21 November 2017
The new Residential Tenancies Act requires all new leases to include a Statement of Insulation. The summer university break could be an ideal time to get properties that are vacant assessed.
55% Insulation Subsidies for rentals
If you have students and/or low income tenants in your rental properties, you may be eligible for 55% off ceiling and underfloor insulation under the new EECA Warm Up New Zealand: Healthy Homes* rental programme.
We can check your rental property compliance and supply a Statement of Insulation to include with your new Tenancy Agreements. At only $49 this makes a lot of sense, especially considering the penalty is up to $4000 per breach for non-compliance. And of course, the $49 cost is refundable if you do choose to get insulation installed by us.
Eligibility for Subsidies
To qualify, the rental properties must 1) be built pre-2000 and 2) have tenants with a Community Services Card and/or or a health referral from an approved health provider.
Of course, some property investors are putting off getting insulation installed and up to scratch because it’s not mandatory until July 2019. It’s worth remembering though, the government’s 50% subsidies are for a limited time.
So don’t miss out, take advantage of the deals available now. Get in touch to find out what you could save.
*Conditions apply. Contact us to find out more.
Financing insulation for rentals
Local Council Rates: Regardless of subsidies, you may be able to put the costs of insulation or even a heat pump onto your rates. It does vary by council, but in many cases the funding can be paid off via your regular council rates payments at a modest interest rate over a period of up to 10 years. You can check if there’s a Local Council Targeted Rates programme in your area here.
Mortgage Top-Up: The lowest finance interest cost is typically your mortgage. Most major banks will let you add insulation costs to your mortgage and will waive top-up fees. To simplify the process with banks even further, we can provide a quote and connect you with a broker so you can coordinate all the financial and legal requirements over the phone*. What’s more with this service you can add ventilation, heat pumps, LED downlights and insulation to your mortgage. Click here for more details.
*There’s always a bit of small print required with these things... Here’s ours: Currently the broker service applies to ANZ, Westpac, ASB and Sovereign mortgage holders.