Rent Increase Rules in New Zealand: How Often, How Much Notice
A landlord in New Zealand can increase rent once every 12 months and must give at least 60 days' written notice before the increase takes effect. This rule was not changed by the 2024 to 2025 tenancy reforms.
This page is general information about New Zealand law, not legal advice. For your own situation, consult a lawyer or your local Community Law centre.
How often rent can rise
A landlord can increase the rent on a tenancy no more than once every 12 months. The 12-month clock resets from whichever date is later: the day the tenancy started, or the day the last rent increase actually took effect. This applies to both periodic and fixed-term tenancies, though a fixed-term agreement can also set its own rent review terms if both parties agreed to them when the tenancy began.
The 60-day notice requirement
Before an increase takes effect, the landlord must give the tenant at least 60 days' written notice. The notice has to state the new rent amount and the date it starts. Landlords are free to send that notice well in advance, but the increase still cannot start until the 12-month gap since the tenancy began, or since the last increase, has passed. Boarding house tenancies work under a shorter rule: 28 days' written notice.
No cap on the amount, but not open-ended either
New Zealand law does not put a percentage or dollar limit on how much a landlord can raise rent by in one increase. That surprises some tenants, because a lot of the 2024 to 2025 reform coverage focused on tenancy terminations and pets. The frequency and notice rules for rent increases were not part of those changes.
The absence of a cap does not mean an increase is unchallengeable. If a tenant believes the new rent is substantially higher than what comparable properties in the area are renting for, they have a specific avenue to contest it.
Challenging an increase that looks well above market
A tenant who believes their rent, after an increase, is well above market rent for similar properties nearby can apply to the Tenancy Tribunal for a market rent order under the Residential Tenancies Act. The Tribunal compares the rent being charged with the general level of rent for comparable tenancies of comparable properties in the same or a similar area, and it can order the rent reduced if it finds the gap is substantial.
For a fixed-term tenancy, the law sets a specific window: an application for a market rent order must be made within 3 months of the tenancy starting, or within 3 months of the date of the last rent review, whichever applies. Gathering evidence before applying makes a real difference, since the burden is on showing the rent is out of step with the local market rather than simply higher than the tenant would like.
Tenancy Services publishes a free Market Rent tool that gives an indication of typical rents for similar properties in the same area. It is a useful starting point for either side before a rent increase notice is sent or challenged, though it is a guide rather than a Tribunal determination.
Related tenancy topics
For the wider picture on renting in New Zealand, see the tenancy and renting hub. If you are working out notice periods for ending a tenancy rather than a rent increase, read ending a tenancy: notice periods. If your question is about a pet at the property rather than rent, see pet bonds and pets in rentals.
Frequently Asked Questions
How often can a landlord increase rent in New Zealand?
No more than once every 12 months. The 12 months is counted from the start of the tenancy or from when the last rent increase took effect, whichever is later, and this applies to both periodic and fixed-term tenancies.
How much notice does a landlord have to give before raising rent?
At least 60 days' written notice stating the new rent and the date it takes effect. Boarding house tenancies use a shorter 28-day notice period. The notice can be sent ahead of time, but the increase cannot start before the 12-month gap since the last increase has passed.
Is there a limit on how much rent can go up in one increase?
No. New Zealand law does not cap the percentage or dollar amount of a single rent increase. A tenant who believes the resulting rent is substantially above market rent for comparable properties can instead apply to the Tenancy Tribunal for a market rent order.
Did the 2024 to 2025 tenancy law changes affect rent increases?
No. Those reforms focused on ending tenancies, such as restoring no-cause 90-day terminations, and on pet bonds and pet consent. The once-a-year, 60-day-notice rule for rent increases was not changed.
How can a tenant challenge a rent increase in New Zealand?
By applying to the Tenancy Tribunal for a market rent order if they believe the rent is substantially higher than comparable properties in the area. For a fixed-term tenancy, the application must generally be made within 3 months of the tenancy starting or within 3 months of the last rent review. Tenancy Services' Market Rent tool can help gather evidence beforehand.
Sources and References
- Residential Tenancies Act 1986, s24 (Frequency of rent increases) and s25 (Excessive rent)(legislation.govt.nz).gov
- Tenancy Services - Rent increases and reductions(tenancy.govt.nz).gov
- Tenancy Services - Market rent explained(tenancy.govt.nz).gov
- Tenancy Services - Tenancy Tribunal(tenancy.govt.nz).gov