Under the Residential Tenancies Act 1986, what is the most a landlord can charge as a general bond (not counting any separate pet bond)?
Correct Answer
D) Four weeks' rent
Under the Residential Tenancies Act 1986, the maximum bond that can be charged is four weeks' rent. This limit is designed to protect tenants from excessive upfront costs while providing landlords with reasonable security.
Why This Is the Correct Answer
Section 18(1) of the Residential Tenancies Act 1986 caps the general bond at 4 weeks' rent. Since 1 December 2025 a landlord who allows a pet may also require a separate pet bond of up to 2 weeks' rent (s 18AA).
Why the Other Options Are Wrong
Option A: Two weeks' rent
Two weeks' rent is the maximum pet bond (s 18AA), not the general bond limit.
Option B: Eight weeks' rent
Eight weeks is double the lawful maximum; requiring more than four weeks is an unlawful act (s 18(4)).
Option C: Three weeks' rent
Three weeks is below the cap; a landlord may require up to four weeks' rent as a general bond.
Deep Analysis of This Property Management Question
The question tests the general bond cap. Since the Residential Tenancies Amendment Act 2024 there are two kinds of bond: a general bond of up to 4 weeks' rent and, where a pet is allowed, a pet bond of up to 2 weeks' rent.
Background Knowledge for Property Management
Section 18 of the Residential Tenancies Act 1986 (replaced from 1 December 2025) allows a general bond of up to 4 weeks' rent, with a top-up if rent is lawfully increased. Section 18AA allows a separate pet bond of up to 2 weeks' rent. Requiring more than the cap is an unlawful act and an infringement offence. All bond money must be lodged with Tenancy Services within 23 working days.
Memory Technique
Remember 'Four Corners of a House' - just as a house has four corners providing stability and security, the maximum bond is four weeks' rent providing security for landlords while keeping it reasonable for tenants.
When you see bond-related questions, visualize a house with four corners. Each corner represents one week's rent, giving you the maximum of four weeks. This visual helps distinguish it from other time periods in tenancy law.
Exam Tip for Property Management
General bond: up to 4 weeks' rent. Pet bond: up to 2 more weeks where a pet is allowed. Read the stem to see which one is being asked about.
Real World Application in Property Management
Rent is $500 a week and the tenant has an approved dog. The landlord may take a general bond of up to $2,000 and a pet bond of up to $1,000, and must lodge both with Tenancy Services. Asking for a $3,000 general bond would be unlawful.
Common Mistakes to Avoid on Property Management Questions
- •Confusing bond limits with notice periods
- •Thinking higher-value properties can charge more than four weeks
- •Mixing up bond rules with commercial tenancy regulations
Related Topics & Key Terms
Key Terms:
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?
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?
- → A landlord selling a tenanted home wants to show prospective buyers through it. Under the Residential Tenancies Act 1986, how often can viewings happen?
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