
The most significant change when it becomes law will see so-called 'no cause' evictions disappear.
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At the moment landlords can give a 90-day eviction notice to tenants on open-ended tenancies without stating why.
Under the new law, the landlord would have to apply to the Tenancy Tribunal with three examples of anti-social behaviour over three months.
It also allows victims of family violence to end a tenancy with two days' notice.
National voted against the legislation, with MP Alfred Ngaro saying it should be called the "I hate the landlords bill".
Associate Housing Minister Kris Faafoi said the law change would ensure the nearly one third of New Zealanders who lived in rental properties could set down roots in their community.
"This bill aligns New Zealand's rental laws with the present day realities of renting in New Zealand, it ensures there are appropriate protections in place for both renters and for landlords."