18 Nov 2019

Landlords will quit market due to proposed rental law changes - Judith Collins

From Morning Report, 6:44 am on 18 November 2019

The government says changes to the Residential Tenancies Act will allow renters to make their houses, homes, but landlords aren't having a bar of it.

The new rules include limiting rent rises to once every 12 months, banning landlords from rental bidding and increasing financial penalties.

Landlords would also have to explain why they want to evict tenants and give three examples to justify it to the tenancy tribunal.

The Property Investors' Federation is against the proposed changes, saying they punish landlords and communities but lobby group Renters United is welcoming the move.

Judith Collins, the National Party spokesperson for housing, told Kim Hill there's too much stick and not enough carrot in the suggested changes.

"This is primarily an issue about supply and demand and if people want rents to come down and tenancies to be more stable, the best thing to do would be to encourage more people to rent out houses and to be landlords.

"One of the problems we have is that people are finding it is simply not worth the while or the trouble to rent out so they are selling their houses or they're Air B&Bing them."

She wouldn't say if the National Party would dump the changes if it were to become government, but suggested change would be on the cards.

"You would have to wait for the policy, but I'd say you'd find that we would have a policy that would encourage landlords to get into the market, and actually encourage people to also be able to own their own homes, because that is not the way that we're going at the moment."

"This is primarily an issue about supply and demand and if people want rents to come down and tenancies to be more stable, the best thing to do would be to encourage more people to rent out houses and to be landlords.

"One of the problems we have is that people are finding it is simply not worth the while or the trouble to rent out so they are selling their houses or they're Air B&Bing them."

She wouldn't say if the National Party would dump the changes if it were to become government, but suggested change would be on the cards.

"You would have to wait for the policy, but I'd say you'd find that we would have a policy that would encourage landlords to get into the market, and actually encourage people to also be able to own their own homes, because that is not the way that we're going at the moment."