A property manager lets a house at an invented rent of $650 a week to a tenant who has consent to keep a dog. What is the most the landlord can lawfully take as general bond and pet bond combined?
Correct Answer
A) $3,900 in total: $2,600 general bond plus a $1,300 pet bond.
Under s 18 the general bond may be up to four weeks' rent ($650 × 4 = $2,600). Under s 18AA a separate pet bond of up to two weeks' rent ($650 × 2 = $1,300) may be required where the landlord has agreed to the pet. The combined maximum is therefore $3,900.
Why This Is the Correct Answer
Four weeks' general bond plus two weeks' pet bond gives six weeks' rent in total.
Why the Other Options Are Wrong
Option B: $2,600 in total, because the pet bond must sit within the four-week cap.
The pet bond is additional to the general bond; s 18AA sets its own two-week limit on top of s 18.
Option C: $5,200 in total: $2,600 general bond plus a further $2,600 pet bond for the dog.
The pet bond is capped at two weeks' rent ($1,300 here), not four weeks.
Option D: $1,950 in total: three weeks' rent covering both bonds.
No three-week rule exists; the limits are four weeks general and two weeks pet.
Background Knowledge for Property Management
Source: https://www.legislation.govt.nz/act/public/1986/0120/latest/whole.html
Exam Tip for Property Management
Work each bond separately: rent × 4 for general bond, rent × 2 for pet bond.
Common Mistakes to Avoid on Property Management Questions
- •Assuming the pet bond has to fit inside the four-week general bond cap.
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)?
- → Which of the following is NOT a mandatory requirement for tenancy agreements under the Residential Tenancies Act?
- → How much notice must a landlord give a tenant before conducting a routine property inspection?
- → 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?
- → 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?
- → How often may a landlord carry out routine inspections during a tenancy?
- → A landlord wants to increase rent for a periodic tenancy. What is the minimum notice period they must give?
- → During a property inspection, a property manager discovers the tenant has installed a spa pool without permission. What is the most appropriate first step?
- → By what date did all private rental properties in New Zealand have to comply with the healthy homes standards?
- → 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?
- → During a property inspection, a landlord notices the tenant has changed the locks. Under what circumstances is this legally permitted?
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