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FAQs - Owners re Covid 19


The Latest From NZPIF regarding Rent Freeze

  1. What if I have already negotiated an increase, taking effect this week? 
  2. Will tenants still be liable for rent arrears?
  3. Does a rent freeze mean tenants will not be required to pay rent for six months?


What if my tenant loses their job and can’t pay rent?

We have advised all tenants of the multiple Government packages and help with income, whether for a temporary shortfall or if they have been made redundant. Where tenants are unable to pay full rent we are dealing with these on a case by case basis, and will be in touch with you to let you know what options are being discussed with the tenants. 


Can the rent increase still go ahead?

As announced on 25th March a rent freeze is now in effect from 26th March, which means any notified or planned increases can now no longer take place. The rent freeze applies for six months initially, but may be extended if deemed necessary. 


My new tenants were meant to move in while the lockdown is in effect, what happens now?

The Act still applies even if the tenant hasn’t moved into the property. We are waiting on clarification of payment of rent, however at this stage it seems the usual RTA requirements apply, which is that a tenant is liable for rent even if they are not able to move into the property. 


The tenant who was going to leave can’t move out on the due date, do they keep paying rent?

If a current tenant is required to stay at the property due to the lockdown, we will expect rent to continue and the lease end date to move to 23rd April, the earliest known end date of Level 4 restrictions. If and when this date changes we will amend as required. 


Is there financial help for landlords?

The first step is to talk with your bank about a mortgage holiday, this was announced on 24th March, and may apply whether your or your tenants job or business income has been affected by the virus or shutdown. 


What if a tenant breaks usual tenancy rules, can they still be evicted?

There are specific and more restrictive rules now around terminating tenancies, and rent arrears must be 60 days or more behind in rent. It is now more crucial than ever that we maintain good relationships and communication with tenants, and work together to resolve any problems.