Landlord e-newsletter
No.10: September 2009
In this issue we cover:
Resolve disputes quickly
The Department of Building and Housing’s mediation service can help you to resolve your disputes more quickly. By using telephone mediation services, we can reduce the time it takes to resolve any problem you are having with your tenancy.
We offer two types of telephone mediation. Our SWIFT telephone service will call your tenant within 24 hours of receiving your application. We will leave messages, and send text and email messages encouraging the tenant to call us. If we establish contact with your tenant, then we will call you and the mediation can commence.
This service is called SWIFT because it is quick. We do not post letters or send information about the dispute to your tenant in advance of the mediation. For this reason, it is important that you speak to your tenant and let them know you are filing an application with us and tell them why.
Our SWIFT mediation service can resolve a range of disputes, provided there is an understanding of and agreement about the issues. Complex disputes, where there is disagreement about the issues, would not be suitable for SWIFT. These types of disputes are best suited for a scheduled mediation appointment.
We are increasing our use of scheduled telephone mediation. This type of mediation should be treated the same as a face to face appointment. Appointments are set and letters with information are sent to the parties involved. While the mediation happens over the phone, it is important that you prepare for the mediation and keep the time free so that you are able to concentrate fully on the discussions.
To get the best out of our telephone services we rely on you to include all contact details, including phone numbers and email addresses, for your tenant when making an application. We always recommend that you talk to your tenant before making an application - you may be able to solve the problem without our assistance. If our service is required, then your tenant will not be surprised to hear from us.
The Department also offers advice and information on how to resolve problems early. Call the Department’s 0800 TENANCY (0800 83 62 62) line from 8.00 am to 5.30 pm weekdays or visit us online.
If you need our help to resolve a dispute, you can make a Tenancy Tribunal application online and pay the application fee by credit card.
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Pest off
It is important to know your obligations when dealing with pest problems. The tenant has to keep the property reasonably clean and tidy and ensure they do not cause careless or intentional damage. The landlord, on the other hand, has to provide the property to the tenant in a reasonably clean and tidy condition and maintain the property in a reasonable state of repair.
Be proactive with tenants. During inspections, offer instructions on how to clean areas with the best products to help avoid pest problems.
If the tenant is not keeping the premises clean and tidy and you need to employ a pest control company for ongoing ant or cockroach problems, then the tenant may be responsible for those extermination costs
If the pest problems cannot be clearly attributed to the tenant’s actions then talk with them. You may be able to reach an agreement to share responsibility. If you cannot resolve this matter together, you may need to make an application to the Tenancy Tribunal.
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Multiple tenants, individual rooms
In recent years, there has been an increase in the number of landlords who rent individual rooms within a property. This is distinct from the traditional flatting arrangement many are familiar with, where the property as a whole is rented and flatmates make their own arrangements to share. When you rent an individual room, the room your tenant rents becomes their ‘premises’ and is distinct from shared facilities or common rooms in the property. Individually rented rooms may still be covered by the Residential Tenancies Act.
Separate tenancy agreements should apply to each individually let room. Provisions relating to shared facilities and common areas should be consistent for all tenancies in the property.
You can only hold a tenant responsible for services supplied to their premises. To charge your tenant for power, phone or broadband costs you need to show individual use in their premises. Some landlords of multi-roomed tenancies include a provision for these charges in the weekly rent instead.
A landlord and tenant can agree to include any clause in the Tenancy Agreement as long as it does not waive the rights tenants are entitled to under the Residential Tenancies Act.
It is up to tenants to organise keeping the shared areas clean and tidy. You cannot impose a cleaning roster for them. Keep in mind that tenants are not responsible for the actions of any other tenants in the property.
Making regular inspections and talking with tenants about their use of shared facilities is a good way to influence them to resolve any issues amongst themselves.
For more information on letting individual rooms in a property or additional tenancy clauses call us on 0800 TENANCY (0800 83 62 62).
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Naming tenants on the agreement
Every tenant you intend on letting property to should be named on the tenancy agreement. If you want to include the names of tenants under the age of 18 as legally bound parties to the tenancy agreement, you need to apply to the Tenancy Tribunal.
You can insert a clause in the agreement restricting the number of tenants who can live in the property, or restricting any sub-letting or assigning under the tenancy.
If one person, or a specified group of people, sign the tenancy agreement and then get in flatmates, the person(s) who signed remains the head tenant. Flatmates who don’t have their names on the tenancy agreement are not tenants and are not responsible to the landlord for rent or the state of the property.
Specific forms of agreement can be made between tenants and their flatmates to cover house sharing situations. See an example in the Flat or House Sharing Agreement.
Landlords should also review their insurance policy terms and conditions to make sure the naming of tenants on their tenancy agreement does not jeopardise potential claims on the policy.
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Smooth bond refunds
The best way to avoid bond disputes is for the landlord and tenant to inspect the property together at the end of the tenancy.
The property inspection report completed at the start of the tenancy should be used as a reference to check for damage. The tenant is responsible for items they or their guests have damaged, but not for normal wear and tear.
Some or the entire bond can be claimed by the landlord for anything left outstanding by the tenant, such as:
- unpaid rent
- careless damage to the property
- missing goods
- cleaning or other items specified in the tenancy agreement.
If the inspection shows everything is in order, you should complete and sign the bond refund form together and send to the Department of Building and Housing for a full refund to the tenant.
If there is damage or other claim, and the tenant agrees to have that taken out of the bond, complete the bond refund form together to reflect that and send to us. We will apportion the bond and pay you both.
For more information about bond disputes and bond refunds call 0800 TENANCY (0800 83 62 62).
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Free landlord seminars – be quick!
We now have two types of landlord seminars on offer.
If you have been a landlord for a year or more you may want to attend one of five advanced seminars we are piloting in association with the Inland Revenue Department and New Zealand Property Investors Federation. These sessions cover different topics to our introductory landlord seminars.
We still offer introductory landlord seminars for new landlords in association with the New Zealand Property Investors Federation and ANZ bank. These popular seminars are designed to give you practical tips on how best to manage your tenancies.
To attend, you need to register quickly as there are fewer seminars this year and spaces are filling fast.
Read more about landlord seminars »
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Allowing tenants to have pets
You can find useful clauses and guidelines on how to allow tenants to have pets on the premises online.
If you let a unit title or cross-lease property, you should check the terms of the body corporate rules or leases to see what restrictions there may be on keeping pets.
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