Important Updates

1st March 2019 – Change to Commencement/Final Inspection Fees

From the 1st April 2019 we will be charging $115 for a commencement and final inspections as these take at least an hour to complete, the travelling across Auckland is another hour getting to and from the property and then putting the report together and arranging work orders and dealing with tenants in relation to outstanding work.  Where the final and commencement are one and the same inspection there will just be the one fee.  The report are very detailed and need to be backed up by a large number of photos to have as evidence should they be required for a Tenancy Tribunal mediation or hearing in relation to recovering funds or bond money for damage to the property. These reports are not always sent to the landlord as they differ to a routine inspection but should you wish a copy upoen departure or incoming of a tenant then please do feel free to request a copy for your records.

1st March 2019 – Landlord Insurance

We have had a couple of incidents with damage to property recently where the landlord in question have not had “tenant insurance”.  Both incidents related to water damage where tenants had left taps on and damaged carpet, floorboards, walls and skirting boards.  To have a company provide commercial dryers brought in costs in excess of $1,000 but is necessary to ensure that everything is dried thoroughly to prevent further damage and potentially mould.  Wilful damage by tenant is not covered under a standard policy so we would ask that you please check your policies and ensure that you have the correct cover.  If you do not have a policy we would strongly recommend that you get one and please forward us a copy of your policy so that we have them on file and can make a claim on your behalf if and when necessary.

29th October 2018 – Letting Fees

As you may be aware there are a lot of changes coming into effect with the amended version of the Residential Tenancy Act 1986.

We have dealt with the provision of smoke alarms and are in the process of organising your properties with insulation and the provision of insulation statements by registered insulation assessors to meet the new criteria coming into effect on 1st July 2019 – see below for more information.

From the 12th December 2018 the legislation changes in relation to the charging of Let Fees whereby we can no longer charge the tenant for this service.  We have discussed this with industry competitors and Tenancy Practice Service who are legal advisors to majority of property management companies and the overall consensus is that the landlords will be required to pay the Let Fee when their property requires a tenant.

A lot of work is involved in this process hence why this charge is important for us as a business to ensure you receive the best quality tenant through our extensive screening process and tenant selection. Here is an indicative list of what is involved in this process:

  • A property advertisement is created, and photos of the property are taken so that the property can be advertised.
  • Time allocations are loaded into Viewing Tracker for prospective tenants to book in for scheduled viewings. On some occasions private viewings are also made for prospective tenants who cannot make allocated times. This involves a fair amount of communications via text, phone and Email with various interested parties.
  • Letting Agent attends the property to carry out viewings for times slots of approximately 30 minutes. The agent can, depending market conditions, attend the property anywhere between 1 and 20 times before finding suitable tenants. This work is usually conducted outside of business hours and is in addition to the normal working week, this is to accommodate the fact that most prospective tenants also work during normal business hours and is to ensure the best attendance rate to viewings.
  • Once the tenant applies, the agent then begins the screening process of reference checks from previous landlords, employment checks, background checks and credit checks.
  • Paperwork is then prepared, this included tenancy agreement, bond form, insulation statement and any other relevant documents such as Body Corporate and Building Rules along with a Tenancy Information Pack that we have created. This is all sent to the tenant.
  • This can sometimes be repeated more than once when tenants change their minds or find other places, nothing is set in stone until the Tenancy Agreement is returned signed and the initial move in costs paid.
  • The tenant either responds via Email, visits our office or meets at the property to sign the paperwork.
  • We then arrange to handover keys to new tenants.

Furthermore, the Letting Agent/Property Manager uses their own vehicle and fuel to visit the property for viewings – this cost is also partly to cover these expenses. Effectively, they act as a contractor for the company and this is a separate task to the day to day management of a residential property.

We have discussed the charges and believe that one week rent plus GST or $750 plus GST, whichever is the smaller amount, is agreeable.

Please find more information on the Tenancy Services website at the link below.

https://www.tenancy.govt.nz/about-tenancy-services/news-and-events/letting-fees-may-be-prohibited/

29th September 2018 – Heating Requirements

Landlords don’t have to provide heating in every room, but they do have to provide a form of heating in any living room under the Housing Improvement Regulations 1947. Currently there is no guideline from the government as to what is an acceptable form of heating but they have advised that future legsilations may rule that only suitable heating sources include heat pumps, wood fires and flued gas heaters. We are more than happy to arrange a quote for installation of a heating source upon request.

Please find some more information on the Tenancy Services website at the link below.

https://www.tenancy.govt.nz/maintenance-and-inspections/heating-and-ventilation/ 

29th June 2018 – Insulation Requirements

As of the 1st July 2019 new compulsory insulation laws are coming into effect for landlords who own tenanted homes. We have organised a no obligation quote with a trusted provider for your rental property and will be sending these through in due course for you to consider.

Please find some more information on the Tenancy Services website at the link below.

https://www.tenancy.govt.nz/maintenance-and-inspections/insulation/compulsory-insulation/ 

Village Rentals 2018. All Rights Reserved.