'Stripping them of their rights': Greens on Nats' rental proposal

The Green Party says National's proposed changes to tenancy laws would be "stripping [tenants] of their rights" to stable and secure housing, but a property investor has backed National's claims current rules are a disincentive to rental supply.

It follows National Party housing spokesperson Chris Bishop's announcement today that the party would bring back no-cause rental terminations and scrap rules which allow fixed-term tenancies to roll onto periodic tenancies, should it be elected to government at the election.

Today, Green Party renting spokesperson Chlöe Swarbrick told 1News National was "back up to their old tricks" basing policy on conversations "with a few landlords".

She said that was not an evidence-based approach to law-making and it wouldn't see the country live up to international commitments to consider housing a human right.

Swarbrick said it would fuel "deep inequality and unfairness".

"You don't solve a rental crisis by continuing to enable land speculation.

"You don't empower tenants by stripping them of their rights to stable and secure housing, as National is pitching."

She said the Green Party supporting "internationally proven solutions to improve the situation for renters", which included rent controls, a rental warrant of fitness, and a register for landlords and property managers.

"We're working to improve the lives of the one and a half million New Zealanders who rent, not the speculative asset portfolios of the richest in this country."

New Zealand Property Investors' Federation vice president Peter Lewis said it was "very true" the current rules - which National hoped to change - did indeed mean some properties were left empty.

He said people who had holiday homes in places like Queenstown or Taupō, or who wanted to travel overseas for a period, would have "great difficulty" getting possession of their properties back when they returned.

Lewis said that meant people left properties vacant or put them on Airbnb instead of renting them out.

"That reduces rental supply and what happens when supply is low? Rents go up."

He said his group "strongly support" the reinstatement of so-called no-cause tenancy terminations - something he clarified was technically a no stated cause termination.

Previously, landlords did not have to give a reason to terminate a tenancy, but he said "no landlord throws a tenant out for no reason".

"Any break in occupancy means you lose money."

Under Labour's changes, periodic tenancies could no longer be terminated without a reason - and that reason must meet criteria in the law, such as the landlord intends to sell the property or is doing a major renovation or redevelopment, changing the property to a commercial premises, or if the landlord or a member of their family is moving into the property.

Lewis said that became a problem when a landlord had a "difficult" tenant who came close to breaking rules but didn't cross the line - such as one he had experienced who was always late with the rent, but would pay a little bit just in time to avoid breaking rules.

Another had complained about dandelions on the lawn, he said, while others were "disruptive" and caused upset to neighbouring tenants who then wished to move out as a result.

"Our tenants are our customers. We value tenants who are good to deal with."

He said not having to state a reason to terminate a tenancy was "quite useful" for terminating the tenancies of those difficult clients "before they get too feral".

"[It's] very hard to get rid of these people."

Labour Party housing spokesperson Megan Woods said there was "absolutely no need" for the change as the status quo balanced landlords' rights with renters' need for "some degree of security".

“There are a number of legitimate reasons to end a tenancy, and the rights of landlords are protected to terminate a tenancy under a range of justifiable reasons.

“This includes where a tenant has engaged in anti-social or illegal behaviour or is at least three weeks in rent arrears.

“But it’s only fair for a tenant to know why their tenancy is ending and have the opportunity to dispute it."

She said there were plenty of great landlords offering excellent rental accommodation to tenants and hundreds of thousands of people in rentals who needed secure tenure.

“National pitching this as the answer to rental inflation shows it still doesn’t understand the question or doesn’t care.

“New Zealand has a housing crisis that was decades in the making and is still being fixed. It needs more housing to meet demand, and only then will rents be more affordable."