Frequently Asked Questions

Properties are inspected quarterly. This is over and above the initial inspection done before the tenancy commences or the final inspection done when a tenant moves out of the property. Tenants must be given written notice of the inspection (a minimum of 48 hours) and inspections can be done only between certain hours.

Should problems be experienced at an inspection, follow up inspections as required will be carried out.

We recommend that you budget for 3 weeks per annum.

Yes we provide 24/7 web access to your properties data, detailing the last 12 months transaction, also available are copies of inspections, invoices and monthly statements.

Tenants living in properties we manage or casual landlord properties must pay a bond equivalent to three weeks rent. This bond is held with the Ministry of Housing as per the Tenancy Act.

If you have extensive gardens and wish particular care taken of plants, it is recommended that you organise for a gardener to maintain the gardens on a regular basis. Sometimes owners also pay for lawns to be done as well.

If the gardens are only small and the lawns easy to maintain it can be the tenants responsibility. Tenants are not expected to trim tress or other vegetation.

If you have a multiple property (two or more flats on the same site), we can organise regular lawn mowing services for you. It is difficult to ensure lawns are done if you leave the responsibility to 2 or more sets of tenants in the same building. Your property will then start to look overgrown and untidy. The rental rate should reflect that care of the grounds is included in the rent.

Tenants should take out their own contents insurance as none of their contents are covered under the owners house insurance. However, this is at the discretion of the tenant whether they choose to do so.

Under the Residential Tenancies Act 1986, the rent cannot be increased more than once every 180 days. 60 days written notice must be given to the tenant of a rent increase.

No, you are only charged commission on rents collected from the tenants, and for maintenance work. If we are carrying out repairs while the property is vacant then we would require you to supply us with the required funds to pay any invoices and this would incur commission being charged.

Our commission is deducted from the rents collected on your behalf prior to your funds being disbursed to you.

You need to advise your insurance company that the property is to be rented. We recommend that clients also take out what is normally called the "Landlords extension". This is similar to a contents policy which covers the landlords’ fixtures and fittings.

We also sell landlord pro insurance, this is a very comprehensive landlord insurance policy that we can highly recommend

Tenants are required to pay their rent by automatic payment in advance. The payment comes through to our trust account and rents are checked daily (we have a computerised system, which tells us whose rent is due on a specific day). At the beginning of each month we compile a full statement for property owners of the rents collected, less all payments made on behalf of. The balance of the money is transferred to the owner’s nominated bank account within 3 working days from the beginning of that month (this allows the bank time to ensure all of the rent money in our client account has been cleared). As our system is automated, you may find payment goes in earlier, but please allow 3 working days just in case of those unforeseen circumstances which can come up from time to time.

No, we do not guarantee you for loss of rent. We endeavour to have rents paid in advance, and do our utmost to ensure that this is the case, however we cannot guarantee that this will always happen

Ray White Youngs charge a flat rate % on all rents collected, and all maintenance organised or invoices paid on your behalf. We charge a $50 fee for three monthly property inspections. The only additional charge is a $20.44 fee for applications to the Tenancy Tribunal.

Please note there is a reducing management fee structure for owners who have multiple properties managed by Ray White Youngs. Please give us a call to discuss the savings available.

All rents and any other monies received on behalf of an owner are paid into our trust account. This account is specifically for owners and does not form part of the operational bank accounts of our company. All payments made on behalf of the owner are also made from our trust account. Each owner's transactions are individually identified within this account and the account is balanced on a daily basis. Trust Accounts do not accrue interest so please be assured that we are not accruing any interest by holding your funds.

Owners are supplied with a monthly statement, which identifies all transactions during the month

You can place your property on the market whilst tenanted. However, there are processes under the Tenancy Act that must be followed and we can advise and follow these through for you. If you have a tenant in your property, who is on a fixed term tenancy, then you must sell that tenancy with the property. It is important that you have a real estate agent who is a good communicator (we can recommend agents who we know are good at working with tenants) and can organise with your tenants set times for showing the property to potential purchasers. It is important that all parties work together in this process, causing as little disruption for all parties concerned. Often the owner of the property will reduce the rent for the tenant whilst the property is being marketed as it is an inconvenience for them, but the house will look better with people living in it.

Yes, rents received are income and need to be declared. You can claim for such things as maintenance costs, management fees, interest on mortgages. We are not tax experts, and recommend that clients get independent financial advice. Information is also available on the Inland Revenue Department website (www.ird.govt.nz). There is a booklet available “Rental Income” advising property owners on the tax implications of receiving income from a property.

This varies significantly between properties however the Ministry of Housing suggests a possible rule of thumb is 0.5 to 1% of the properties value per year.

The tenant is responsible for their own ‘home contents insurance’. Landlords are responsible for insuring the property including any chattels. We strongly recommend that your property is fully insured.

When a tenant is 21 days in arrears we can apply to the tenancy tribunal for an eviction. Obtaining an eviction order can take 2-3 weeks following an application.

This can be negotiated however we recommend that landlords employ the regular services of a pool specialist then incorporate the cost into the rent. NB: The law requires all spa and swimming pools be fully fenced. Have your local council check that your pool meets these regulations before tenanting.

If the tenant needs something repaired, i.e. a plumbing or electrical fault, they phone our office to inform us of the problem. We will then organise the appropriate tradespeople to visit the property to make the repair.

Unless specified at the start of the tenancy, the tenancy is considered to be "Long Term" ie. 1-2 years. Significant compensation can be awarded to the tenant if the tenancy tribunal finds that a house was sold following an unreasonably short tenancy. If a property is sold when there is a fixed term tenancy in place, the tenants are entitled to stay on until the end of that term under the same conditions.

The normal type of tenancy in New Zealand is referred to as a periodic tenancy. In general terms a periodic tenancy is an agreement that allows the tenancy to continue for an unspecified period of time. A periodic tenancy requires that a tenant must give 21 days notice prior to vacating a property. If the owner of the property wishes to shift back into the property, they must give the tenants 42 days notice, and if the property is sold the tenants must also be given 42 days notice to vacate, once the property owner has an unconditional sales purchase agreement.

Should the owner of the property wish the tenants to vacate for any other reason, 90 days notice must be given.

A fixed term tenancy is exactly that. The tenancy would commence on a fixed date and terminate on a fixed date. Notice to either party cannot be given. So, as the owner of the property, you cannot give the tenant notice because you wish to shift back into the property, or because you have sold it with vacant possession. Similarly, the tenant cannot give notice to vacate.

There is a charge for organising everyday maintenance. We charge your management rate percentage fee for all maintenance that we organise.

Tradespeople we engage forward their accounts to us. We pay them on your behalf out of rents collected, and the charges appear on your monthly statement.

On rare occasions, we may need to request funds from the property owner to settle larger invoices.

This depends on the market and the time of year. The rental market is competitive, especially with the number of new builds and apartments available. Your property will be more attractive to potential tenants if it is well presented, competitively priced, clean, well maintained, and tastefully decorated with tidy grounds.

The Residential Tenancies Act covers New Zealand law relating to renting property. It sets out the obligations of both landlords and tenants, and every landlord and tenant must operate under its rules.

For more information visit the Tenancy Services website at tenancy.govt.nz.

Under legislation passed on 1 October 2010, any landlord who will be overseas for more than 21 days must appoint someone in New Zealand to act on their behalf as an agent.

Usually the tenant is responsible for lawn mowing and general garden care, though this can be negotiated at the start of the tenancy. Tree trimming, weed spraying, and plant removal is usually the landlord's responsibility.

The landlord should provide adequate ventilation for the house. Bathroom fans, secure window stays and dehumidifiers help reduce condensation and mould build up. Tenants should regularly air out the dwelling to help prevent any condensation build up.

We advertise on major rental websites, in local papers, and on our own website including photos of your property. We also maintain a database of prospective tenants and send them updated listings daily. We can place For Rent signs on your property if you're happy for that. All advertising costs are covered by us. Prospective tenants contact our office directly, and we personally show them through the property. No keys are given to potential tenants, and the property is never left open unattended.

We can't guarantee the perfect tenant, but experience has shown that following thorough procedures minimises the risks. All prospective tenants complete a comprehensive application form including personal referees and their current or previous landlord's details. This authorises us to run credit checks.

Every applicant is reference checked. Because we personally show them your property, we're also in a position to form our own impression. We do decline applicants when the reference checking doesn't meet our requirements.

The type of tenancy depends on the landlord's instructions. We usually aim for a twelve-month fixed term contract or longer, however this is not always achievable and a periodic tenancy is common. For student accommodation, we target a twelve-month contract to help avoid properties emptying out late in the year.

All tenancies are subject to the Residential Tenancies Act and any clauses must comply with the Act. If you wish to include specific conditions, please discuss them with us. The tenancy agreement and initial inspection are completed at the property with the tenant, and digital photographs are taken as part of the process.

We do not charge landlords of managed properties for advertising as this is an expense we cover. We advertise on major rental websites including Trade Me, realestate.co.nz, OneRoof, and our own website with photos of your property. We also maintain a database of prospective tenants who receive updated listings daily. For Rent signs can be placed on the property if you are happy for that to happen.

Some properties are rented out furnished, however these tend to attract only short-term tenancies and you will experience additional wear and tear on your furniture. Most potential tenants have their own furniture, so a furnished property appeals to a more limited market.

Whiteware (fridge, washing machine, etc.) is worth considering as an optional inclusion. Be aware that as the property owner you would be responsible for maintaining any appliances you provide.