Landlords should check their bank account every morning before the start of business. Any missed rent payments should be dealt with immediately. Failure to act immediately might result in the tenant thinking they have a bonus or spare money and spending it before you get it. Missed rent falls into two main categories.
If a payment in say the first three weeks is missed then urgent action is required. This has the purpose of impressing your tenant that you are the landlord and bringing them into line. Often early action like this will be all that is needed for the rest of the tenancy.
Send the tenant a text message saying rent has been missed. If you do not get a response to this text by say 10 am send a second one stating that a 10 Day Notice to remedy (section 56 notice) is about to be issued that day.
If still no response by the end of that day issue the notice. This notice should be personally handed to the tenant or stuck with adhesive tape to the front door of the rental. A photo of the notice stuck to the door might be useful.
Hopefully the tenant has been good in the past and just misses one payment. Send off a mild text message or make a pleasant phone call informing the tenant that the rent payment has been missed for some reason and politely ask that they can look into the problem and let you know the result.
The Next Day
Check the bank account again
If you have had no response to your texts and 10 Day Notice then send a third text message. “Court action about to commence. Please contact me urgently.” If by say the end of that second day the response has not been positive then lodge your tribunal application. It is critical to act decisively on tenants that miss the first automatic rent payment. These are the most dangerous cases and usually indicate you have made a serious mistake in choosing your tenant. If it has all been a terrible mistake and they pay you then withdraw the tribunal application. All you have lost is the $20 application fee and a bit of time making the application out. Note: you are permitted to re activate this application within one month if they miss the following week’s rent payment.
Polite persistence is often needed. Push too hard and you will offend a good person that has a small crisis in their life. Phone them to discuss the issue if they have not already responded. Often they will promise to pay double the next week. Suggest they might like to pay what they can afford this week. Suggest that they might like to pay say an extra $20 per week in addition to the rent till they have caught up.
If next week all you get is the normal rent and no catch-up then send a text asking about the catch up. If the second week is also missed, or no catch up paid then issue a 10 Day Notice. If the written notice falls on deaf ears then lodge a tribunal application.
Generally, lodge a tribunal application if two weeks rent payments have been missed. Note: At this stage, two weeks rent missed will only be one week in arrears, because rent is paid in advance.
10 Day Notices. (10 working days, excluding . . . . . Xmas/New Year)
It is possible to get sample forms off the DBH web site. However, the best system is a duplicate self carbonising book that is with the LL (or in the car), all the time. The original is given to the tenant or stuck to the front or main entrance door of the rental.
Write the following on it:
(as shown on the tenancy agreement)
The rent payment of $ scheduled to be paid last night has not been received. This is a breach of your tenancy agreement. Failure to immediately remedy this breach will result in an application to the Court.
If you make statements like, “you will be evicted,” or “it will be bad for you if you do not pay,” or similar, these can cause trouble at the Tenancy Tribunal. I use the word “Court” rather than Tribunal, because it sounds more significant even though they are one and the same thing.
Tribunal Applications For Rent Arrears
Application forms can be obtained off the DBH web site or from their offices. Applications can be by fax or via the Internet. If you are making an application for rent arrears you need to ask for only two things.
- Money order for rent arrears of $xxx
- A termination order
Applicants need the Money order to enable them to recover the rent arrears with assistance from the Court system. As a separate issue, you need a possession order to recover the rental dwelling. This is called an eviction or distress warrant.
- Rent owed to date xx-yy-2007 equals $xxx – Note: always make the amount / date of the rent owed to date up to the end of the next rent period. At the mediation or tribunal this figure can be updated.
- 10 Day Notice issued on date such and such and personally given to tenant or stuck to door. The Tenancy Tribunal application has to say how the notice was served because this affects the day that the 10 day period will expire. For instance, if you posted the letter, then a Section 56 / 10 Day Notice effectively becomes a 14 Day Notice to allow for the time it takes for a letter to be delivered.
Attach a copy of the tenancy agreement, schedule of rent payments received, 10 Day Notice and fax off.
Note: do not forget to pay first. Your local branch of Westpac will accept the $20 fee and stamp your application form, so don’t forget to take the application form to the bank for stamping.
An applicant can only expect to have the Tenancy Tribunal award what has been applied for. It’s unreasonable to expect to introduce new claims at the time of the Tribunal hearing and have them approved.
This means if the tenant vacates before the hearing, then it is better to withdraw the application and submit a new one, including any other costs that have occurred such as cleaning and repairs. There are minor differences from one Tribunal to another and not all offices of the Department of Building and Housing interpret the RTA the same way. Some areas will let applicants change the application after it has been lodged but before the hearing.
This can be by personally attending or by phone. Some of the best and most effective mediations can be by a one-to-one conversation with the Tenancy Mediator. The mediator is permitted to talk separately with the tenant and if both of you agree to the amount owed and the consequences then the mediator can type up the order and sign it on everyone’s behalf.
Normally however it is a good idea to meet fact to face with the tenant along with the mediator. Especially for new landlords
Always attempt to resolve the matter in mediation even if you have to compromise. Stick to the issue of rent. Be realistic about the amount of catch up payment per week. Demand a consequential clause. A consequential clause will say the tenant must pay the rent and catch up each and every week until caught up or the tenancy will end. Many new landlords overlook this and leave with no useful outcome. Having a conditional termination order is a very powerful ongoing incentive for the tenant to pay or be immediately evicted.
Make sure the tenant’s phone number is supplied to Tenancy Services. They will need this to contact the tenant. Often if the tenant does not attend, it is possible to contact the tenant by phone from the Tenancy office and conduct the mediation by phone.
Mediated orders are normally forwarded to the Court and the Tenancy Adjudicator will seal them making the Order fully enforceable.
Coworking Countdown – 4 Things to Prepare Before You Move In
The coworking scene has done anything but slowed down. Coworking spaces in Auckland alone vary between your upmarket, corporate office to the trendier, chic ones. Certainly, investing in this type of commercial real estate has never been more attractive. There is a space for everyone in this landscape and for businesses looking for new workspaces there’s not only variety available, there’s options at an affordable price.
When a business has finally found an office, in one of these buildings they have not only found a workspace, they’ve also found community as well. One coworking space – Servcorp – is a good example of the way work and networking have intersected to provide business with the chance to grow. This new way of leasing premises is highly attractive to the leasee and the property owner. Here are some tips for moving into a new coworking space, so the business can prepare to maximise their working experience.
Continue reading to learn what you can do to prepare for your move to your new coworking space to ensure the move is as seamless as possible.
Coworking presents professionals with the chance to use the space to just work or to build on their professional network. Before getting comfortable in your new office, sit down and take inventory of the tasks beyond work that you would like to accomplish. When writing down your goals and objectives, keep in mind the types of activities that you would like to engage in the space.
Of the many activities, formal networking events and community social events are the types you want to pay attention to if you plan to use the space to build a social network. Not that you have to be out and about every night, but scheduling time to promote your business is one way to maximise the coworking space. Ultimately, if the purpose of coworking is to build a networking platform or to grow your business, find ways to incorporate the more social aspect of the space.
Tool Of The Trade
Another thing that professionals moving into a coworking space should prepare for is knowing what amenities the space provides. Standard spaces fit out the office with exceptional IT services and office equipment, but other amenities include programs and conferences that help teach entrepreneurs how to build their businesses. Before moving into your space, consider checking out all the perks of working in your coworking space.
Moreover, make sure you know what is available for use in the office, so as to bring supplies if necessary. While staplers and other office products come standard in a conventional office, some spaces might not make this available to employees. On a larger scale, make sure there is a receptionist available, and if not, know exactly how to retrieve any messages.
Change Of Business Address
Before leaving your conventional or home office, make sure that clients and other important people know your new location and phone number. One simple way to do this is to email clients of your relocation as to avoid any mix-ups. Furthermore, make sure to forward any business mail to your new location, as to avoid missing important parcels. Finally, make sure you know the building’s office hours for scheduling appointments.
Check out the coworking space’s event calendar. In addition to the numerous networking opportunities in the day, many coworking communities hold events to get the professionals to engage with each other. Make an exerted effort to attend at least a few of the events every week to raise your business’s profile. You never know what opportunity awaits when engaging people from your profession and others.
Preparing And Putting Coworking To Work
Coworking makes moving effortless simply by alleviating much of the work associated with relocating. You can, however, maximise your move by putting together an agenda of how you plan to use the work to benefit your business. Your plan will help you use your space more effectively for building a platform for business success.
Auction Site For Renters
New Zealand will soon see the rise of a new auction site for renters. Just in on stuff.co.nz Rentberry has confirmed they will be launching here and in Australia. The online service offers renters the opportunity to bid for rental properties. Landlords set the ‘reserve’ or rent level they hope will generate lots of prospective tenants interest and then the bidding war takes off.
New Zealand will soon see the rise of a new auction site for renters. Just in on stuff.co.nz Rentberry has confirmed they will be launching here and in Australia. The online service offers renters the opportunity to bid for rental properties. Landlords set the ‘reserve’ or rent level they hope will generate lots of prospective tenants interest and then the bidding war takes off. Landlords get the final say on whom is the successful applicant and while they may review the highest bids first, they won’t be choosing the tenant just based on what they’re prepared to pay.
An Auckland property management company spokesperson said common-sense will prevail among Landlords. Securing long term tenancies with tenants that have good credit histories and references will remain the top priority. Prospective tenants information is available to the Landlord in the service so they can select the tenant without delay.
Rentberry will provide more transparency of the selection process with prospective tenants and Landlords learning what the true market value is for their property. This is a positive move for investors especially those who are new to the rental market and Landlords whom self manage their rental properties and may currently be charging more or less rent.
There has been some healthy criticism of the service even in it’s infancy. In America affordable housing advocates are angered by the service and tenant groups in Australia are wary that the service will push up prices.
Rentberry has been operating in the USA since 2016 and is currently expanding into 1000 cities there. It’s focus is on renting Apartments and this is where we see the service take off in our neck of the woods in our main centres in New Zealand.
This blog article was written for PropertyBlogs by Mobilize Mail.
Tenants Let Off With 4.8% Increase
Weekly rents rose just 4.8 percent in the twelve months to July 2016 according to Trade Me Rent Price Index. Tenants will be relieved Landlords are being realistic and not keen on hiking rents arbitrarily. Property sales have slowed and the average asking price has dropped significantly up ten percent since July 2015.
Weekly rents rose just 4.8 percent in the twelve months to July 2016 according to Trade Me Rent Price Index. Tenants will be relieved Landlords are being realistic and not keen on hiking rents arbitrarily
Property sales have slowed and the average asking price has dropped significantly up ten percent since July 2015. Of particular interest is the slow down in property asking prices in Auckland where a typical property listed in June was just $3,750 less than the asking price in July. According to this article Investors are buying most of the houses.
In Auckland City and on the North Shore investors have purchased 50 percent of the properties on the market. A North Shore and Auckland City property management company spokesperson said investors are listing new properties with them. In Auckland City it’s mostly apartments and there’s high demand for quality living quarters downtown.
“In July 2011 New Zealand’s median weekly rent was $350 a week, that has risen by $90 a week over the past 5 years, while at the same time the increase in the average asking price of a typical New Zealand property has risen by $200,000 an increase of 51 per cent.”
While there’s the odd sensational article on ‘greedy landlords’ hiking rents to unprecedented levels evidence proves otherwise and tenants are the winners.
In the regions there has been some catch up with rents rising by double digit percentages in Northland, Manawatu, and Marlborough. However urban average rents have remained stagnant.
This blog article was written for PropertyBlogs by Mobilize Mail.
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