Manawatu Tenants Union
July 31st. 2018
Did you know that there will be more,yes more than 1.6 million people in New Zealand who will be 65 or older, that's around about a quarter of the entire population.In the 2006 census showed that around 64% of those aged between 65-69 owned a home,but in 2013 that figure fell to 60%,There were problems in the 2018 census due to going on line for the first time, the numbers engaged in the census seem to have decreased and the results may not be accurate,leaving a higher number of pensioners in need of affordable housing.
There also appears to be an increasing shift for older New Zealanders to provincial and rural areas,this trend is only going to increase in the future.Those few local councils which are still engaged in the provision of accommodation,will require financial support from central government in the provision of pensioner housing stock.Previous low interest loans provided local authorities with assistance to build more needed housing,the provision of low interest loans was good policy as it worked with the goal of building better communities.This policy was disestablished under the Bolger National Government,as they were only interested in market forces in the provision of affordable rental accommodation,the market will provide was their gospel.The sell off council pensioner housing around New Zealand was a scandal and we are now paying the price for these short sighted policies from the then National government.It should be noted that many councils just let their housing stock fall into poor condition whither this was deliberate policy we don't know.
July 30th. 2018
Theresa May British Prime Minister Speech on Housing
Renters must be treated like'' human beings'' Prime Minister May said in a speech to the National Planning Conference.She pledged to protect tenants from exploitative landlords ''cowboy agents''.Tenants are all too often seen as an inconvenient commercial necessity rather than as individuals with rights and needs.
In a wide ranging speech she highlighted that she had plans to investigate longer tenancies ,ban letting fees and support a warrant of fitness for all rental housing,to make sure all rental property was fit for purpose.
The Prime Minister also said that with no regulation in property management, the door has been left wide open for ''cowboy agents'' with tenants paying a heavy price for the law at present.This is the problem here in New Zealand where agents have too much power and control tenants lives as there is no security of tenure in New Zealand,the agents hold all the cards.Many landlords and agents treat tenants as cash-cows and just ignore basic housing standards.
All this from a Conservative Government but I am sure that the ideas will not happen.
July 25th 2018
Housing Today / Comments
The last Government failed to take any notice of the impact of its housing policies have had on peoples lives.The mess created is entirely the result of the terrible policy decisions they made.It would seem that no member of the then government looked at the evidence of the causes of the crisis.
One idea worth revisiting to bring back some sanity back to the rental housing market is to let Councils borrow more at low interest rates,just like before.At last we have a government that acknowledges that the damage to the rental housing is causing serious problems for families. More New Zealanders see homelessness and high rents as unacceptable,unfair and not in New Zealands best interests in the long term.
July 24th 2018
Just had a look at the latest blog from Real-IQ,a Wellington based property management company that has an interest in encouraging landlords to join them or other property management agencies.Hence they are big supporters of the regulation of property managers,who have an big say in the lives of tenants, the power and control managers have to be taken out of the game and have respect for the tenants who provide them with a reasonable income.
The Renters United gathering in Wellington on July 11th, launched their ''Plan to fix Renting''.Some of the ideas which were mentioned were ''No Clause Evictions'' where the landlord should have to give a reason for an eviction.Also discussed was that a tenant would just have to give 7 days notice to move out,This is not a good idea that would work for everyone,families with school children need longer in a tight rental market to find accommodation in the same neighbourhood. One good thing about the 7 day notice is that tenants do not have to be two rents while securing another rental property.Which is a big issue for tenants.
Rent control was brought into the conversation,with landlords being against any form of rent control.The fact that rents were high and incomes low did not cut it with the landlord set.The accommodation supplement,which is a landlord subsidy already costs the New Zealand taxpayer around $3 Billion and climbing.Some form of rent control will have to be looked at,as the number of people renting is on the move,with more people in rental accommodation than ever before.The culture of renting has arrived in New Zealand after a long period of home ownership which was the preferred option for New Zealanders.
The National / Maori Party /Act government have a lot to answer for the removal of housing policy that worked for the majority of the people of New Zealand,we had one of the highest home ownership rates in the developed world ,now we are at the bottom of the ladder.The gathering was great,a bit like the old New Zealand Network,which was starved of funding by the National led government and died.The Minister of Housing did not like their failed policies to be highlighted by those who worked in the sector. A New Zealand Tenants Union has to be the next step for those fighting for tenants rights and obligations,there is strength in unity to maintain houses fit for purpose at an affordable rent,a living rent.
July 10th 2018
The Practice of Rent Bidding.
Rent bidding,a practice common in cities where housing is difficult to secure,is based on the landlord or property manager asking prospective tenants what price that they would be prepared to pay for the property.The winner is the one who can pay the most after outbidding all the other tenants,there are few if any checks done to check that the tenant is a good risk, just a good payer of the inflated rent being asked.
It is just an unacceptable business practice which has taken root in New Zealand,mostly in larger metropolitan cities.
The practice of rent bidding disadvantages average income tenants,there is nothing fair about this business practice,just a case of who has the fattest wallet.It is yet another indication just how far we have changed from once being a fair and caring society,to one where greed is acceptable.
Housing Minister Phil Twyford has said that a review of tenancy laws is underway,and they would consider what can be done about the practice of rent bidding.
The rental market has changed in New Zealand with renting now the norm for increasing numbers of New Zealanders.Rental laws have to reflect the changing rental landscape that is New Zealand today.
July 9th 2018
Did You Know
Submission's are being heard in Wellington at the select committee hearing's over the issue of letting fees which property managers charge tenants for signing them up to a tenancy agreement.This practice is now banned in all other like minded countries,it is seen as a fee that should be paid for by landlords.
One of the submission's warned that property managers could become creative and charge costs,when letting fees are banned [break lease fees - pet bonds-administration fees ].
It is good that creative fees are getting some oxygen and that the select committee will legislate to prevent these from becoming law.All that should be required is the present 2 weeks rent and up to 4 weeks bond no other fees,the fees are another cost to the tenant on top of the 6 weeks in advance.
Policy Paul Barber [ New Zealand Council of Christian Social Services ] made some pertinent points.
Disproportionate cost of letting fees on vulnerable tenants. Half of the New Zealand population, more than 2 million people are renters.Most people living in poverty were renters,very few of the wealthiest and high income earners are renters.Two thirds of people of Pacific ethnicity rent Maori also figure high in the rental league tables,while less than a third of European ethnicity rent.
7 out 10 children live in poverty in rental housing and they are likely to spend most of their lives in rental accommodation.
Most tenants are more likely to move around seeking affordable and decent accommodation and these moves make the tenants incur more costs with letting fees.The banning of these fees has been long over due and the facts above can testify for the need to abolish letting fees.
It is now the time to end the social apartheid that has become mainstream in a country that once prided itself on being an egalitarian society.Lets help make New Zealand a great place to call home,my place.
June 5th 2018
Just say''NO''to market rents for council tenants.
It was great to see that the Palmerston North City Council decided to say to no to market rents for their pensioner housing .It was rumoured that 12 councillors were in favour of the market rent increases.On the day the vote went the other way,with just 4 councillors voting for the increase.The gang of 4 were Karen Naylor,Susan Baty,Vaughan Dennision and Jim Jefferies the penny pinchers.They did not care and showed little or no empathy for tenants living on low incomes.
At the end of the day it was a fair result for the common good as well as common sense.The Manawatu Tenants Union along with many others who were active in writing submissions and spreading the word to highlighting the issue. I think the City Council thought that it was a done deal,but there was outrage when it was made public and was seen as another attempt to impose a council tax on those who could least afford it.
The gang of 4 all have strong connections to the National Party and their ideology of ''no government involvement in providing rental housing'' But there is no doubt that they will try again to impose market rents for council housing,their long term goal is to move out of providing public housing.
We will be vigilant on keeping a eye on them as housing is a basic human right and the benchmark by which a civilized community measures itself.
May 14th 2018
A Tale of Two Cities
Palmerston North has a large number of students who choose to study in the city,they share flats and they all contribute to the rental costs of their accommodation.This is not the case with the pensioners who rent their accommodation from the City Council,many of whom live alone.The Palmerston North City Councillors intend to increase their rents to market rents at present they pay a fair rent considering their low incomes.
Rumour has it that their are 12 councillors who are very much in favour of pushing ahead with the market rent increases and that 4 are against these large increases in their rental costs.There is a sizable gulf of opinion between the city councillors and pensioner tenants,so much for the caring city that the council tries to portray to the wider community.
It is vital that there is affordable accommodation for this sector of our city,these are people who don' have a voice or choice in their accommodation needs.The City Council appears to have become complacent on the issue of charging market for those who can least afford to absorb these draconian increases.
The Palmerston North City Council has to show leadership and a certain amount of empathy towards its low income tenants,not penalize them. The City Council has a good name as being fair and decent landlord,it will be a blot on its good name if they move to introduce markets rents, this ideological policy has to stop in the interests of the wider decent community that represents fairness for pensioner rents.
May 11th 2018
The MTU presented its submission to the Palmerston North City Council ,the Housing Advice Center followed us with their submission.The submissions were concerned about the City Council,who seem determined to introduce market rents for their their pensioner housing.There are 12 councillors who are for the for the introduce of unfair rents and 4 who are against proposed increases to market rents.
Pensioner market rents is not about redistributing the crumbs from the city council's table but restoring fairness to its elderly tenants.Taking from those who have the least to give,is just plain wrong.
There is a sizable gulf it would seem between the City Councillors and their pensioner tenants.It is vital that there is affordable housing for the weak and vulnerable who don't have a voice or a choice.How we as a city look after our pensioners is a good indication of a inclusive and caring community.The city council it would appear has become complaisant on the issue of charging market rents for those who can least afford them.Housing affordability is a serious issue for many New Zealanders,we think that the Palmerston North City Council should show leadership and empathy with their low income tenants.
Palmerston North City Council along with Housing New Zealand provide a level of security of tenure that is not available in the private sector.This security is vital to the tenants as it provides better health outcomes and less stress and they feel connected to a neighbourhood.
As they get older they don't need more worries about their accommodation costs,many only want to contribute to their community in which they reside.Housing is a necessity not a commodity.
May 4th 2018
Housing Policy That Works.
Sounds simple but Finland have a housing model called
''Housing First '' and it shows it's always more cost- effective to try to end homelessness rather than manage it.The ''Housing First '' appears to work,from 2008 to 2014 the number of people who were homeless decreased by 1200 and continues to fall.Finland is the only European country where this has happened,so their policy works for the homeless,and the wider community.
The model is quite simple ;when people are homeless,you give them housing first - a stable home,rather than progressing them through several layers of temporary and transitional accommodation as is the practice in New Zealand.The idea stems from the belief that people who are homeless need a home,other issues can be addressed once they are in stable housing.It is accepted that having a home can solve health and social problems much easier.
Implementing housing first is not reasonable without proper housing options.In Finland,housing options included the use of social housing ,buying flats from the private sector to be used as rental apartments for homeless people,and building new housing blocks for supported housing.An important part of the programme was the extensive conversion of shelters and dormitory - type hostels into supported housing,to address the huge need for accommodation that offered help to tenants.
All this cost's money,but there is ample evidence from many countries that show it is always more- cost effective to aim to end homelessness instead of simply trying to manage it.
Investment in ending homelessness always pays back,to say nothing of the human and ethical reasons.To say that the scarcity of funding is the reason for the lack of affordable social housing is either an understatement or a conscious misunderstanding.It is simply a question of political will.
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April 11th. 2018.
Did you know that the Palmerston North City Council intend to increase the rents of their pensioner flats to full market rents.The reason being given by our city councillors is that the increases can be ring fenced to construct additional flats,sometime in the future.But why should those who can least afford it be forced to pay for the construction of new pensioner units?
So make it your business to grab a submission form from the councils office in the Square or go on line,all you have to say is ''Market rents for pensioner flats is not fair''
So show your support for the pensioners,submissions have to be in by April 23rd.Now is not the time to be complacent,these are people who have served the city well and don't need to be penalized in this way.
I think this could be the first step to privatize, the councils pensioner flats,they may try to set up a trust and market rents could come in through the trust.The councillors believe pensioners can go to work and income and the increase will be paid,this is not always the case,believe me.
Make your views known to the councillors,after all they work for you whither you own or rent your home.
The PNCC web page is pncc.govt.nz
April 9th 2018
Good to read the report from Consumer NZ
who support the growing number of tenants and housing agencies who say the need for some form of regulation of property managers is needed now.
As a country New Zealand lags behind other developed countries in this area of property management,there is no regulation of property managers what so ever.You don't need any qualifications to manage rental properties,yet you deal with serious money in rents and have a lot of power and control over tenants lives.
As we mentioned,property managers are regulated in other countries,it is common practice and needs to happen here.Tenants are used to being ignored by property managers and tenants complain to being bullied or threatened with eviction or being blacklisted from ever getting another property. While most tenants / landlords get along.Those landlords who use property managers,have no idea off what is going on in the management of their investment.
So after all the publicity, lets hope that the government look's at implementing some form of regulation or to be licensed to be a property manager.We will follow this with interest,as tenants are in the majority and there is at long last, a culture of renting developing in New Zealand and there needs to be balance in these housing issues,concerning the wider community.
March 22nd 2018.
Letting Fee's
At long last there is legislation being introduced to Parliament to ban letting fee's when seeking rental housing.This bill will bring New Zealand in line with many other similar countries around the world on the issue of letting fee's.The Manawatu Tenants Union has always spoken out for the removal letting fee's as it a service landlord's should be paying for.
At present tenants have to come up with 2 weeks rent in advance and in most cases 4 weeks bond plus connection fees for power.The present Government recognises that the ban will go a good way to assist struggling families in particular.It should be noted that the fee is 1 weeks rent plus GST. Every little bit helps when seeking affordable rental housing.
Here in Palmerston North to move into an average 3 bed roomed property it will set the tenants back at least $2,400 just to secure a property.So removing the letting fee will be of great help to those seeking affordable rental housing,so good on the present Government for assisting the increasing number of New Zealander's who have to rent their home for them and their children.
Lets hope that some form of regulation concerning property managers is not to far away,and it will assist in the balance of power and control that property managers have over their tenants lives.
Have just read an article in the newspaper concerning unclaimed bond monies around $37 million.The Manawatu Tenants Union along with other housing groups,would like to see some of this unclaimed tenants bond money returned to tenants groups,after all it is tenants money.This issue has been around for a very,very long time,a little bit of this massive unclaimed money could go to support tenants groups deliver better education advice and information services to tenants.Like I said this issue has been around a long time and we have it brought to the attention of all political parties to no avail to date.But as a tenants group we like tenants are used to being ignored,it just falls on tin ears,as renting is on the ascendancy in this country.It is time for government to reconsider looking at the issue of returning tenants money to housing groups who work on their behalf in seeking a fair deal in the rental market.
Which leads nicely on to the issue of the behaviour of property mangers,the time has also come for them to be regulated as many make life hard for their tenants with their power and control over the lives of tenants. Tenants need a fair good over bully boy tactics used towards them if they complain about stuff that needs fixing.The MTU would be interested in hearing from tenants who have or are having bad experiences from their property manager,as we intend to get the law changed to have property managers to be more accountable to tenants.
So if you feel like it just give the MTU a ring on 027 5422 071 or call into the office we will not give your name or address to anyone,we just need to find out just how big the problem is.The introduction of a licence is needed now as the growth in tenants is set to only increase significantly over time.So be part of the solution and contact us,OK.
March 21st 2018
Hi There,the MTU has had a few computer issues which has lead to our lateness in getting onto our blog,sorry.
The Palmerston North City Council has just released its 10 year plan for the city'' What's the big Picture'',get a copy from the city council it's free to everyone.It is well worth a read,and let's you know what the council plan's to do to make Palmerston North a great place to call home.
Housing get's a mention as the city council plan to introduce market rents for its pensioner flat's,so let the councilor's know your views on this serious issue,they are there to assist you on any issue.Remember we the residents pay their salaries through the rates and everyone contributes to the rate's not just property owners,OK.
The Palmerston North City Council [PNCC]plan to implement market rents for it's pensioner flats,so that the income will be ring fenced to build more units,take's a bit of believing.
They are using the notion of building more unit's as a way to move to market rents without causing outrage in the wider community.It's their way of achieving the goal of increasing pensioner rents,sitting tenants will be excluded from the increases,only new tenants will pay the market rents.
The PNCC record to date on its commitment in building new council housing is not great.But to there credit they are good landlords who set the bench mark for the private sector,and have not sold their housing stock despite the pressure from previous councilors to do so. The PNCC at present seem's to see it's pensioner housing as a commodity and not a necessity,the proposed move to market rents tends to confirm this view.
So ring the mayor's office [06 3568199]to voice you concern's, this will impact on pensioners no matter what financial help is available to them,they will be paying more rent from their own pockets.
Market rents for state housing introduced by the National Government was a disaster for all concerned,this will go the same way.Why should tenants on low income's have to pay for new pensioner units ?.
February 22nd 2018
I have just been looking at some of the comments made by landlords over the direction that private rental housing is heading.The building of many more state houses is common sense as the need is there for all to see.But some landlords have sold their rentals as they think that the present government is trying to push private landlords out of the market.Some one would have bought the properties so they are still in the market place,the cost of rents is another matter.
Private landlords control the New Zealand rental accommodation market,state involvement is minimal,which has lead to the housing crisis.For many generations New Zealand governments from both parties made a commitment to provide affordable housing for all who needed it. This commitment was broken under the 1990 National government who introduced housing policies in 1993 which has lead to the housing crisis that many face today.These policies along with others brought to an end New Zealand's reputation as an egalitarian society and introduced the broken society which is with us today.
The present government should be supported by New Zealanders who believe in fair society,which benefits the country as a whole,instead of divide and rule.
Housing is a human right,the cornerstone of family life that should never be forgotten.We will be taking a big interest in the Palmerston North City Council who are interested to introduce market rents for their social houses.
February 12th 2018
Transformation Government.
Housing experts are expecting a big drop in house prices based on the new governments housing policies.That is to be expected from the business class who really don't have any time for a more fair and open government.They state that investors will not be buying more investment properties because of a slowdown in population growth and net migration.Investors can also expect to see the end of their ability to off-set rental property losses,against their other income streams.
The previous government did not grasp the scale of what was required to tackle the housing crisis that their policies created.
In Palmerston North,planning is underway, Housing New Zealand [HNZ ] will be constructing new modern one an two bed roomed homes They will be low maintenance and will be insulated with carpets and curtains and double glazing.
There will be some in fill housing which is set to start soon, [HNZ]they will be talking with their tenants to answer any questions over the issues,so good on them, some action on state housing after years of neglect by the National Government.
February 7th 2018
Families struggling to live in cramped temporary accommodation which is the situation in New Zealand,need secure affordable homes.But that seems a long way off,as the new government has just started its rebuilding programme and ended the sell of state housing which was the hall mark of the previous government.Everyone in the previous government just refused to admit that there was a problem and that their polices concerning rental accommodation were working.The fact that the taxpayers had to pay for the purchase of motels and the leasing of motels for the homeless seemed to many, that here was a crisis in the rental housing market.The paying of low wages by employers and the selling of state assets[ state housing] and the accommodation supplement paid to landlords,created the perfect storm to create the homeless problems we face today.
So with a new government we hope to see a large rebuilding project around the areas that need help with their housing problems.Tenants,now make up the biggest sector of the housing market,home owners come second.Generation Rent is the future for most New Zealanders,their biggest assets will be their cars as they will be priced out of the home ownership market.
Homelessness has exploded over the last number of years,the main reason being rent arrears,which highlights the difference between low wages and high rents.New Zealanders like to think that they live in a fair society, but the differences between the poor and those on higher incomes is vast,we really do have a class issue Maori and Pacific Islanders could tell us that.
The new Labour led government will give the serious attention that rental housing deserves.
January 31st 2018
We live in a country that is obsessed with home ownership.The
housing policies
of most political parties is still driven by the assumption that home ownership is the choice for everyone who can afford it.
But what is home ownership meant to provide that other types of housing cannot? A recent survey by The University of Birmingham [ England ] found that social renters were less likely to be as anxious than home owners,after considering factors such as poor health,low incomes and the stress of bringing up a family.But living in social housing played a positive role in helping tenants deal with stresses and provided emotional as well as financial security.In fact most tenants felt that they were not missing out on the dream of home ownership with all its strains and stresses of financial struggles to keep their home.
Making more homes available for social renters is a financial and political challenge for the government,but is the right choice as home ownership has slipped away for many,at least a generation or two.
The present government has the opportunity to transform the rental housing market from the destruction of social housing by the previous government,let all New Zealanders support them on this transformation,it is in everyone's best interest.
January 26th 2018
Welcome to 2018,from everyone at the Manawatu Tenants Union.
Now that the students are returning to the city,we welcome them back,they are the sector that drives the rental market in the city.We have heard that the market is very tight at present,reasons vary to the fact that the population has increased along with more migrants arriving.
Student allowances have been increased and this has only lead to increased rents being asked for.Landlords are running a business and work for the private good not the public good,that should be kept in mind.Are concern is that while students can pay the rent living in the flat.This very often not the case for families with children many of whom, live on a fixed income or just one income.
When seeking accommodation,remember to check out the Housing Advice Centre they are based in King Street ,Trade Me is also the other source for accommodation seekers.Good luck.Please remember to use our web page to find out more on your rights and obligations as a tenant,don't leave it to chance.
The new Labour led government promises to be the most transformative government in a generation.After 9 years of neglect by the National government things will change for the better.The demolition of state housing along with the selling of state housing will cease and the homeless this created will take time at leased two terms in office to address the issue of homelessness.
Tenants rights are also being given a much needed lift concerning the changing nature of the provision of rental accommodation in today's New Zealand.Letting fees will be abolished,which brings the country into line with other western countries.A reason will be required when a tenant is issued with a 90 day notice by the landlord/ agent,at the moment it is not required.42 day notices will be be increased to 90 days the reason given is this will give tenants more time to find suitable accommodation which will be good for families with children in the local school and gives much more stability to the family and the wider community.Rent increases will be limited to once every 12 months ,at present the rent can be increased every 6 months with 60 days notice given to the tenant of the increase.
We will keep you up with the changes and don't forget to contact us if you have any issues with you landlord/agent,ring 027 5422 071 anytime or call into the office in Community House 77 King Street.
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