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Property ManagementRent And Advertisinglevel4EASY

A property manager wants to advertise a rental online with 'Rent: by negotiation'. Is this allowed?

Correct Answer

C) No; a residential rental advertisement must state the amount of rent.

Section 22F(1) says a landlord must not advertise or otherwise offer a residential tenancy unless the amount of rent is stated. Failing to do so is an unlawful act and an infringement offence. Narrow exceptions cover service tenancies and some social housing.

Answer Options
A
Yes, provided a rent figure is given before a tenancy agreement is signed.
B
Yes, because only letting agents, not private landlords, have to state rent.
C
No; a residential rental advertisement must state the amount of rent.
D
No, but only if the property is being let through a licensed real estate agency.

Why This Is the Correct Answer

Section 22F requires the rent to be stated in every advertisement or offer of a residential tenancy.

Why the Other Options Are Wrong

Option A: Yes, provided a rent figure is given before a tenancy agreement is signed.

Section 22F requires the rent to be stated in the advertisement or offer itself.

Option B: Yes, because only letting agents, not private landlords, have to state rent.

Section 22F applies to landlords, and 'landlord' includes the landlord's agent.

Option D: No, but only if the property is being let through a licensed real estate agency.

The rule applies to any landlord advertising residential premises, not only agencies.

Background Knowledge for Property Management

Source: https://www.legislation.govt.nz/act/public/1986/0120/latest/whole.html

Exam Tip for Property Management

No rent figure in the advert means a breach of s 22F.

Common Mistakes to Avoid on Property Management Questions

  • โ€ขBelieving 'price by negotiation' marketing from sales can be used for rentals.
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