Building and Housing Minister Dr Nick Smith's proposed changes would make tenants liable for damage caused by carelessness or negligence, up to the value of four weeks' rent. "This is resulting in uncertainty for landlords and tenants, and is affecting the effective functioning of the Tenancy Tribunal. "My concern about this new interpretation is that it will add to the overall costs of the residential sector, driving up insurance costs and rents," he said. "The tenant would remain fully liable for damage caused intentionally or caused by a criminal act, with no limitation. "New Zealand has 450,000 tenanted properties, and both tenants and landlords need certainty about their rights and responsibilities," Dr Smith said.

Source: Otago Daily Times October 14, 2016 23:48 UTC