Housing crisis makes tenants punctual
Auckland’s housing shortage is proving good news for landlords looking for punctual payment.
Today’s tenants are more likely than any previous generation to pay their rent on time, a major study by the Auckland Property Investors Association has found.
Eight hundred and fifty association members were polled and 74.2 per cent said they had no money owing from their tenants.
Association president Andrew Bruce said it was the best result ever recorded for rent payment and reflected the tight housing market in the region.
‘‘It’s well documented that Auckland has a shortfall of 40,000 houses.
‘‘Tenants value their accommodation and, equally, landlords value the commitment their clients have to making the relationship run smoothly.’’
The result would likely have been higher if the survey was worded differently, he said.
‘‘What you’ve got to remember is ... people might have multiple properties.
‘‘So they might say ‘Yes I’ve got some money owing’ but that could be across a portfolio of two or three properties.
‘‘We could have asked the question a bit better and the answer would have been higher still.’’
The survey found 3.6 per cent of landlords had tenants who were less than a week behind in their payments.
However, 12.1 per cent - about 90 landlords - were owed more than $1000 in back rent.
Bruce said there would always be ‘‘a group of rogues’’ who tried to avoid paying, but the majority of tenants were good customers.
Both tenants and landlords realised their relationship was ‘‘symbiotic’’, he said.
‘‘They don’t want to rock the boat if they don’t have to.’’
Angela Maynard, the coordinator for the Tenants Protection Association (Auckland), said the group had not seen an increase in the number of tenants being evicted from private dwellings over non-payment of rent.
However, people were going to extreme lengths in order to keep up with their payments, she said.
Maynard knew of renters who had been reduced to begging on the streets in order to meet the cost of living in Auckland.
‘‘People can’t just pay all their income in rent or we’re going to have starvation.’’
Nearly three quarters of Auckland landlords do not have any money owing from tenants.