The people are bombarded with enticements on TV, radio and advertisements dropped into letter boxes, to come and spend money that they don’t have on stuff that they really don’t need.

The negative spin off of the frenzy is that the man in the street is coaxed into spending the money he or she has set aside for the rent, car or furniture installments.

Onto the scene come teh poor property managers who now have to chase after the spenddrift tenants for the rent that was not paid after Christmas and New Year. Luckily for our investment owners, they do not have to worry about it as their rent is guaranteed to be paid on time.

After the usual threats or submissions to teh Tenancy Tribunal, teh rent payment situation by the tenants slowly returns to normal by the end of March. My experience is this regard is probably part of a general trend that other business sectors experience and have to cope with.

On the positive side, i do hope that employees will get some kind of Christmas bonus and that it would alleviate the shortage of money. the recent change in the Labour Law where employees can convert some of their excess leave days into cash might also assist tenants but it all depends on the priorities of each individual.

The simple solution is that tenants should be educated to first pay tehir rent, HP’s, phone and power bills, then buy their food and then spend any balance on the December treats.

May everyone have a very restful December and positive 2011.

Wealth Buy Property Rentals

Notwithstanding the vetting process of new tenants, you would still encounter tenants that will cause problems is not paying regularly or not looking after the investment property.

The first line of approach is to directly discuss the issue with the tenant and to find an acceptable solution. In most instances the problem is resolved. One does, however, get some “hard nuts” that would ignore their obligations under the tenancy agreement.

wealth buy property explained the process below, how to proceed if the problem is not solved.

Wealth Buy Property: Tenancy Tribunal

Where the property manager and tenant cannot solve the matter themselves, the Tenancy Tribunal has been established under the Residential Tenancy Act 1986, to decide on these unresolved issues. As a first step it is helpful to phone the department’s helpline 0800-TENANCY to sort out the problem. It will provide a good indication of which direction the matter would go.

If the phone call does not solve the issue, the aggrieved party then makes application to the tenancy Tribunal and at the hearing an adjudicator listens to each party and at the conclusion makes a decision. The adjudicator’s decision is like a court order which must be obeyed by both parties. A landlord (property manager) or tenant may submit an application at a non refundable cost of $20.44. It is important to remember to be very clear in what order you are seeking. If you omit, for example, the refund of the bond, no order can be made. It is also important to include a request for a termination order, if the facts support it.

The Tenancy Tribunal will set a date for the hearing, and if the parties are in different towns or cities, swift telephone mediation will be arranged by a mediator. Both parties must attend the hearing and if the applicant does not appear, the application may still be heard in your absence.

Usually a decision is straightforward and you get a decision immediately. In some instances, if the issue is more involved, a written decision will be posted to you.

If the Tribunal Order is not obeyed, the applicant can then approach the bailiffs at the district court to assist with the enforcement of the order.

The Department of Building and Housing has a very user friendly website www.dhb.govt.nz that will provide easy guidance on every aspect of managing a rental property.

Wealth Buy Property New Zealand

Being absorbed in the day-to-day operations of a residential rental management business, it is easy to lose sight of requirements associated with both parties in regards to contractual obligations.

Property managers/landlords, ideally, want a tenant who:

• Keeps up to date with rental payments
• Keeps the property in a neat/tidy order (and reports and repairs needed)
• Does not cause damage to the property/premisesIs considerate to neighbours
• And treats the property as if it is their own.

Tenants, on the other hand, want a property for a reasonable rental cost that is clean and tidy and complies with all relevant property laws.

Wealth Buy Property Rental Properties

Wealth Buy Property homes provide tenants (brand) new and modern homes. Our properties offer comfortable surroundings shaped by double-glazed, well insulated, carpet interior together with a powerful heat-pump.

Additional to these features is the internal accessed double garage providing further comfort and wellbeing. Enduring the harsh weather conditions throughout the winter season tenants can arrive home and simply push a button (from their car) to warm the home.

Wealth Buy Property understands the importance of a good relationship/partnership between the landlord and the tenant. We cater for what the tenant expects and strive to go above and beyond the call of duty.

The location of the property is not always the most important factor. Wealth Buy Property has learned, from experience, that ‘quality’ is paramount in attracting the right tenant. Even homes of 20 years and older will have no issues being re-tenanted providing it is regularly painted and carpets/vinyl are replaced.

Healthy, professional relationships between tenants and landlords is the most important factor which will guarantee your investment is secure and maintained well; with tenants having assurance he/she is being looked after well.

Wealth Buy Property New Zealand

The key to success is not to let your fears scare you into inaction, but to use them to prepare you for action – how many times have you experienced a fear of doing something to the point of paralysing yourself and not proceeding with it only to find out that if you had done it 99% of the time your fears would not have been realised?!……

…….that’s FEAR – False Evidence Appearing Real

Fear comes in many forms – here are a few that relate to holding us back from success:

The Fear of Ridicule – There’s not a lot you can do about what other people say, but you can control how you react to it. Often people are trying to stop you from achieving your dreams or success because they have lost the ability to do the same. They build themselves up by bringing others down – often known as ‘tall poppy syndrome’.

The key here is to tune out the negative people and tune in to those who support you or who have already reached the goal you are looking to achieve.

The Fear of Success – This fear can be as paralysing as the fear of failure and often follows overcoming the fear of failure – afraid of not being able to maintain your success or again worried about what other people may think of you in your success. This can often lead to self sabotage which in turn guarantees your failure.

The Fear of Not Being Worthy – Many people fail to take action because they fear they don’t deserve wealth. This stems from the belief system we have developed from our upbringing. Well meaning parents or people saying things like “Don’t be greedy” or “People like us don’t get rich” or “What makes you think you can have or do where others have failed?”

Many adults have failed because they have felt greedy or undeserving. The key here is to understand that you do deserve it because you worked for it and have earned it.

The Fear of Debt – This fear holds investors back – when you understand how to use debt wisely and know the difference between ‘good debt and ‘bad debt’ then there is nothing to fear about debt. A great example of good debt is property debt (where the asset is appreciating whilst the mortgage is being serviced through rent, tax credits etc).

Acting in spite of your fears is going to be uncomfortable. We all like living in our comfort zones but if you want to move to a new level you will have to break through your comfort zone. All rich and successful people have fears, doubts and worries, they just don’t let those feelings stop them – that’s the big difference.

So…… act in spite of your fears and learn to use them to your advantage! Contact our friendly team at Wealth Buy Property on 0800 639 7767 for a no-obligation free consultation.

Wealth Buy Property New Zealand