nukiwi

We have decided after only 9 weeks that we will not be renewing our current fixed term rental agreement that runs out in February and if possible want to move before Christmas.

I have spoken with the agent who found us the property and they say that we would need to speak with the landlord first (as the agent does not manage the property) and if he agrees then they can try to find new tenants and we remain here until they do.

I just wondered if any of you have experienced this in the current climate because we believe that if they find another tenant the new tenant will not want to pay the $600pw that we are currently paying :curse:. It has been suggested to us that even if a new tenant does not want to pay the full rent, we could make up the shortfall until the end of its current term and we are happy to do that.

We have not spoken with the landlord yet and are sort of in a "don't know what to do" situation. We have also heard that because of the current climate a good % of rental properties are left empty so our landlord may not be willing to co-operate.

I would welcome any comments from anyone who is in the same situation or has recently got out of a fixed term tenancy.

Thanks in advance

BEVS

Fixed tenancies stink IMO.
The landlord could well keep you to the tenancy period. They could ask that YOU find a new tenant for them and they can ask you to pay the rent they would have received had you stayed the full term.
I know of several people that have been stung by not considering the financial aspect of terminating the tenancy early. All have had to pay the rent after they have left the property.

A periodic tenancy is better.

lardyl

maybe - suppose it depends upon whether the tenant wants to tie the landlord in as well and not to have to worrry about where to live for the next year - our rental is like that, very cheap, with a true investment landlord who has the property for his kids and is in a secure job (GP) and is not moving/selling whatever. So we are happy to hold on to the place with the same conditions for another 6 months thanks......

Horses for courses I suppose, but at the other end of the market, eg $600+ that could be a bit of a millstone.....down here at sub $400 we are OK thanks

nukiwi

Thanks Bev, I wish we'd looked into it more before taking the tenancy on. The landlord was really looking for a long term agreement but we managed to get just 6 months. I suppose like lots of others we felt rushed into making a decision after our holiday let was coming to an end.

We actually love the property itself but since looking around and speaking with others we know we can get one a lot cheaper similar to what we already have. We have seen a couple of rentals we want to view but I'm hesitant because I know I might really like one and then we might not be able to get out unless, like you say, we have to pay for the remainder of the tenancy. Perhaps we should think about it more seriously at the beginning of January

Did not realise there were periodic tenancies, will have to bear that in mind next time.

nukiwi

Wow you have a great deal

We are certainly going to have a good look around and not rush into another tenancy until we are really sure. Maybe a little further north where we have been told our bills will be cheaper too

sean n

Hiya,

We too are stuck in a fixed term agreement but ours is for 12 months!!!!
we have been here since july and the house is damp with mould growing in it.The landlord doesnt want to know and he has now decided to sell it with us still in it!!we cant leave as we have a fixed agreement until he sells it and then i have been told he has to only give us 42 days notice to leave.

we hate living like this and we have to allow the agents and viewers to come round our 'home'. we took the house on not knowing it had huge damp problems and asked for it to be long term, luckily for us 12 months was a long term agreement.

we have two kids and they are so upset with strange people tramping through their bedrooms, totally understandable, im also 4 months pregnant with awful sickness and dont need all this stress!!!

maybe you could go to the landlord and say due to a change in circumstances you are unable to pay the full rent and ask for a reduction and see what he says?? its only a suggestion, maybe he'd rather that than have it empty? youd also know then instead of just wondering.No harm in asking whats the worst he can say-'no'.

I so feel for you 'nukiwi' its a horrible situation to be in.keep your chin up, its the summer now enjoy it

nukiwi

Gosh I think we are lucky compared to you. Our landlord wanted a 12 month term but we said no and would only do 6 months, which he agreed. Its not that we don't like the house its really nice and we don't have any damp or mould. The house is only 9 years old.

We are in two minds now because our container is due to arrive with us in hopefully the next 2 weeks so its a bit short notice to be changing houses. We have decided as soon as Christmas is out of the way we will seriously start looking and if we have to do a couple of months overlap then we will. I really feel for you, especially with it being sold from under you but at least you will be free of the damp and mould and it can't be doing you any good either being pregnant.

Good luck and I hope it doesn't get any more stressful for you.

cally49

Hi there just a thought and im sure someone in the real estate business will be able to help but i would have thought a reduction in your rent for people tramping through the place while its for sale was something that was done.
Be worth checking it out anyhow. Good luck
Cally

shirl

We had this problem when our rental was being sold. We kicked up a fuss and said NO OPEN HOMES ANYMORE and they let us out of our tenancy rather than us make it difficult to sell. I think if you ring the Tenancy Board they will say that you can tell them they have to come when it is convenient for YOU. So make it difficult, they just may let you out early.

Littletoe

Hello there

Check out rent medians online through the department of building and housing (you'll have to google it, I can't remember the link). This should give you an idea whether the rent you're paying is market value. If you have any doubts, you can request someone from the DBH to review your property and if found in your favour, you can request a refund of the difference of rent already paid.

Rents peaked with the demand, but the market ultimately dictates the rental price, and now to reflect the uncertainty of the economy, people want cheaper rents. You must remember of course, that no matter how you or anyone may feel about their landlord, they budgted to receive a rent for that period of time. They too face harsh rates on their mortgages. Fixed agreements are becoming increasingly more common.

A fixed term is pretty iron clad, but most landlords are open to negotiation. I actually think that by asking you to pay some of the rent and rent it at a cheaper rent is a very fair compromise. The rental market slows down towards Christmas, so you'll need to pull out all the stops to get rid of it before it grinds to a halt. I suggest you market the property online with sources like trademe.co.nz etc. I would also suggest that you make it attractive by offering a reduced rent for ONE month. Having it written into the contract that you'll pay part of the first month, but then it resumes its usual cost to the new tenant. It will help bridge their initial cost over xmas and then there's only two months, where they can look to negotiate the rent at the renewal.

If you are ever unhappy with anything in a property, you must write a 10 day working letter to the owner/agent. After 10 days you can file to the tenancy tribunal. If something is particularly unsettling for you, ask for a mutual agreement to release you from the agreement and let them know you're serious about persuing court action, which could ultimately prove more costly to the owner/agent.

For more information on tenant and landlord rights, call 0800 TENANCY. Its an excellent free service.

Best of luck to all and to anyone else considering renting; Be sure about what you're committing yourself to. 12 months makes YOUR rent predictable and guarantees you a roof over your head. But if your circumstances change, you are responsible, don't rely on finding someone that'll be understanding, they too face a difficult time in a changing market.

luvwelly

Given that you are only talking 3 months...wouldn't it be simpler to just stay and find your ideal rental to commence in February in the meantime?
I wish my Landlord would sign up for the full length of our post here and not make us renew every 12 months...I hate thinking I may have to move again.
Being locked in for a fixed term protects both parties but in different ways.

whitesand

This is why I think it is important to simply make sure you get a short-term rental when you first arrive. Usually, you can have one for three weeks' notice either side. This gives you plenty of time to look around and get another place and also only give a short period of notice.

Personally, I wouldn't take anything else.