21 January 2025

Understanding RTA Changes: Tenancy Terminations

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Understanding RTA Changes - Tenancy Terminations

Changes to the Residential Tenancies Act 1986 are being rolled out, and one update regarding tenancy terminations will come into effect on 30 January 2025

Whether you're managing a property or renting a home, staying informed will help you navigate the new rules with confidence. At Quinovic, we specialise in property management and are here to make sense of these changes for you. Here's what you need to know.

 

Periodic Tenancies

Ending a periodic tenancy without a reason

Landlords can end a periodic tenancy without providing a specific reason by giving at least 90 days' notice.

 

When landlords can give at least 42 days’ notice:

  • The landlord or a family member needs to move into the property as their primary residence within 90 days of the tenancy ending and will live there for at least 90 days.
  • The property has been has an unconditional sales and purchase agreement in place, and the agreement for sale requires vacant possession.
  • The property is needed for employees or contractors, as specified in the tenancy agreement.
  • Extensive alterations, refurbishment, repairs or redevelopment of the property are to be carried out by the landlord or owner.
  • The property is scheduled for demolition.

 

Notice for tenants

Tenants can end their periodic tenancy by giving at least 21 days’ notice.

 

Important transition rule

If a landlord gives 63 days' notice before 30 January 2025, they cannot change it to 42 days after the new rules come into effect.

Fixed-Term Tenancies

Ending a fixed-term tenancy

  • Fixed-term tenancies will not automatically end when the term expires unless either party takes action.
  • Landlords or tenants must give notice between 90 and 21 days before the fixed term ends. No specific reason is required for this notice. Alternatively, both parties can agree to extend or renew the tenancy.

What happens if no action is taken?

  • If no notice is given, the fixed-term tenancy will automatically roll over into a periodic tenancy.

Key dates to remember

  • For tenancies starting on or after 11 February 2021 and ending on or before 30 April 2025, the current rules apply.
  • For fixed-term tenancies expiring on or after 1 May 2025, the new rules will apply.

Next steps

This is one of several changes to the Residential Tenancies Act that will shape tenancy agreements in the coming months. Staying informed is essential to ensure compliance and avoid unnecessary complications.

At Quinovic, our teams stay ahead of these updates to make tenancy management easier for you. For advice on how these changes impact your tenancy, contact your Quinovic property manager or visit the Tenancy Services website.

 

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Any one of our experienced teams from throughout New Zealand will be able to assist. 

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