The Government have put their foot down on the standards of rental properties nationwide and introduced new specifications regarding the insulation of the properties, which will come into action in July 2019. These specifications press the importance of landlords having safe, dry, and warm rental properties nationwide.
The Insulation Association of New Zealand, who claim they make up 90% of the industry, are shocked at the results from a recent survey measuring the insulation in rental properties. From these results, the government estimates a whopping 180,000 properties need new insulation to comply with the new specifications.
Due to limited landlord demand, only 10,000 properties had been newly insulated and pass the new laws, as reported by Association president Stu Henwood. This leaves a colossal 170,000 rental properties to be insulated in less than two years, and at its peak, the insulation industry was only insulating around 60,000 properties per year.
The fine for not meeting the insulation standards for rental properties is a hefty $4,000, which many landlords are at a risk of having to cough up due to the slow insulation instalment rates.
On top of the alarmingly slow rates of installation is the question of the insulation being installed properly and meeting safety and efficiency rules. More than 36,000 rental properties have been assessed by The Insulation Association, and they have reported that over 60% fail to meet the new Residential Tenancy Act guidelines. Henwood believes this improper installation is going to create a huge backlog of work needing redoing, further slowing down the insulation installments in more rental properties.
-Article Adapted from http://www.nzherald.co.nz/business/news/article?c_id=3&objectid=11929728