Case Update: Tenants allow dogs to defecate and urinate throughout property

The property management company in this case claimed that the tenants did not comply with their obligations.

Law:
Under section 40 of the Residential Tenancies Act 1986, tenants must leave the premises reasonably clean and tidy at the end of the tenancy, remove all rubbish, return keys and security devices, and leave all chattels provided to them for their benefit.

The tenants had left the premises unclean and cockroaches soon began to infest the property.

A significant amount of rubbish remained on the property and the property management company had to rent a skip for the rubbish removal and pay for labour costs.

The smoke alarms and curtain rails were missing at the end of the tenancy as well.

The property manager provided entry and exit photos evidencing that the state of the premises had severely deteriorated since the commencement of the tenancy.

The Tenancy Tribunal ordered the tenants to pay for the pest control, cleaning and rubbish removal. The Tribunal also ordered costs for the missing smoke alarms and curtain rails.

Were the tenants responsible for the damage caused by the dogs to the premises?
It was found that most of the carpet throughout the house was contaminated with dog urine and faeces and as a result, the carpet needed to be replaced. There were claw and teeth marks to various door frames and walls. The tenants had taken down the curtains of the property and the dogs urinated on them as well.

The Tribunal found that the damage was on going and the tenants allowed the dogs to remain in the premises knowing that the damage was a virtual certainty. The damage was more than fair wear and tear and the Tribunal found that the tenants were liable for the damage.

Click here for the decision.

Tips:
- This case serves as an important reminder to perform regular property inspections especially, prior to the tenancy commencing and once it ends
- It is a good idea to take photos as this shows the condition of the property.

---

Insurance Excess

Please note: When you are including the insurance policy details and the excess amount on Tenancy Agreements, there could be varying excess amounts for different claims.

An example is:

If you are unsure please contact the owner of the policy or, if authorised, the Insurance Company.

---

Rental update from Dunedin

REINZ recently spoke with Liz Nidd from Dunedin. Liz began her Real Estate career in 1988 and opened Nidd Realty in 1997. Liz is still actively involved as a director and mentor with special oversight of the Property Management business. Liz reports that stock levels in Dunedin are low and enquiry is very strong with multiple groups inspecting.

At one point in time Dunedin’s claim to fame was for being the city with substandard student housing. I am sure there are still some that fit into this category but overall there has been a lift in standards in recent years, even before the current legislation came onto the horizon. In the past 10 to 15 years a number of elderly residences which were favourite student haunts have been replaced by blocks of four plus bedrooms flats and there have also been properties built as studio units where all bedrooms have ensuites.

Dunedin overall is very short of both homes to buy and rentals and this is only going to get worse with the city’s major building projects coming online. There is a major plan of works underway for the University and our hospital rebuild project is in the planning stages with demolition on the site expected to start in the New Year. The impact of that is huge as there will be an influx of professionals and tradespeople which could number 1,200 to 1,500.

Added to this is the fact that Dunedin was, at the last census, a ‘low growth city’. Since that time our population has increased by 4,500 people, making it a ‘medium growth city’ and meaning that decisions made during the preparation of the 2nd Generation District Plan are already having to be substantially re-thought in order to free up land for the building of much needed houses.

In conclusion, Dunedin City is in good heart with a positive vibe and growth that we have not experienced for some time. This does however mean that we need to grow the number of residential properties available for both owners and tenants.

---

Stuck on something? Check out our information sheets!

Click here for our Information Sheets on:

• Insulation
• Healthy Homes Standards
• Privacy Act Guidance
• Asbestos
• Mould and Dampness in rental properties

Keep an eye out for the following Information Sheets that will be coming soon:

• Residential Tenancies Amendment Act 2019
• Methamphetamine Guidance for Property Managers

Any questions/suggestions you have, feel free to contact advisory@reinz.co.nz

---

REINZ Residential Rental Review - August 2019

The August REINZ Residential Rental Review is available now - click here.

---

Finding the right tenant - what should I not collect?