Is there a market for periodic tenancies?

[crackennz]

Hey all,

Just wondering if there is much of a market in Auckland for periodic tenancies opposed to 12 month contracts?

Regards
Phil

[KyronGosse]

I would have said the majority of tenancies in Auckland were periodic

[waterbaby]

There is a market for both. My observations have been that it seems to be the nicer properties that are fixed term, and the run down studenty type places that tend to be periodic, but that's definitely not a hard and fast rule.

[flyernzl]

My own view, based on experience, is that a Landlord loses more than he gains when he becomes involved in a fixed term tenancy. All mine are periodic.

With fixed term, the Landlord loses the right to issue a 90 day notice.

However the tenant can still get out of a fixed term by pleading hardship or even just simply stopping payment of rent.

[DazRaz]

Mine are all periodic. In Chch, I'm hardly worried about having a gap in tenants.

[blurt]

I'm in Auckland - All of mine begin as fixed term tenancies, anywhere between 12-24 months. I like it because if a tenant wants to move out before the term is up, I am always happy to oblige - on the condition that they pay for trade-me advertising and also pay rent until the next tenant is found. This way I drastically reduce time between tenants and expenses. I often have open homes where the property is vacant and therefore presenting at its best, all the while the previous tenants are still paying the rent. Got the warm fuzzies thinking about my low vacancy rates now haha

[DazRaz]

One property I've had for 10 years has had a total of 1 day between tenants. The other properties are yet to have a tenant change.

[teamchase]

I've found that most tenants will ask for a fixed term, unless they have something in the pipeline, like purchasing a property, change of career, or travel.
We like to contract tenants in for a fixed period because it adds an element of security for our landlords.
Of Course, we are not here to punish anyone that wants to break a fixed term, and always advocate that our tenants keep us fully informed of their intentions so that we can find replacement tenants, and avoid the current tenants having to pay any liability.