Landlord Resources & FAQs

Being a landlord in New Zealand means navigating a landscape of complex and frequently changing legislation. At Ray White Beacon, part of our job is to ensure you are fully informed and 100% compliant, protecting you and your investment.

Here are plain-English answers to some of the most common questions we hear from landlords on the Hibiscus Coast.

Key Legislative Updates for 2025

1. What’s happening with Interest Deductibility?

This is a significant financial change for investors. The ability to deduct mortgage interest as an expense against your rental income is being phased back in.

For the 2024-2025 tax year: You can claim 80% of your mortgage interest costs.
From 1 April 2025: You will be able to claim 100% of your mortgage interest costs.

This is a major boost for property cash flow and reverses the changes made in 2021.

2. What are the new rules for 90-Day ‘No Cause’ Terminations?

The ‘no-cause’ termination for periodic tenancies has been reinstated. This gives landlords more flexibility to end a periodic tenancy.

What it is: You can give a tenant 90 days’ notice to end a periodic tenancy without having to provide a specific reason (as was required for the last few years).
Shorter Notice Periods: The notice period for landlords ending a tenancy for specific reasons (e.g., you or a family member are moving in, or the property has been sold) has been reduced back to 42 days.
Tenant’s Notice: A tenant on a periodic tenancy now only needs to give 21 days’ notice to end the tenancy (down from 28).

3. What are the new Pet Bond & Pet Consent rules?

This is a major change designed to make more rental properties pet-friendly. These new rules take effect from 1 December 2025.

Tenant Request: A tenant can make a written request to have a pet.
Reasonable Grounds: You (as the landlord) cannot “unreasonably” decline the request. Reasonable grounds for declining include:
- The property is unsuitable (e.g., a small apartment with no outdoor area for a large dog).
- Body Corporate rules that prohibit pets.
- Health and safety concerns.
Pet Bond: You will be able to charge a separate “pet bond” of up to 2 weeks’ rent. This is held by Tenancy Services, just like the regular bond.
Liability: Tenants are now explicitly liable for all pet damage, even if it’s accidental (it is not considered ‘fair wear and tear’).

Frequently Asked Questions (FAQs)

What are the 5 Healthy Homes Standards?

All rental properties in New Zealand must comply with the Healthy Homes Standards. All private rentals must be compliant by 1 July 2025.

Here is a brief summary:

Heating: You must provide a fixed heater (e.g., a heat pump or electric panel heater) of the correct size in the main living room.
Insulation: Ceilings and underfloor spaces must be insulated to the correct standard.
Ventilation: Kitchens and bathrooms must have extractor fans that vent to the outside. Living rooms must have openable windows.
Moisture & Drainage: The property must have efficient drainage and guttering, and a ground moisture barrier (e.g., black polythene) if it has an enclosed subfloor.
Draught Stopping: You must block any unreasonable gaps or holes in walls, ceilings, floors, windows, and doors that cause noticeable draughts.

What’s the difference between “damage” and “fair wear and tear”?

This is a common point of dispute at the end of a tenancy.

Fair Wear and Tear: This is the gradual, expected deterioration of your property from normal use. The tenant is not responsible for this.
- Examples: Faded paint or curtains, minor scuffs on walls, worn-out carpet in a high-traffic hallway.
Damage: This is harm caused by the tenant’s carelessness or intentional actions. The tenant is responsible for this.
- Examples: Spilled red wine stains on the carpet, holes in the wall from moving furniture, broken windows, crayon marks on the walls.

How often can I inspect my property?

You have the right to inspect the property, but you must respect the tenant’s right to “quiet enjoyment.”

Frequency: You can conduct a property inspection no more than once every 4 weeks. (In practice, most professional managers, including us, find that quarterly inspections—once every 3 months—are sufficient and less intrusive for good tenants).
Notice: You must give the tenant at least 48 hours’ notice for an inspection, and no more than 14 days’ notice.

What do I do if my tenant doesn’t pay rent?

You must follow the strict legal process. This is an area where we add significant value.

Day 1: The rent is missed. Our automated system flags it, and we contact the tenant immediately via email, text, and phone.
Legal Notice: If the rent remains unpaid, we issue a formal 14-day Notice to Remedy breach.
Tenancy Tribunal: If the tenant does not pay and the breach is not remedied, we can apply to the Tenancy Tribunal for a termination order and to have the arrears paid from the bond.

Our proactive, zero-tolerance approach means that over 99% of our rent is collected without ever needing to go to the Tribunal.

Have More Questions?

The law can be a minefield. If you have a specific question about your property or a “what if” scenario, our expert team is here to help.