LANDLORD AND TENANT.

Auckland Star, Volume L, Issue 165, 12 July 1919, Page 7

LANDLORD AND TENANT.

RAISING THE BENT. WAR REGULATIONS STILL IN FORCE A MAXIMUM INTEREST.

There is a diversity of opinion as be- 1 tween landlord and tenant in regard to the question of rent at the present time. The point of view of many tenants is that the landlord is a. more or less mercenary individual who in every case is out to exploit his tenants, and screw the last penny, out of them irrespective of circumstances or the condition of the bouse which they happen to occupy. And while this may be true of some of the landlords there arc many who are sincere in their endeavour to treat their tenants in such a manner as they themselves would like to 'bo treated if they were the tenants instead of the landlords. It is pointed out that the position of the landlord is not at all times a happy one. A bad tenant in many cases means a serious depreciation of the property, and where rent is co low, that it barely pays interest on the money invested this is a matter of considerable concern. "There is a Ciass of tenant," said one landlord this morning, " who, if you put him into a spick and span house to-morrow, would have it in sueri bad order in the course of a few months that it would have to be renovated throughout "before another tenant could be persuaded to go into it. Prior to the -war it ■ was considered that a rental' which returned 10 per cent on the money invested' was just sufficient to return a margin of profit, and at the same time cover depreciation and other expenses." Complaints Itave been made recently that rents have been raised unduly, but under the AVar Regulations, which are still in force, this is not possible. The regulations provide that the rent cannot be raised beyond what is known as the standard rent. Standard rent means the rent at which a dwelling house was let on August 3, 1914. If it was not let then, then it means the rent at which it -was let before that date, or where it was let after August 3, the rent at which it was first let; or it means, at the option of the tenant, the lowest rent at which the dwelling house was let between August 3, 1914, and December 31, 1915, provided that the standard rent as defined above, computed for the period of one year, is in the case of a dwelling house let before August 3, 1014, at not less than 8 per cent of the capital value of such dwelling house immediately before such date. The standard rent computed for the same period shall in lieu of the standard rent co computed be deemed to be the amount of 8 per cent of the capital value. This, however, does not apply to a house that is let for a rental of over £104 per annum. In respect of this there is no restriction to prevent the raising of f.;e rent. Put into plain language, it means that the landlord can raise the Tent up to 8 per cent of the capital value of the property, but not above that, except in the case where the rent is over £104 per annum. If. on the other hand, the rent prior to August 3, 1914, was above 8 per cent of the capital value, he cannot be compelled to reduce. Tn the event of a dispute, the" capital value of the property is assessed by a Magistrate on application.