Phil Heatley

Wellington, Sept 8 NZPA - Changes to tenancy laws kick in next month.

The Residential Tenancies Amendment Act (RTAA) 2010 was passed in July and will come into effect from October 1.

Housing Minister Phil Heatley said landlords and tenants needed to be aware of changes which affected processes for terminating tenancies, introduced new financial penalties for tenants who harassed neighbours and extended the powers of the Tenancy Tribunal.

"We wanted to strike a balance that offers tenants and landlords equal protection under the Act," Mr Heatley said.

Changes included:

* Clarifying what happens when a fixed-term tenancy expires and the process for terminating a tenancy due to non-payment of rent and other breaches;

* measures to encourage landlords and tenants to comply with their obligations under the Act including a fine of up to $2000 for tenants harassing neighbours and up to $3000 for landlords providing sub-standard housing;

* enhancements to dispute resolution, including increasing the monetary jurisdiction of the Tenancy Tribunal from $12,000 to $50,000; and

* improvements to the enforceability of Tenancy Tribunal orders.