Monthly Landlord Newsletters

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.

Rent Drops for the First Time in a Decade

New data shows New Zealand’s average weekly rent fell for the first time in 10 years, with the national average down 1.8% in 2025 compared to 2024. Read the full article here.

So, what’s behind this shift?

• A surge in rental supply as properties previously held for sale returned to the market.

• Increased numbers of people leaving New Zealand, particularly younger renters and tradespeople.

• Some tenants are choosing to stay at home longer rather than renting independently.

While the decrease is modest, it signals a shift in the rental market. Over the last decade, the national average rent still grew almost 50%, far outpacing inflation.

Staying Ahead of the Market

• Supply and demand is changing. More available rental properties mean tenants have more choice.

• Pricing remains key. Setting rents too high could leave properties sitting empty.

• The long-term perspective is still positive. Despite small drops, rents are significantly higher than a decade ago, and investment returns remain strong.

Ensure your rent is competitive but still reflects the quality and condition of your property. Remember, small short-term dips in rent aren’t a sign of market collapse - they’re a natural adjustment.

Can Granny Flats Be Rented Out?

Thinking about building a granny flat? You might be wondering: can I rent it out? The short answer is yes. Even if a building consent isn’t required, the flat still needs to meet the NZ Building Code, local council requirements, and comply with the Residential Tenancies Act and Healthy Homes Standards. Read more here

Don’t Be That Landlord Still Saying “No Pets”

According to a recent article, click here to read more, some landlords are still quietly turning away tenants with pets - even though blanket “no pets” rules are no longer lawful. Landlords need to assess pet requests on reasonable grounds, and refusals must be based on the property and circumstances - not just a general preference against animals.

This means any refusal should consider:

• Whether the type of pet is suitable for the property.

• The likely impact on neighbours or other occupants.

• The nature and condition of the premises.

Refusing without valid reasons isn’t just risky - it could also mean missing out on responsible, well-vetted tenants. Early cases show that landlords who decline pet-owning tenants without proper justification could face penalties of up to $1,500.

Why It Matters

Pet damage can be a real concern, but a pet bond (up to two weeks’ rent on top of the general bond) helps manage that risk. At the same time, tenants with pets are part of the market, and responsible ones can be reliable, long-term occupants. Being informed about how the rules are applied helps landlords protect their property while keeping it attractive to tenants.

For landlords who want practical guidance on allowing pets in rental properties, including how to assess requests, set conditions, and manage bonds, our Allowing Tenants With Pets guide is a great resource.

Quote to Ponder

“The best way to predict the future is to create it.” - Peter Drucker

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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.