If you are thinking of selling your tenanted property, as a landlord there are obligations that you need to meet.
Section 47 of the Residential Tenancies Act 1986 (RTA) requires that if a landlord decides to put the premises on the market for sale or other disposition after entering into a tenancy agreement, the landlord must promptly provide written notice to the tenant.
Additionally, when offering a property for rent, the landlord is obligated to inform any prospective tenants if the premises are on the market for sale or other disposition.
Failing to comply with these requirements is an unlawful act and may result in exemplary damages of up to $1,800 payable to the tenant. Furthermore, a landlord who does not inform prospective tenants that the property is on the market commits an infringement offence and may face a fine or infringement fee ranging from $500 to $3,000.
If you are planning to put your rental property on the market, it is essential to consult your Ray White Rotorua Property Manager first to ensure that your tenants or prospective tenants are notified in accordance with the RTA. Involving your property manager early in the process can lead to better-negotiated access terms with your tenants, as they have an existing relationship that a salesperson may not.
Your Ray White Rotorua Property Manager can also recommend the right salesperson to achieve the best outcome.
For more information please do not hesitate to contact one of our experienced property managers