The Hawke's Bay District Health Board is taking a practical
and enlightened view when it comes to rental property. They have introduced a
two-session course called "Ready to Rent" which teaches tenants about
their rights and responsibilities when renting and basic skills like
cleanliness and heating.
In effect, those who complete the course receive a
"warrant of fitness" in the form of a letter
of support, which they can present when applying for properties. It
appears to be a first for New Zealand, although similar schemes of the same
name have been in running overseas for a number of years.
One News featured the scheme on the 28th of August. They interviewed
a landlord who said, many people renting the first time don't have references
and this would be invaluable as it effectively gives them that. He predicted it would be standard practice
nationwide within five years.
I hope the prediction comes true. The scheme is a win-win
and a positive and proactive approach to addressing the challenges that tenants
and landlords face. It also flies in the face of short-sighted and
unimaginative politicians who see political mileage in demonising landlords,
when 9 out of 10 cases before the Tenancy Tribunal are taken against tenants.
Let's be honest about this - the main problem in the rental
market is bad tenants, not bad landlords. It’s therefore appropriate that good
tenants have the means to demonstrate their suitability to landlords. Tenants
who have a bad credit record, or have a Tenancy Tribunal judgement against
them, or are unable to provide references, will find it hard to obtain private
rental accommodation - especially when there is a housing shortage and tenants
have to compete. In practice, their only option may be the renter of last
resort - the Housing Corporation - or living in substandard conditions.
It is surprising that this new initiative has been taken on by
a health board. I hope Tenancy Services picks up on the scheme, and extends it
to include landlords or property managers so they too can obtain a Ready to
Rent certification and demonstrate that they have made a commitment to meet
their responsibilities under the Residential Tenancies Act.
There is nothing like a close election race to bring out
promises, as Labour and National enter into a bidding war for votes. The
regions are being pampered with affection, including National’s promise of more
than 10 billion dollars worth of roading infrastructure along with extending
the roll-out of ultra-fast broadband to another 190 towns at a cost of $270
million.
Both are important for regional growth, and have the potential
to reverse what is typically a
population drift to the big cities. The Bay of Plenty Times recently reported
that more than 1000 new companies have started up in Tauranga in the last year,
and that does not include sole traders or partnerships. Many of the new businesses
are home-based, with people using cafes or shared offices as meeting places. The
main issue for broadband infrastructure is keeping pace with user demand and
innovation. New Zealand has been a bit slow to embrace that potential and risks
missing out on emerging opportunities - such as online learning.
I would be so bold as to say that fast broadband has the
potential to "disrupt" our tertiary education sector in the same way
that AirBNB and Uber have changed their sectors. It is quite feasible that within a generation
universities as we know them will become to education, what the horse and
carriage are to modern-day transport.
The innovators and visionaries are already leading this. The
founders of udacity.com sum it up pretty well when they say, "Education is no longer a one-time
event but a lifelong experience. Education should be less passive listening (no
long lectures) and more active doing. Education should empower students to
succeed not just in school but in life."
Frank Newman
writes a weekly article for Property Plus.
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