A rent review should begin with evidence about the property and the current market. It is an opportunity to test an assumption, not an automatic instruction to increase the rent. For Christchurch owners, similar properties can still differ substantially in condition, heating, parking and included chattels.
Build a short comparison file showing the date, location, property type, bedrooms, bathrooms, parking and relevant features. Explain why each comparison is useful and where it differs. Keep advertised asking rents separate from known achieved rents. A broad area figure is context, not a valuation of your individual home.
Review the property’s presentation, outstanding work and availability alongside the evidence. Ask how enquiries and viewing feedback support the proposed approach. An ambitious asking rent needs to be considered alongside the cost of an extended vacancy.
For ordinary residential tenancies, rent increases generally cannot take effect within 12 months of the tenancy starting or the previous increase. At least 60 days’ written notice is required, and a fixed-term agreement must permit an increase. There are exceptions and specific requirements, so check the agreement and current Tenancy Services rent guidance before serving notice. Keep the notice and service record.
The following is a simple illustration, not a Next Step forecast or fee quote. At $600 a week, 52 weeks of rent is $31,200. Two weeks without rent reduces receipts by $1,200 before any other costs. That shows why occupancy and timing belong in the discussion alongside the advertised price.
Allow for management and letting charges, rates, insurance, maintenance, compliance work and vacancy. Lending, tax and major capital work can materially change the result. Use our rental yield calculator to explore entered assumptions, and take appropriate accounting or financial advice for your circumstances.
A useful review leaves a record of the decision and reasons, including a decision to retain the current rent. Clear communication helps the tenant understand what is proposed and when.
Request a rental appraisal or contact Alysha Kinnaird on 021 778 020. Our Investment Information Guide request and landlord hub provide further starting points.