Housing - Renters beware: Six sneaky charges your landlord may push on you

With house prices steadily increasing and no solution to New Zealand's housing crisis in sight, many Kiwis will be stuck living in rental properties for longer than they want to be.

But the laws around these properties can seem confusing and the power imbalance between landlords and tenants means some renters don't feel confident bringing up illegal behaviour for fear of punishment.

Social media is rife with renters asking whether it's legal to be charged for this or that and often the answers are inconclusive - but Newhsub has dug deep so you don't have to to find out exactly what you can be charged for and why. 

Can I be charged a letting fee?

This one is fairly cut and dry. Letting fees were previously charged to tenants when a tenancy was granted - but this was made illegal in December 2018. Sometimes called a brokerage fee, letting agents can still charge a landlord for this - the cost just cannot be passed on to you as a tenant. 

I want to change my tenancy - do I need to pay?

Landlords cannot generally charge for costs around granting, renewing or changing a tenancy - however you can be charged for any lawyers fees incurred in the process.

The other fee which landlords are within their right to charge is called an option fee.

If you viewed a house and were unsure if you wanted to rent it, landlords could ask for payment while they hold it for you - but there are conditions on this.

The money must be refunded or used as rent if you decide to take the property and it should amount to no more than one week's rent. 

I want out of my tenancy all together - can I be charged?

If you're in a fixed term tenancy - yes, yes you can. Tenants are liable to compensate their landlords for loss of rent, potentially right up until the fixed term ends.

However there's a catch - tenants are not on the hook for any financial loss which could have been avoided by the landlord taking reasonable steps to mitigate the loss.

So landlords have to try to replace you - and let's face it, in the current housing crisis, that shouldn't be terribly difficult.

Tenants  can still be charged for the reasonable cost of replacing them - like the advertising cost to find new tenants.

But, as there is a lack of clarity around what is deemed "reasonable" the amount renters can be charged can vary.

I'm leaving my flat and the landlord wants me to pay for professional cleaning - is this allowed?

Unlikely. While this is a common request (and complaint) the Tenancy Services website says it is likely to be unenforceable, as the only requirement for a tenant leaving a premises is for it to be reasonably clean and tidy - it does not have to be professionally cleaned.

My landlord says I have to pay extra bond for my pet - do I have to pay?

The maximum amount a landlord can charge for bond is four weeks rent - this is the limit. Anything more than this, pet or no pet, is illegal. However - if this pet causes damage which is not fair wear and tear, it's on the tenant to pay for it.

This also extends to damage done by a tenant that isn't usual wear and tear so make sure you and your animals are well behaved, otherwise you could have to fork out.

I know we need smoke alarms - but do I have to pay for them?

Absolutely not - smoke alarms are required by law, but it is up to the landlord to pay for them and ensure they remain in working order.

However - if you remove, damage or disconnect an alarm you can be charged up to $3000. Tenants must not tamper with the alarms, and are responsible for replacing dead batteries.

If a landlord fails to install and maintain an alarm , they can be fined up to $4000.