A Response to Frank Newman’s “Perils of being a Landlord” Article

landlord handing over key

Frank Newman recently wrote an article in the Property Plus magazine titled “ Perils of being a Landlord”. Here he outlined what he, and others, consider are the common complaints or frustrations from landlords. We have included that article below.

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Here is the Frank Newman Article:

Perils of being a Landlord, with Frank Newman

The term Land-lord has an aristocrat resonance about it. The reality is there is nothing easy about being a landlord. For most it’s a rude awakening into aspects of human behaviour that most prefer not to associate with. The NZ Herald (Diana Clement, 3 May) ran an interesting article recently about the perils of being a landlord. Here are some key points.

The most common complaints or frustrations from landlords were:

• Not getting paid! In 2013 there were 45,093 applications nationwide to the Tenancy
Tribunal. 41,496 or 92% were from landlords. The other 8% (3,597) were filed by
tenants. Most of the applications filed by landlords were for rent arrears (61%).
Given there are about 500,000 rental units in New Zealand, in any one year one in 18
(about 6%) suffer arrears that are significant enough to warrant the matter being
referred to the Tenancy Tribunal.
• Prospective tenants not keeping appointments to view the property.
• Smoking in the dwelling even though the tenants have accepted a non-smoking
condition of tenancy (and then they no doubt moan about the cost to have someone
clean the tar from the ceiling and walls!).
• Keeping pets in a pet-free property. One property owner describes it this way.
“Turning up to a property that you’ve let in pristine condition to find dog sh*t all
over the yard, dog hair inside the house embedded in the carpet, scratch marks over
the interior and exterior doors, a pervading smell of dog inside the property and
burnt patches of grass where the dog has been peeing tends to make one think long
and hard before re-renting to dog owners.”
• Tenants who claim to have paid the rent but haven’t. This shows the importance
of providing receipts if rent is paid in cash (which is suspicious in itself as they may
be using your premises to operate a “cash” business).
• Tenants who sublet the property without the landlords consent.
• Exceeding the maximum number of people permitted to live at the property, causing
overcrowding and additional damage.
• Tenants leaving piles of rubbish and belongings when vacating.
• Tenants who don’t report problems, like leaking pipes and fittings that damage
kitchen cabinets and floors. A lot of damage can be done between inspections.
• The problems often continue once the problem tenants have gone. Enforcing debts
after judgement is hugely bureaucratic, often with little to show for it or repayment
in small amounts over a very long time.

One does not have to be Einstein to work out that the problems within the rental sector are to do with bad tenants rather than bad landlords. It’s an issue that could be sorted if the regulators that are so keen to come down hard on landlords, came down hard on tenants.

Read the full article here

30,000 New Homes Needed – Bay of Plenty Times Article

An estimated 30,000 new homes will need to be built in Tauranga to deal with a predicted population explosion. Picture from Bay of Plenty Times

An estimated 30,000 new homes will need to be built in Tauranga to deal with a predicted population explosion.

An estimated 30,000 new homes will be built in Tauranga by 2041 to deal with a predicted population explosion, a council report reveals.

The population of about 120,000 people is expected to jump 45 per cent to an estimated 175,000, according to SmartGrowth data.

The information was included in the Tauranga Transport Strategy, presented to and adopted by the city council yesterday.

Many of the new homes would be built in Papamoa, Pyes Pa, Welcome Bay and Ohauiti, Pukemapu and traditionally popular suburbs such as Mount Maunganui.

Council infrastructure planning team leader Philip King, who presented the transport strategy to councillors, said forecasted housing and commercial growth would result in traffic congestion on key roads in the next 30 years.

The congestion would undermine access to the port, which played a big part on the region’s economy, he said.

The strategy highlighted other roading issues associated with the predicted growth such as accidents, public transport use, rail and infrastructure management.

It included a long-term plan to increase the percentage of freight carried via rail to remove trucks from the roads, including a new rail bridge crossing from Tauranga to Mount Maunganui, offering fast access to the port.

The need for a dual-track rail corridor would be explored, along with electrification of the rail network, the strategy says.

The report highlights the possibility of exploring other transport options such as a city-wide ferry service and ways to encourage people to use other modes of transport besides private vehicles.

Mr King said Tauranga survey data suggested 98 per cent of all trips in Tauranga were in a private car, between 9 and 33 per cent higher than centres such as Hamilton and Christchurch.

Where they’ll go:
11,400 homes are pegged for parts of Papamoa, Wairakei and Te Tumu
8600 houses to be built in Pyes Pa, Welcome Bay and Ohauiti and Pukemapu.

8300 dwellings would be built within traditionally popular suburbs such as Mount Maunganui onsubdividable sections.

About 1700 would be built in Bethlehem

An estimated further 14,500 houses would have to be built in the city in the decade following 2041.

“Council should … where possible, minimise parking in new developments to support public transport, provide facilities on bus routes, and consider the proximity of new housing developments to bus stops,” he said.

Mayor Stuart Crosby told the Bay of Plenty Times the transport strategy was one piece of work to future proof the city.

“This work was not done in the ’70s and’80s … We want to know what is predicted to happen so we will have time to intervene and stay ahead of the game and address the issues.”

Mr Crosby said the council would have to consider public transport, roading and rail as the city grows.