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6 Most common compliance issues in tenancy management

7 November 2024

When it comes to compliance, even small missteps can lead to big headaches—or worse, hefty fines. Recently, Tenancy Services revealed the most common compliance issues that trip up landlords.

1. Unenforceable Clauses in Tenancy Agreements

Including clauses in tenancy agreements that are not legally enforceable can lead to disputes and loss of credibility.

One example is requiring tenants to commercially clean carpets at the end of their tenancy. While landlords can ask tenants to return the property in a reasonably clean condition, specifying commercial carpet cleaning is typically not enforceable. Instead, focus on setting fair, lawful expectations around cleanliness.

2. Incomplete or Missing Tenancy Agreements and Statements

It's a legal requirement to have a written tenancy agreement and include required statements, such as Healthy Homes compliance and insulation statements. Additionally, bond lodgement forms must be filled out and submitted in a timely manner.

Missing these elements can cause misunderstandings and potential legal issues. Failing to lodge the bond within the required 23 working days can result in fines of up to $1,000. Similarly, omitting required statements—such as the Healthy Homes compliance statement or insulation details—can lead to fines starting at $750 per statement. These penalties add up quickly and can be easily avoided by ensuring all required documentation is complete and properly filed.

3. Improper Use of Extensions, Renewals, or Variations

Mismanagement of tenancy changes, such as extensions, renewals, or variations to the original agreement, can lead to legal complications.

Properly documenting each extension, renewal, or variation protects both parties and ensures everyone is clear on the tenancy terms. Make sure everything is documented formally, in writing and signed by all parties.

4. Lack of Proper Notice for Property Access

Failing to provide correct notice before visiting the property for inspections or maintenance is a common complaint among tenants.

Landlords must give 48 hours' written notice before conducting inspections and 24 hours’ notice for maintenance (excluding urgent repairs). Following these guidelines helps avoid tenancy disputes.

5. Non-Compliance with Healthy Homes and Smoke Alarm Standards

Landlords are legally required to meet Healthy Homes standards and ensure functioning smoke alarms in all rental properties.

For instance, landlords are required to ensure that smoke alarms are working at the beginning of every new tenancy, but it doesn’t stop there—regular inspections are essential to confirm they’re still functioning. Regularly inspecting and maintaining smoke alarms, as well as checking each component of the Healthy Homes standards, is a straightforward way to protect tenants’ safety—and avoid costly fines or legal complications.

6. Delayed or Unlicensed Maintenance Work

Addressing maintenance requests promptly is vital in maintaining a good landlord-tenant relationship and ensuring compliance. Not only must repairs be completed quickly, but certain maintenance tasks, such as electrical or plumbing work, require a licensed professional.

For example, if a plumbing issue is fixed by an unlicensed handyman and later causes water damage or mold, the landlord could be held liable for not following proper procedures. Additionally, delays in addressing urgent repairs, such as fixing a broken heater in winter, not only inconvenience tenants but could also lead to complaints and penalties.


The information contained in this article is exclusively for promotional purposes. It does not in any way constitute legal advice and should not be relied upon as the basis for any legal action or contractual dealings. The information is not and does not attempt to be, a comprehensive account of the relevant law in New Zealand. If you require legal advice, you should seek independent legal counsel. myRent.co.nz does not accept any liability that may arise from the use of this information.

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