bookemjano

We've asked to be considered for a rental property in Rangiora - the property managers say we can be put forward, but they want:

• us to agree to a 12 month fixed term (we don't want to do this, we were looking at 6 months)
• three weeks rent in bond
• plus at least one weeks rent in advance
• the letting fee of one weeks rent

then they say plus 12.5% GST - do they mean this just on the letting fee?

Any advice - should we be paying this much up front? Also, is GST charged on rent? And what are the usual practices re length of lease? Are we being asked for a 12 month lease because we're migrating or is this usual?

All advice gratefully received!

NZ Climber

The bond and rent in advance is normal (we had 2 and 2) and the 12 month period is also normal but basically only in that everyone tries it on. If you can, go for a casual contract - they have to give you about three times as much notice as you have to give them if you want to move out. I would not tie yourself down to a 12 (or even 6) month contract if you can possibly avoid it.

Not sure about the GST, it's been a while since we rented.

newkiwi

Hi
The bond and payment is normal, we have 3 weeks bond and 2 weeks rental in advance. Not all agencies ask for a letting fee, but some ask up to two weeks' rent. So one week isnt too bad. I think the GST is only on the letting fee, we never had to pay GST on rent. Many landlords try a 12 month lease, but you may be able to get a 6 month lease agreed instead. Youre not being ripped off, but it isnt exactly a great deal. Best case you would be looking at IMO is no letting fee with a 6 month lease and 2/3 weeks bond and 2 weeks rent in advance.

Pinkie Pie

Hi Jan

Can't really advise much on this as haven't personally rented myself, but this is a link from the Really Useful Website which says it gives guidelines on renting in NZ http://www.minhousing.govt.nz/ plus Scottish is usually really good with the rental advice so I would maybe send her a pm too if I were you...and Shazzafromnz although she doesn't seem to visit here very often nowadays but I know she is a landlord/lady herself so maybe able to advise too...

scottish

Advice that I was given by a Letting Agent plus Tenancy Services is never sign up for a fixed term lease be it 6 or 12 months. Reason being you will normally find its a hard to let house for various reasons i.e. problems with boy racers, busy street, cold/damp house in the Winter etc.

Its normal to pay a bond of 3/4 weeks plus a letting fee of 1 week plus 1 weeks rent in advance. All the amounts are plus GST.

If they want to let that house they will come and go with you. Say you only want a periodic tenancy and thats all thats on the plate to offer. If you do sign a fixed term the only way out it is to find new tenants who will take over your lease.

We got conned into a fixed term in Auckland and had a hell of a trouble getting out of it. Worse thing was we paid alot of rent in advance and lost over half of it. Tenancy Services were a great help but the landlord, since he was already getting his money, took a very long time to find a "suitable tenant".

Try www.tenancyservices.co.nz ( I think or just google Tenancy Services)

sky

Ooh er that's not nice is it, me thinks they're just trying it on but its a bit worrying they would want that amount of commitment.

bookemjano

I think I'll let hubby take over the negotiations with them - not sure though if it's advisable to tell them he's a property manager himself! They may avoid us at all costs if they know that.

shazzafromnz

Hello I am here..got a bit frustrated with the slowness of my internet and the rudeness of some people ..
I am a landlady plus I have also rented homes myself in Auckland both privately and thru a rental agency.
The situation and requirements you described are quite normal for a letting agency (or property manager)..not all property managers ask for a 12 mth lease though. I would assume that the 12.5 percent gst would just be on the letting fee but would clarify that to be sure.

If you want to avoid the letting fee..rent a home thru a private owner like myself we dont charge letting fees.. we still require a bond and rent in advance..I prefer a casual contract so that i can get my tenant out should they start playing up..there are advantages and disadvantages to the tenant and the landlord for a fixed term lease such as is being requested of you
If you are a good tenant prospect the rental agency will not want to lose you (unless they have alot to choose from) and you will have far more bargaining power than you think.You may be able to get around it by saying you dont want to sign up to a fixed lease but will probably stay there a year or so anyway.I prefer long term tenants but Id rather have a good short term tenant than a long staying tenant from hell!!
Hope this is some help.

annaerb

Here are a couple of good sites to look at.


http://www.dbh.govt.nz/housing/tenan...w_edition.html

http://www.settlingin.co.nz/

scottish

Forgot to add that if you sihn up for a periodic lease you only have to give 3 weeks notice but the landlord has to give you 42 days notice.

Pinkie Pie

Nice to see you Shazza... I wondered if you ever looked in still...

While you are here, where would you recommend that people look for privately rented properties?? Are they advertised with agencies or in the local papers etc???

shazzafromnz

Rental agencies aren't bad..I just cant be bothered with the letting fee.I rented a house once thru Barfoote and Thompson in Auckland's Nth Shore and they were fine..however I find that if you get a rental privately you can select a good landlord as well as a good home..(eg a landlord who will be reasonable and will do repairs and maintenance promptly)..also you may have more bargaining power if you have pets if you deal with the landlord directly.
The place to find a private rental is thru the paper local to the area you want to live.. usually rentals are advertised on a Wednesday and Saturday (the two most common days.) A good home will go fast so you need to ring quickly and view as soon as possible.
I don't select the first tenant I show through..I spend a day or two showing tenants thru by appointment..get details of employment,pets,length of stay, refs which i check.etc and I establish whether they are honest,etc and then I choose from the people who are still interested..I have never had a bad tenant this way.
Cheers Shazza

Pinkie Pie

How do you think landlords would view someone wanting to rent who's just landed in the country with no current employment?? A lot of us will be landing without jobs to start with - would this pose any problems being able to rent or could we offer to pay perhaps a few months in advance as reassurance maybe?? Or would bank statements showing means of support be sufficient perhaps??

And of course I remember you....

shazzafromnz

All of the above would be enough for me along with proof of a stable work ethic/income in the country of origin..cant speak for others.