Are landlords already selling because of proposed tenancy reforms?
Apparently, some Bay of Plenty rental owners are so worried about the Healthy Homes Guarantee Act and proposed changes to the Residential Tenancies Act that they’ve already begun to exit the market.
We don’t think you need to worry just yet. Let us explain why. First, these changes are coming into force slowly and gradually. We’re going to have plenty of warning about new standards and time to get them sorted out. If there’s anything that’s going to directly affect your property, you’ll have ample opportunity to do a cost-benefit analysis.
Second, we know that most of our owners and properties are already complying with the proposed changes. We don’t manage run-down properties that make tenants sick. The Healthy Homes Guarantee Act won’t much a lot of difference to the apartments we manage, many of which specify ‘no pets’ in their rules – so new rules around pets won’t apply. Our clients don’t manage their own tenants, so any changes around terminations will be our job to manage, not theirs.
Third, these owners exiting the market are going to reduce the supply of rental properties which should push up prices or at least keep them steady. Now is not the time to panic – we believe this is great time to be a rental property owner and making your move before we even have the changes finalised would be a bit precipitous. Hang tight and let’s see what happens. You can talk to us and get our opinion about the potential impact on your personal situation by contacting us any time.