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Residential Tenancies Act 1986

Tenancy agreements - Key money, bonds, and rents

28: Increase of rent by agreement or order in case of substantial improvements, improved facilities, or variation of terms

You could also call this:

“Rent can go up if the landlord makes the house better or changes the agreement in a way that helps you.”

You and your landlord can agree to increase the rent if the landlord has made changes that benefit you. These changes could be big improvements to the property that make it more valuable, better facilities or services, or changes to your rental agreement that are good for you. The landlord needs your permission before making these changes.

If you don’t agree to the rent increase your landlord wants, they can ask the Tenancy Tribunal to decide. The Tribunal can choose to increase the rent by any amount they think is fair. They will only do this if they agree that the landlord has made the improvements or changes mentioned earlier.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM95064.

Topics:
Housing and property > Renting
Crime and justice > Courts and legal help
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27: Rent in excess of market rent irrecoverable, or

“Landlords can't charge more rent than what's allowed, and must give back any extra money they collected.”

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28A: Increase of rent by order in case of unforeseen expenses, or

“The Tenancy Tribunal can allow landlords to raise the rent if they have surprise costs they couldn't predict.”

Part 2 Tenancy agreements
Key money, bonds, and rents

28Increase of rent by agreement or order in case of substantial improvements, improved facilities, or variation of terms

  1. The landlord and the tenant may agree to increase the rent if the landlord has, with the consent of the tenant,—

  2. made substantial improvements to the premises (not being general or necessary repairs) that increase the value of the premises and constitute a material benefit to the tenant:
    1. increased or improved the facilities or services (other than general or necessary repairs) provided for the tenant:
      1. agreed to a variation in the terms of the tenancy that benefits the tenant.

        1. If the tenant does not agree to the increase proposed by the landlord, the landlord may apply to the Tribunal for an order increasing the rent.

        2. The Tribunal may, on an application under subsection (2), make an order increasing the rent by any amount the Tribunal thinks fit, if the Tribunal is satisfied that (except for the absence of agreement on increasing the rent) subsection (1) applies to the tenancy.

        Notes
        • Section 28: replaced, on , by section 22 of the Residential Tenancies Amendment Act 2010 (2010 No 95).