Tenancy FAQs about the Dunedin Floods 2024

Our heartfelt prayers go out to everyone who has been affected by the floods in Dunedin this past week. It has been a traumatic and stressful situation for all involved. We have been working hard to support our tenants, and owners but in some cases it could be quite a long process to resolve problems that have come from this weather event.

There has been a lot of questions from both owners and tenants and quite a lot of misinformation is being shared on social media. Below is a list of links to information and answers to frequently asked questions in the past few days. I hope they are helpful.

Tenancy services: What do you do after a natural disaster

Civil Defence: What financial support can I get?

Emergency Management Otago: What is the current situation looking like?

Q: What happens if my rental has significant damage?

The normal process is for an insurance claim to be lodged and then for repairs to be undertaken. Depending on the damage it could take weeks or longer to get things rectified.

Q: Do tenants have to keep paying rent?

Yes. However, there is a requirement under S59 of the Residential Tenancies Act for the rent to be abated (i.e. reduced) if the property is destroyed or seriously damaged to the extent that it has become wholly or partially uninhabitable.

Q: How much should the rent be abated and for how long?

Rent should be abated at least for as long as it takes to remediate the property to habitable standards. There is no hard and fast rule as to how much rent should be abated. The calculation should be based on the extent (on a percentage basis) the damage has reduced the tenant’s use and enjoyment of the property.

Q: how do I know if the property is uninhabitable

If the property is Red Stickered then it has been deemed uninhabitable. For all other properties it is a subjective and up for negotiation. We assess this by measuring the extent of the damage and how much it impacts the tenant’s use of the property. For example, if there is no electricity, running water, or if toilets cannot be flushed then we consider that uninhabitable. However in saying that, if a tenant chooses to stay in that property they can choose to do so unless an order from tribunal stipulates otherwise.

Q: if my rental is uninhabitable then who pays for a place for me to stay?

Most landlord rental insurance policies do not cover the cost of temporarily housing tenants. There is no legal obligation for landlords to rehouse tenants. In some cases, landlords may cover the cost of rehousing their tenants until the property is repaired but this is not required. At Dunedin Property Management where possible we try to find alternative accommodation for our tenants but this is not always possible. Fortunately, Work and Income and Civil Defence have approved additional funds to assist those dislocated due to the Dunedin Floods. To apply you just need to call Civil Defence on 0800 400 100.

Q: How much can I get from the Flood Payments?

The NZ Herald wrote an article this in detail here: https://www.nzherald.co.nz/nz/dunedin-floods-civil-defence-payment-how-to-apply-how-much-money-you-can-get-how-to-avoid-paying-it-back/

Q: I don’t want to return to my rental. Can I leave my tenancy?

No. Not without the approval of your landlord. We suggest having a conversation with your landlord but it has to go through the normal process if you were wanting to break your lease.

Q: My tenant would not let me use their power outlet for my dehumidifier, what do I do?

Your tenant is probably concerned about their power bill. That’s understandable. Assuring them that they will be reimbursed for your use of their power (and actually reimbursing them) should be sufficient to take that concern off the table. If that doesn’t work then hire your own generator.

Q: There is evidence of damage to my insulation, what should i do?

Get an expert insulation installer to inspect the damage and replace what is required. If it’s in the underfloor cavity you may also have to replace the ground moisture barrier.

Rueben Skipper