Kia ora, and welcome back to our blog where we dive into the latest shifts and turns in property management.  Today, we’re tackling a topic that will interest both landlords and tenants alike—the proposed restoration of no-cause evictions by the National Party.

Understanding the Change

Under the previous Labour government, a significant change was made to tenant eviction laws: landlords were required to provide a valid reason for terminating tenancies.  This policy aimed to offer greater security to tenants, ensuring they couldn’t be evicted without just cause.

However, with the National Party at the helm, there’s a shift back to previous policies.  The party argues that the requirement to provide a cause has deterred landlords from taking risks on tenants with less-than-ideal rental histories.  This, they say, has inadvertently affected the very individuals it aimed to protect—making it harder for them to find housing.

This means the proposed legislation would allow landlords to terminate tenancies without stating a reason.  Some view this flexibility as a necessary tool for managing properties more effectively.

Implications for Landlords

For landlords, this change could simplify the process of property management. It could provide the freedom to make decisions about property and tenant management without the need for lengthy justifications.  This could be seen as beneficial in cases where a tenant is causing problems, but the behaviour does not legally meet the threshold needed for eviction under current rules and they aren’t amending behaviour.   Positively, the updated legislation empowers landlords to offer tenancy to applicants who may be considered higher risk.  From what we’ve observed, many landlords are inclined to provide opportunities to these potential tenants but hesitate due to concerns about effectively addressing any issues if the tenancy does not proceed as expected.  This new legislation may prove to be the peace of mind these landlords need to give someone who needs it, a second chance.

Implications for Tenants

For tenants, this shift means it’s very important to understand your rights and the terms of your tenancy.  Under the new rule, being removed from a property could happen with less warning and without clear cause.  This underscores the need for open communication with landlords and staying informed about changes in tenancy laws.  We are big proponents of building and maintaining good and healthy relationships with your property manager and/or landlord.  In most cases, a strong relationship can mitigate the unsettledness that these legislative changes can cause regarding the security of tenure.

Stay Informed and Prepared

Changes like these underscore the dynamic nature of property investment and management.  Whether you’re a landlord or a tenant, staying informed is key to navigating these waters smoothly.

We’re Here to Help

If you have any concerns about how these changes might affect you or if you need guidance managing your property under the new rules, don’t hesitate to reach out.  Our team at Vertigro Property Management is committed to supporting you through these changes, ensuring you can manage or enjoy your rental with confidence.

 

Contact Us for a chat or for more detailed advice tailored to your situation.  We’re here to help make your property management experience as seamless as possible.