News

Will new insulation regulations lead to higher rents?
By Anonymous on July 29, 2016

Stuff.co.nz has reported (01/07/2016) that landlords are saying insulation regulations will lead to higher rents.A landlords' organisation has stated that Kiwis in rental properties could face a rental increase of $15 a week as a result of the new rules.

New tenancy rules will come into effect tomorrow which means all social housing properties will need to have ceiling insulation and underfloor insulation installed to 1978 standards. Levels of insulation will have to be declared for all new tenancy agreements.Andrew King, NZ Property Investors Federation, says that the new insulation requirements would only affect rental prices for houses which had insufficient insulation, which is not many properties.

Mr King said that although the rent increase would be around $10-15 a week, it would still be a significant amount for struggling families.

The Government estimates that 280,000 rental properties are currently not insulated to the correct standard. 100,000 of these will receive an exemption due to difficulties in insulating them.Phil Twyford, Labour housing spokesman, said that this bill is a small step in the right direction to ensure that slum landlords stop renting out houses that are mouldy, cold and damp. He would like to see heating included in the tenancy laws to help improve living conditions for tenants.