With major updates now in effect, landlords and property managers must reconsider the type of information they collect from tenants. The Office of the Privacy Commissioner has highlighted the rental accommodation sector, aiming to ensure compliance with the Privacy Act 2020. To achieve this, a new compliance monitoring program is being rolled out, along with guidelines on the collection, retention, and disclosure of personal information in rental applications.
This program includes a review of key rental documents—such as application forms, contracts, and privacy statements—used by letting agencies and property managers. The goal is to ensure these documents comply with privacy obligations, protecting both tenants and applicants.
What Does This Mean for Property Management?
The key takeaway is that property managers must only request relevant information from tenants that relates to their suitability for the property. Here’s how the data collection process is divided into three stages:
1. Property Viewings:
At this stage, only basic contact information, such as the tenant’s name and contact details, can be collected. Tenants may voluntarily pre-apply, but this cannot be mandatory.
2. Initial Application:
This phase involves collecting more detailed information to help select the most suitable tenant. Permitted data includes:
- Name and contact details
- Proof of identity
- Confirmation of being over 18 years old
- Number of occupants (names only for those not on the tenancy agreement)
- Landlord and non-landlord references with consent to contact them
- Consent for credit report and criminal record checks (only when negotiating tenancy offers)
- Information on pet ownership and smoking habits (if there are restrictions at the property)
- Proof of the tenant’s right to remain in New Zealand (for fixed-term tenancies)
3. Final Stage:
Once the preferred tenant is selected, further details may be requested to complete credit or criminal checks. Additionally, landlords can ask for evidence of the tenant’s ability to pay rent—such as a pay slip or rental payment history—but cannot ask for detailed bank statements showing personal spending habits.
What Are the Practical Changes for Auckland Landlords?
The biggest change is that employment details cannot be requested directly, though many tenants still volunteer this information or use work references. Despite these new rules, landlords can still assess tenants’ suitability based on the same key criteria, just within more defined stages.
At Reliance Property Management, we are already up-to-date with these changes and are committed to protecting tenant privacy while ensuring smooth tenancy processes.