Renting a house

The rental market is very varied, with a range of landlords from ‘Mum and Dad’ operators to professional investors and managers.

Fixed-term residential tenancy agreements are often short to medium term. Longer fixed-term contracts are relatively rare. Some landlords offer periodic tenancy agreements, which continue until either the tenant or landlord gives notice to end it. 

Prices vary throughout the country, with higher prices in the main centres.

Tenancy Services within the Ministry of Business, Innovation and Employment (MBIE) gives advice and guidance about all aspects of rental tenancies in New Zealand. This includes a guide to tenancy law. The guide is available in English, Chinese, Korean, Arabic, Tagalog, Hindi, Samoan and Tongan. A simplified version is also available. Tenancy Services also offers a phone helpline for information, as well as a mediation service if you have a dispute over a rental agreement.

Phone helpline | Tenancy Services

Renting and you - a guide to the law about renting | Tenancy Services

Short guide to good renting | Tenancy Services

The Law

Tenancy agreements

A tenancy agreement is a legal requirement for renting a property.

Where to look

You can find rental properties through letting agents such as real estate agents, or by contacting landlords directly. A popular privately operated website where you will find lots of rental properties advertised is TradeMe Property. Browsing around this website will give you an excellent overview of rents and the types of property available in the area youa re considering.

There is high demand for good places, so it pays to make contact quickly.

Residential property | TradeMe

Rents

In New Zealand, rent is advertised as a weekly price, rather than monthly. 

As they do in every country, rents depend on the quality, location and size of the property. To give you an indication, TradeMeProperty reported that the national median weekly rent in August 2018 for a small house (1-2 bedrooms) was NZ$390 a week and NZ$525 for 2-4 bedrooms.

However, there are wide variations. Auckland’s median for 3-4 bedrooms was NZ$600, and up to NZ$850 for larger or more desirable homes.

Excluding Auckland, the national median for 3-4 bedrooms was NZ$460. 

When you first rent a place you will need to pay some rent in advance, as well as a letting fee if you use an agent. Letting fees are normally one week’s rent plus GST. A landlord can ask for a maximum of two weeks’ rent in advance.

You will also need to pay a bond, which can be the same as up to four weeks’ rent. So you need to be prepared to pay up to the equivalent of six weeks' rent upfront.

You will get the bond payment refunded at the end of your tenancy, provided you leave the place in good condition. To help avoid trouble at the end of a tenancy, bonds are lodged with and held by Tenancy Services, not the landlord. 

To find out more about market rent - what renters typically pay in specific areas - check the Tenancy Services website.

Rent, bonds and bills explained | Tenancy Services

Market Rent | Tenancy Services

Rent Price Index | Trade Me

Starting a tenancy

Find out what you need to know when you're starting a new tenancy.

Tenancy Services

Insurance, council taxes and costs

If you are renting, the landlord is responsible for insuring the building. Tenants are responsible for getting cover for their own possessions and liability for any damage they or their guests may cause to the property.

Taxes imposed by the local council (rates) are paid by the landlord. Day-to-day running costs like electricity or gas are paid by you, the tenant.

Some homes have water meters, in which case tenants must also pay for the water they use.

Sharing accommodation or 'flatting'

Sharing a house or ‘flatting’ is common in New Zealand, especially if you are younger and do not have a family.

Flatting has the advantages of living with people who know the local area and reducing the need to buy furniture and appliances. 

Another option for shared accommodation are boarding houses. They offer rooms with shared kitchens, bathrooms and living areas. 

Your Rights

Flatting disputes

Boarding houses are covered by the Residential Tenancies Act, but flatting arrangements are not. Disputes about flatting that cannot be resolved can be dealt with by the Disputes Tribunal.

Disputes Tribunal

Cost of flatting

Nationally, landlords were seeking around NZ$153 for a room in a 3 to 4 bedroom home in July 2015. Flatting costs vary widely, depending on the desirability of the property and the room and the location. 

In some flats, everyone shares cooking duties and the costs of buying food. In others, everyone buys and prepares their own food. Other costs like electricity are shared. You should work out agreements about making payments, food, bills and notice periods before you move in. You may find it useful to have these agreements in writing and keep receipts for any payments you make. 

Finding a flat

People looking for new flatmates (or ‘flatties’) usually advertise on TradeMe in the ‘Flatmates wanted’ section. Boarding house vacancies are also advertised there.

You will find advice about flat sharing agreements and other matters to consider when sharing accommodation on the Tenancy Services website.

Flatmates wanted | TradeMe

Flatting 101 | Tenancy Services

Insulation

From 1 July 2019, all rental homes must have insulation in the ceiling and under the floor that meets the required standards. This is the landlord's responsibility. For more information about the new changes, check the Tenancy Services website for more information. 

Is your rental home insulated? | Tenancy Services

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Page last updated: 12/10/2018

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