The Residential Tenancies Amendment Act 2024 that was passed on 17 December 2024 and contains the changes promised by the National government during their election campaign, came into effect on 30 January 2025.

The changes have significant implications for both landlords and tenants, including:

• reintroduction of ‘no cause’ terminations
• reduction of the notice period required to end a tenancy by a landlord to 42 days 
• reduction of the notice period required by tenants to 21 days
• reintroduction of landlords’ ability to terminate a tenancy at the end of a fixed-term tenancy period
• changes to retaliatory terminations.

 ‘No cause’ terminations

The reintroduction of the so-called ‘no cause’ termination means that a landlord can terminate a periodic tenancy by giving  90 days’ notice without any reason being given. This reverts back to the legislation as it was prior to the introduction of the Residential Tenancies Amendment Act 2020.

There have been protests about this change such as “tenants could be removed from their homes without reason” and “this will undermine housing security of tenants”, but these claims are not necessarily correct. This is because a rental property is an investment for a landlord. An empty rental property does not earn money and is therefore not an effective investment. So good tenants who pay rent regularly and look after the property are exactly what a landlord desires to maintain their investment.

As a tenant, if you look after your rental property by treating it as if it is your own and you pay rent on time, you have nothing to fear from this change in the legislation.

We recommend setting up an automatic payment for rent so you do not need to think about it on a weekly basis. And if there is a problem with the property, please contact us immediately and we will see that the issue is addressed or repaired as soon as possible. 

Landlord notice period to end a tenancy is reduced to 42 days 

Landlords may now end a periodic tenancy by giving 42 days’ notice instead of 63 days as under the previous legislation but specific circumstances still apply, including if:

• the owner wishes to use the property for themselves or for a family member 
• the property is required for an employee or contractor
• there is an unconditional sale agreement that requires vacant possession.

If required for themselves or a family member, the property must be occupied within 90 days of the end of the tenancy and must remain occupied for at least 90 days. 

When required for employees or contractors, the property will generally have been obtained for this purpose and this must be stated in the current tenancy agreement. These requirements have not changed from the previous requirements.

Tenants’ notice period reduced to 21 days

Tenants are now required to give only 21 days’ notice in writing when they wish to end a periodic tenancy, reduced from 28 days previously. At Nightingales, we see this as a positive move as the 28 day notice period has at times put undue financial cost on some tenants.

Termination notices issued before 30 January 2025

Any termination notice issued on or prior to 29 January 2025 by either a landlord or tenant remains valid and cannot altered by issuing a different notice period.

For example, a tenant who gave 28 days’ notice in writing on or before 29 January cannot change it to 21 days’ notice. Similarly, a landlord who gave 63 days’ notice to terminate a tenancy on or before 29 January 2025, cannot change the notice period to 42 days