Falling Behind on Rent? Here’s What Tenants in Need to Know

With rising living costs and economic uncertainty affecting households across the country, rent arrears are becoming an increasingly common challenge.

But while falling behind on payments can feel overwhelming, it doesn’t have to mean eviction or crisis.

For renters facing financial strain, knowing what to do—and when—is critical. These five practical steps offer a roadmap to take control, preserve your tenancy, and avoid long-term consequences.

1. Open Dialogue: Communicate with Your Landlord Immediately

One of the biggest mistakes tenants can make is staying silent. If you’ve missed a rent payment or know one is coming, initiate contact with your landlord or property manager straight away.

Proactively explain your situation, whether it's a temporary job loss, illness, or other hardship. Most landlords will appreciate transparency and are often willing to work with tenants who demonstrate good faith.

Propose a written payment plan outlining how you intend to clear the arrears and, if possible, offer a partial payment. This shows initiative and a genuine commitment to resolving the issue.

Pro Tip: Always communicate in writing and keep records of all correspondence. It may prove invaluable if a dispute arises later.

2. Reassess Your Finances and Set Priorities

When income dips or expenses spike, it’s time to reassess your financial landscape.

Begin by listing all essential outgoings—rent, utilities, groceries—and identify any discretionary spending that can be paused or reduced. Then, reallocate funds towards your arrears in a way that fits your realistic budget.

There are plenty of free tools and budgeting apps available to help streamline the process. If financial planning isn’t your strength, consider speaking to a qualified financial counsellor. Many community organisations offer this service at no cost.

Remember: Your rent is a top priority. Falling behind can have legal implications and affect your future rental applications.

3. Explore Financial Assistance and Relief Options

If you’re genuinely struggling, support is available—but it’s essential to act quickly.

Check with Work and Income New Zealand (WINZ) to see if you qualify for temporary rent assistance or emergency housing support. Local community organisations, churches, and NGOs may also offer rental relief grants or one-off payments to help bridge the gap.

Ensure you have all necessary documentation—such as bank statements, proof of hardship, and your tenancy agreement—ready to support your application. Funding pools can be limited, so the sooner you apply, the better.

Key Resources:

• Work and Income New Zealand (WINZ)

• Citizens Advice Bureau (CAB)

• Local housing trusts and support services

  
  

4. Know Your Legal Rights—and Your Obligations

Every tenant should be familiar with the Residential Tenancies Act. It sets out your rights and responsibilities, as well as those of your landlord, including how rent arrears must be managed.

In most cases, landlords must follow a process before pursuing eviction, which includes issuing written notices and providing an opportunity to remedy the arrears. Understanding this process can give you the confidence to act appropriately if you're feeling pressured or unsure.

If you need legal clarity or face a potential dispute, seek assistance through Tenancy Services or organisations like Community Law.

Tip: Join a tenants' advocacy group for added support and representation, especially if you’re dealing with a complex situation.

5. Consider Long-Term Alternatives if Repayment Isn’t Viable

Sometimes, the most strategic move is accepting that your current rental is no longer sustainable. If your financial situation isn’t likely to improve soon, it may be wise to start planning for a move.

Look for more affordable rental options, explore shared accommodation, or discuss the possibility of subletting (with your landlord’s permission) to help cover the shortfall.

If you do choose to vacate, ensure proper notice is given in writing and the property is left in good condition.

Doing so helps protect your bond and ensures you leave on positive terms, which is important for future references.