“Government has outlined changes they want to undertake to help tenants, but the NZ Property Investors' Federation (NZPIF) would also like to see changes to help those providing rental properties,” says Andrew King, Executive Officer of the NZPIF.

Around 80% of Tenancy Tribunal time is taken up with tenants not paying rent. It is a huge issue for the industry and needs to be addressed.

The NZPIF believes there needs to be stronger rules around rental payments to dissuade tenants from not paying. This could involve the ability to charge interest on outstanding rent, the ability to charge tenants’ credit cards or exemplary damages if they don't pay their rent. Landlords also need faster access to the Tenancy Tribunal for rent arrears cases, especially where a tenant stops paying rent but stays in the property.

In addition the NZPIF would like to see other changes which would make providing rental property easier, cheaper and less risky.

• Make tenants responsible for damage they cause.
• Make tenants pay for the water they use when it is charged by the amount used.
• Increase the tenant’s notice period to six weeks, as it is for landlords.
• Make the cost of heaters and insulation a tax deductible expense.
• Make it an illegal act for tenants to stop paying their rent as soon as they give notice.

It is becoming harder and more expensive to provide rental properties, yet we are seeing increasing demand for good rental properties from tenants. While there is nothing wrong with trying to improve the lives of tenants, there needs to be an acknowledgement that the problems caused by poorly performing tenants also needs to be addressed.

It is good that the Government is looking for public discussion on how to improve the rental industry. The NZPIF is looking forward to being part of this discussion and is keen to ensure that the focus is on improvements for both tenants and landlords.

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