How Landlords Can Now End Tenancies

After 11th February 2021, how landlords can terminate tenancies has drastically changed. We're explaining the important changes in detail, helping you stay informed.

Fixed Term Tenancy Agreements Will Convert to Periodic Tenancies

After the 11th February, when a fixed term tenancy comes to an end, it will then automatically become a periodic tenancy unless:

  • A landlord gives notice using the reasons listed in the Residential Tenancies Act for periodic tenancies (outlined below).

  • A tenant gives notice for any reason at least 28 days before the end of the tenancy.

  • The parties agree otherwise e.g. to renew the fixed term or to end the tenancy.

Landlords Can Only End Periodic Tenancies If:

The landlord issued a tenant three notices for separate anti-social acts in a 90-day period.

  • The landlord gave notice that a tenant was at least five working days late with their rent payment on three separate occasions within a 90-day period.

  • The landlord will suffer greater hardship than the tenant if the tenancy continues.

Landlords Can Give 14 days' Notice When:

  • The tenant physically assaulted the landlord or their family and the Police laid a charge.

Landlords Can Give 63 days' Notice When:

  • The owner, or their family, requires the property to live in. Keep in mind that under the Companies Act, Companies Ltd cannot give notice because they do not have family members - whether this also includes Trusts is yet to be determined.

  • The landlord customarily uses the premises for occupation by employees or contractors and the premises are needed for that purpose (and this is stated in the tenancy agreement).

Landlords Can Give 90 days' Notice When:

  • The owner intends to put the premises on the market.

  • The property has been sold with a requirement by the owner for vacant possession.

  • The landlord is not the owner of the property, and the landlord’s interest ends.

  • The premises need to be vacant to facilitate the use of nearby land for a business activity (and this is stated in the tenancy agreement).

  • The landlord wants to change the use of the premises to a commercial use.

  • The landlord intends to carry out extensive renovations at the property and it would be impractical for the tenant to live there during that process.

  • The premises are to be demolished.

  • Reasons specific to social housing tenancies.

In addition, tenants who are experiencing family violence can withdraw from a tenancy by giving two days’ notice, accompanied by appropriate evidence of the family violence.

Final Thoughts

This is only one of the many changes coming to pass in 2021, which includes an increase in penalties for landlords who get it wrong. To avoid any difficulties and help ensure this new tenancy termination law isn't a concern for you, the best course of action is to ensure you have great tenants from the very beginning. Our Quinovic offices thoroughly review all prospective tenants using industry-lead background checks, including credit, landlord and employer checks, as well as online screenings. It's important to make sure you get the best tenants into your property.

If you're concerned about how to select reliable tenants for your property, get in touch with us today. Our Wellington Property managers can do it all for you. We manage property in the Wellington and Hutt Valley regions. Feel confident you're looked after by our property management services.

Find out how our Care & Return System will benefit you and your Wellington investment property - get in touch today!

Call Jordan Atkinson - 027 297 0873

Quinovic Kent Terrace | Wellington

Call Allan Hartley - 027 522 9084

Quinovic Johnsonville | Wellington

Call Helen Vance - 027 487 8103

Quinovic Hutt Valley | Wellington

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