The announcement by Department of Building and Housing that Tenancy Tribunal Decisions will be placed on the internet is great news for the rental industry.

The NZ Property Investors’ Federation has lobbied Government for many years to make the public documents easily accessible so that Tenants and Landlords can have better knowledge when making accommodation decisions.
Although Tenancy Tribunal decisions are public documents, they have effectively been withheld from public viewing due to difficulties in making them accessible.

“While the system was meant to be operational in July last year, we are very pleased that its launch is imminent” said President of the Federation Martin Evans. “The new system will be an invaluable tool for landlords when selecting new tenants for their properties” he said.

There are around 43,000 Tenancy Tribunal hearings each year, with approximately 90% being applications from Landlords. Of these applications, around 80% are for rent arrears and damage to property. This means that tens of millions of dollars are lost each year just on these two factors. Even tenant groups admit that it is the largest problem facing our industry.

Landlords’ will need to improve their knowledge of industry regulations and how to professionally manage property as well, as the Tribunal Decision database records offending landlords’ as well.

In preparation for the new system, the Federation recommends all landlords’ get tenants full names on Tenancy Agreements and use a form of photo ID to confirm who they are dealing with. While date of birth is not required for establishing if a person has a Tribunal Decision against them, it is worth having for credit checks and helping to locate absconding tenants.

Property Investor Associations around the country will be holding information nights on the new measures and how to benefit from them. See: www.NZPIF.org.nz.

While access to Tribunal decisions is fair and helpful to all in exposing delinquent tenants and landlords, a Government proposal on tenant insurance condones tenant irresponsibility and further penalises landlords. Despite a Parliamentary Select Committee rejection of the bill to make landlords insure their tenants’ interests, Government are now looking to restrict tenants’ liability for damage to the equivalent of four weeks rent. Restricting tenant liability reduces their accountability and will lead to more rental property damage.