Gripe over hassle in finding erring tenants

Press, 9 October 1987, Page 3

Gripe over hassle in finding erring tenants

By

GLEN PERKINSON

Christchurch landlords, it is believed, are being stung for hundreds of dollars because tenants are disappearing without settling debts.

The landlords’ gripe, according to the Canterbury Property Investors’ Association, was the difficulty in tracking down former tenants who have left owing many weeks rent — and in some cases caused much damage to properties. Mr Tony Ward, the association’s vice-presi-dent, told "The Press” many landlords gave up trying to wrest outstanding debts from errant tenants because that often cost more than the original debt. The landlords stood to lose as much as seven weeks rent — nearly $lOOO based on the average Canterbury rent — through tenants doing "runners.” It could often take that long for tenants in arrears to be brought before the Tenancy Tribunal.

“But then the problem arises,” said Mr Ward. "You often can’t get the order of the tribunal executed. There have been quite a number of these cases to date in Christchurch.” Under the Residential Tenancies Act a landlord can apply for possession of a tenancy of a property if the occupant gets more than three weeks behind in rent. "Now to successfully get our money we have to bring that tenant before the tribunal — and that’s a problem in itself.” If the tenant was brought before the tribunal, by the time an order was made tracking the tenant down to get money was difficult. “If a tenant can’t be traced there is little a bailiff can do. To get that money a landlord would

have to go to a lot of time and expense and in the final analysis it’s some times easier and cheaper to forget about it.” Renting residential property was becoming a "high-risk” area. A landlord should now put tenants through an extensive interview, advised Mr Ward. Credit agencies could provide information about a tenant’s credit history and using these services was warranted. From a tenant’s perspective, Mr Ward said they should go armed to an interview for a property with references. “If they are deadly serious about a property and want to present themselves as a good tenant then they should provide this information.” Landlords were becom-

ing more sceptical about renting and getting settlements because of dubious results from the Tenancy Tribunal. However, Mr Philip Pigou, manager of the Housing Corporation’s Tenancy Bond Division, said the instances of former tenants escaping owing landlords money appeared to be low. Any queries the division received from landlords concerned about getting orders executed were referred to the Justice Department. He cited the- department’s review of its fine and debt collecting procedures. The department was considering "attachment” orders on wage or benefit incomes of those owing fines or civil debt