Property Managers Are Not Looking to Terminate Tenancies, They Are Often Trying to Prevent Them

Cherie Osbaldiston | Director of Pulse Property Management

A recent post from experienced property manager Cherie Osbaldiston has highlighted one of the most misunderstood parts of the property management profession: what really happens before a tenancy reaches termination.

Ms Osbaldiston said she had recently issued a termination of tenancy following a breached mediated order, describing it as a decision that was not made lightly.

According to Ms Osbaldiston, it was the first termination she had issued since opening her business two years ago.

Her comments have struck a chord with property managers because they reflect a reality often unseen by the public, landlords and tenants alike. Termination is rarely the first step. In most cases, it comes after repeated conversations, phone calls, emails, meetings, mediation, warnings and attempts to resolve the situation before it escalates.

For property managers, these situations are rarely simple. They sit at the intersection of legislation, housing pressure, financial loss and human emotion.

Ms Osbaldiston said many people assume property managers simply kick tenants out, when in reality most would rather keep a good tenant in place than see a tenancy end.

She said the process can raise many emotions - disappointment when mediated orders are ignored, sadness when families may have to move quickly, frustration when the public assumes property managers act without reason, and dread when there is likely to be a tribunal process, clean-up or hardship ahead.

In this case, the tenancy had been inherited from another property management company with more than $10,000 in arrears on a $600 per week property.

Ms Osbaldiston said there had been four months of inaction before her business became involved. Through consistent communication and action, the arrears were reduced by around 70 per cent, although the owner still faced a significant financial loss.

The post also serves as a timely reminder for property owners to carefully consider who they appoint to manage one of their largest assets.

Good property management is not simply about collecting rent or issuing statements. It requires communication, documentation, compliance, conflict resolution, empathy and the confidence to act when action is required.

For New Zealand’s property management sector, the message is particularly relevant as expectations around professionalism, tenant communication, owner accountability and legislative compliance continue to rise.

At its best, property management is not about ending tenancies. It is about preventing issues from reaching that point in the first place.

But when every reasonable step has been taken, the role also requires accountability.

Ms Osbaldiston’s post is a reminder that behind many difficult tenancy decisions are weeks, months and sometimes years of work the public never sees.