A new tenant is asked to pay four weeks' rent in advance on top of the bond. How much rent in advance can a landlord lawfully require?
Correct Answer
A) No more than two weeks' rent in advance.
Section 23(1) says a landlord must not require rent more than 2 weeks in advance, or before the period already paid for has expired. Breach is an unlawful act and an infringement offence. Section 23(3) also bars requiring postdated cheques.
Why This Is the Correct Answer
Section 23(1)(a) caps rent in advance at two weeks.
Why the Other Options Are Wrong
Option B: Up to four weeks' rent in advance, matching the bond cap.
Four weeks is the general bond limit in s 18; rent in advance is limited by s 23 to two weeks.
Option C: One month's rent in advance, as is standard for monthly tenancies.
Section 23 sets a two-week ceiling whatever the payment frequency.
Option D: Any amount, provided the tenant agrees to it in writing before moving in.
Tenant agreement cannot override s 23; contracting out is not allowed.
Background Knowledge for Property Management
Source: https://www.legislation.govt.nz/act/public/1986/0120/latest/whole.html
Exam Tip for Property Management
Two weeks' rent in advance; four weeks' bond; two weeks' pet bond.
Common Mistakes to Avoid on Property Management Questions
- โขConfusing the rent-in-advance limit with the four-week bond limit.
More Property Management Questions
How long does a landlord have to lodge a bond with Tenancy Services after receiving it from a tenant?
Which of the following is a mandatory requirement for all rental properties under the Healthy Homes standards?
A periodic tenancy began 8 months ago and the rent has never been raised. If the landlord gives written notice today, when is the earliest a rent increase can take effect?
A property manager discovers a tenant has been subletting rooms without permission for 6 months, generating significant income. The head tenant is otherwise compliant and rent is current. What factors would most influence the Tenancy Tribunal's decision on termination?
Under the Residential Tenancies Act 1986, what is the most a landlord can charge as a general bond (not counting any separate pet bond)?
- โ Which of the following is NOT a mandatory requirement for tenancy agreements under the Residential Tenancies Act?
- โ How much notice must a landlord give a tenant before conducting a routine property inspection?
- โ A tenant has given 21 days' notice to terminate a periodic tenancy but wants to leave 5 days early. What must happen for this to be legally acceptable?
- โ A tenant claims bond refund for $1,200 but the landlord disputes $400 for carpet cleaning. The tenant disagrees and applies to the Tenancy Tribunal. What happens to the bond during this dispute?
- โ How often may a landlord carry out routine inspections during a tenancy?
- โ A landlord wants to increase rent for a periodic tenancy. What is the minimum notice period they must give?
- โ During a property inspection, a property manager discovers the tenant has installed a spa pool without permission. What is the most appropriate first step?
- โ By what date did all private rental properties in New Zealand have to comply with the healthy homes standards?
- โ A property manager conducts an inspection and finds the tenant has installed a heat pump without permission. The tenancy agreement prohibits alterations without consent. What can the landlord legally require?
- โ During a property inspection, a landlord notices the tenant has changed the locks. Under what circumstances is this legally permitted?
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