Property Management

Changes to tenancy terminations

The Government has introduced an omnibus bill to Parliament making changes to the restriction of tenancy terminations during alert level four.

Monday, October 04th 2021

The major change in the draft bill will allow restrictions against tenancy terminations to be switched on and off by ministerial order in response to alert level four.

These restrictions will not apply during alert level three or lower alert levels.

Under the restrictions, landlords will not be able to terminate tenancies, except in limited circumstances. Most terminations will be postponed until after the restrictions lift.

Landlords will still be able to apply to the Tenancy Tribunal to terminate tenancies on limited grounds, such as tenants engaging in significant anti-social behaviour or substantial property damage.

The draft legislation is similar to the restrictions on tenancy terminations passed in 2020, but with some key differences.

• Tenancy termination restrictions will not apply for a fixed period of time. Instead, the restrictions will be able to be switched on and off by ministerial order.
• Existing termination notices will not be cancelled. For most tenancies, the notice period will continue to run while the restrictions are in place, but after the restrictions lift, tenants will get a top up to a minimum of 28 days’ notice.
• This legislation will not include a rent freeze like last time. The Government has made multiple changes to improve the security and rights of renters, including limiting rent increases to once a year (which came into effect on August 12, 2020).

This was not in place during the most recent lockdown.

These changes will resolve many of the inconsistencies between the alert level four Public Health Response Orders and the Residential Tenancies Act 1986, says Tenancy Services. 

The restrictions will support tenants to comply with the Public Health Response Orders by staying in their tenancies and staying at home during alert level four.

Tenancy Services says the aim of the new legislation is to provide much needed certainty and clarity for landlords and tenants.

It’s also about being more prepared and avoiding the confusion seen in the rental sector with previous lockdowns.

The Bill will be referred to the Finance and Expenditure Committee, where the public can provide feedback on the proposals.


No comments yet

Heartland Bank - Online 1.85
HSBC Premier 2.19
Kainga Ora - First Home Buyer Special 2.25
HSBC Special 2.25
SBS Bank Special 2.55
China Construction Bank Special 2.65
Kainga Ora 2.88
ICBC 2.89
TSB Special 2.94
First Credit Union Special 2.95
Resimac 2.98
Heartland Bank - Online 2.35
HSBC Premier 2.45
China Construction Bank Special 2.65
Resimac 2.79
SBS Bank Special 2.95
Select Home Loans 2.99
Nelson Building Society 3.24
Kainga Ora 3.28
ICBC 3.29
TSB Special 3.40
First Credit Union Special 3.45
China Construction Bank Special 2.99
HSBC Premier 3.19
Select Home Loans 3.54
Resimac 3.54
TSB Special 3.94
SBS Bank Special 3.95
ICBC 4.09
Kainga Ora 4.22
Bluestone 4.29
SBS Bank 4.45
The Co-operative Bank - Owner Occ 4.49
ANZ Blueprint to Build 1.68
ASB Back My Build 2.04
Heartland Bank - Online 2.25
Resimac 3.39
Select Home Loans 3.49
Bluestone 3.74
Kiwibank Special 3.75
Kiwibank 4.00
Kiwibank - Offset 4.00
ICBC 4.15
Kainga Ora 4.43

More Stories

House price growth on the downward slide

Thursday, October 28th 2021

House price growth on the downward slide

House price growth has dropped from a quarterly rate of 8.1% in April to 4.8% by September.

Tribunal: Anti-social behaviour – tenancy terminated

Monday, October 25th 2021

Tribunal: Anti-social behaviour – tenancy terminated

A tenant who cut the Sky cable, removed fuses from the fuse box and put them back incorrectly, and tagged items on the premises has had his periodic tenancy terminated.

Investor juggernaut slowly grinding down

Friday, October 22nd 2021

Investor juggernaut slowly grinding down

Property buying by mortgaged investors is back down to the levels just before the loan-to-value restrictions were lifted in the second quarter last year, which sparked investor demand back into life.

FOMO haunts property buyers

Wednesday, October 20th 2021

FOMO haunts property buyers

Fear of missing out (FOMO) is rising in the residential property market. Sally Lindsay reviews the figures from Tony Alexander and REINZ.