On September 23rd, New Zealand’s future is up for grabs as the country rushes to the polls to decide who will be in charge. Every election is important, but with so many key issues being raised over the course of this year’s campaigns, this election seems to be much more enticing.
Wellington’s rental market is booming. 🚀
Landlords across the capital are seeing rental prices remain strong, with the capital’s lack of inventory not able to keep up with demand...
At around a quarter of the inventory levels of Auckland, Wellington sits as one of the regions with the lowest number of listed property for rent, fuelling the fire in Wellington’s rental crisis.
Inspections are a waste of time.
You spend 15 minutes of valuable time every 90 days walking round the house looking at a ceiling here, a wall there and making sure the doors still open and close.
It's pretty basic stuff...
Of course, this is not our opinion as a property management company, but the opinion of an alarmingly high number of private landlords we have spoken to in recent times.
There is a simple fact that us kiwis are now facing, and that is that New Zealand doesn’t have enough houses to go around. 😢
Local councils and governments are crying out for more to be built with an expected population growth to 5 million people in the next three years.
There is no doubt then that the housing crisis claims thrown around by the media may have more standing than initially suggested.
New Zealand’s rental market is starting to prepare for its newest guest, a polarising app expanding from America. 🤔
Rentberry is a self-proclaimed ‘price negotiation platform’ which offers a closed loop solution for landlords where ‘everything’ can be done in one place.
There is, however, one key point which is set to throw a curveball to those invested in the rental market in New Zealand.
No longer will landlords and property management companies be able to get away with poor landlord behaviour. That is the message from the Ministry of Business, Innovation and Employment (MBIE), the government agency responsible for tenancy services in New Zealand. The warning shots follow an audit of five separate property management companies across the country which found varying levels of compliance in some of the most basic requirements of being a landlord, namely insulation and smoke alarms. Landlords and property managers are now being put on notice that it is imperative that they ensure compliance is a number one priority, or face the consequences.
With Wellington’s rental market as hot as ever, there is no doubt that investors will be jumping for joy. The rental market in Wellington has risen 6.8% in the past twelve months and indications are that the market shows no signs of slowing down. With the influx of students descending on us, and a larger portion of people renting for longer before buying their fi rst home, it is no surprise that demand is outweighing supply. Needless to say, landlords across the capital are moving with the market and adjusting rents as new tenancies commence, with the average price in Wellington now rapidly approaching $500 per week. Irrespective of whether you are investing for the first time or are a seasoned investor, the landscape is changing. The role of managing property is now becoming more and more regulated.
The well headlined requirement of landlords to install insulation by 1st July 2019 being but one example of this. However, not all legislation requires costly modifications for landlords. A ground-breaking case could be precedent setting and put more emphasis back to the responsibility of tenants. The long-awaited verdict of ‘damage by dog urinating’ appeal case has been revealed and landlords and property managers nationwide have recorded a win.