Propertyscouts Monthly Landlord Newsletter - July
Welcome back to the Propertyscouts Monthly Landlord Newsletter, where we update you on all things New Zealand property market, investor insights, seasonal reminders, and more.
Mortgage rates are moving... but what does that actually mean?
For much of the past year, the conversation has been about falling interest rates. But that narrative seems to be changing. Several banks have recently increased their longer-term fixed rates, while shorter-term options have remained more competitive.
Does that mean rates are on the way back up? Not necessarily.
What it does suggest is that the market has become a little less predictable than many were expecting. Earlier forecasts pointed towards rates continuing to fall, whereas now economists are saying the outlook is far less certain.
From our point of view, the biggest takeaway isn't to rush into fixing your mortgage tomorrow. It's simply a reminder not to assume today's lending environment will look the same in a few months' time.
One thing we've learnt over the years is that property investing is rarely about trying to perfectly time the market. It's about making informed decisions with the information you have at the time.
For the data lovers among us...
Not everyone gets excited by rental market statistics. Some people's eyes glaze over the moment they see a graph. Others can't wait to dive into the numbers. If you fall into the second camp, this one's for you.
Trade Me has released its latest Rental Price Index, and while there aren't any dramatic headlines this month, there are a few interesting trends.
Nationally, the median weekly rent has remained relatively steady, but the real story sits behind the numbers. Rental supply continues to tighten in many parts of the country while tenant demand is beginning to edge back up. That's creating a more competitive market in some regions, although it's certainly not happening everywhere.
One thing we've always said at Propertyscouts is that New Zealand doesn't have one rental market - it has dozens. What's happening in Wellington can be completely different to what's happening in Hamilton, Tauranga or Invercargill. That's why we'd always encourage landlords to focus on what's happening in their own local market rather than getting too caught up in the national averages.
The other takeaway? Well-presented properties that are priced realistically continue to attract the strongest enquiry. That's been true in a hot market, it's been true in a soft market, and we'd suggest it'll still be true whatever the market does next.
If numbers are your thing, it's well worth having a look through this month's report.
Compliance is always cheaper than the alternative
A recent Tenancy Tribunal case involving an Auckland boarding house has become a timely reminder that landlord obligations aren't something to put on tomorrow's to-do list.
The landlord was ordered to pay $44,450 in exemplary damages after admitting to multiple breaches of the Residential Tenancies Act, including failing to comply with an improvement notice and failing to provide requested information to MBIE.
While most landlords will never find themselves in a situation like this, the lesson is an important one.
Ignoring compliance issues, failing to respond to improvement notices, or putting off important obligations can quickly become much bigger - and much more expensive - than many landlords realise.
The vast majority of landlords genuinely want to do the right thing, but keeping on top of your legal obligations and responding promptly when issues are identified has never been more important.
Looking after your property isn't just protecting your investment - it's protecting yourself as well. As the saying goes... prevention is almost always cheaper than the cure.
Quote to Ponder
"Success is where preparation and opportunity meet." - Bobby Unser
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Disclaimer
Given the opinions expressed in parts of the email, it’s important that we make it clear that the contents are opinions and observations and made in good faith.
Propertyscouts 2025 Limited, trading as Propertyscouts, and its associated parties (including directors, agents, employees, officers or otherwise) have attempted to provide this information to the best of their ability but do not make any representations or warranties of any nature (intended or implied) as to the accuracy of the information on this communication. All recipients of this communication should conduct and rely on their own enquiries in relation to the information on this communication.
The information available on the properties listed for sale, rent or otherwise, has been obtained from the vendor or landlord of the property and the appropriate professional service providers. We do not and cannot verify or guarantee the accuracy of the information obtained in relation to the properties.
The information and/or materials available in this communication are intended to be general information only and may be changed at any time, without notice to you. The information and/or materials in this communication should not be relied on under any circumstances as a substitute for legal, financial, real estate, or other professional and/or expert advice. To the maximum extent permitted by law, Propertyscouts and its associated parties disclaim all liability, responsibility, and negligence for any direct or indirect loss or damage suffered by any person arising from the information and/or materials presented in this communication or any information and/or materials that arise from it.