Residential Tenancies Act Amendments
There have been several significant updates to the Residential Tenancies Act( RTA), including the various Residential Tenancies Amendment Acts passed in 2019, 2020, and 2024. The following pages summarise these changes and what they mean for landlords to help you stay informed and ensure you meet your legal obligations.
RESIDENTIAL TENANCIES AMENDMENT ACT 2019
The Residential Tenancies Amendment Act 2019 was the first in a series of major updates to the Residential Tenancies Act. It aimed to clarify key issues such as careless damage and liability, landlord insurance obligations, unlawful dwellings, and more. Key changes included:
CARELESS DAMAGE AND TENANT LIABILITY
• Tenants are responsible for the cost of careless damage, but their liability is capped at either four weeks’ rent or the landlord’ s insurance excess, whichever is lower
• The legislation encourages responsible behaviour from tenants while aiming to ensure neither party is unfairly disadvantaged in cases of accidental damage.
LANDLORD INSURANCE
• Landlords must include insurance details in new tenancy agreements. This information should cover whether the property is insured and specify the excess amount
• Tenants must be provided with the relevant insurance details and may request a copy of the policy. If requested, it must be provided within a reasonable timeframe
• If a landlord fails to disclose or update this information in writing, they face a $ 500 penalty
• Insurers are prohibited from pursuing tenants for damage costs unless the damage was intentional or involved a criminal offence.
UNLAWFUL RESIDENTIAL PREMISES
• A property is considered a residential premises under the Residential Tenancies Act( RTA) if it is lived in or intended to be lived in, regardless of whether the appropriate building or resource consents exist
• Landlords must ensure that all rental premises, including minor dwellings or those significantly altered from their original use( such as a garage converted into a flat) meet the requirements of the RTA
• Tenants in unlawful premises are protected under the RTA and are entitled to rights regarding maintenance, safety, insulation, rent increases, bond lodgement, and termination notices
• The Tenancy Tribunal has complete jurisdiction and can order landlords to repay rent, and rule that tenants are not liable for arrears or damages unless they are unjust.
METHAMPHETAMINE CONTAMINATION
• Landlords may test for methamphetamine during a tenancy with 48 hours’ notice and must inform tenants of what is being tested and provide written test results within seven days
• Landlords must not rent contaminated premises with readings above a set level, or at levels which could prove to be harmful for inhabitants( see page 28 for further information).
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