Property

Christchurch rental shortage "crisis for some"

Christchurch Mayor Bob Parker has rejected claims by Earthquake Recovery Minister Gerry Brownlee that the city's rental shortage is not at crisis level.

Monday, April 16th 2012

"This is a problem, I'll accept that, but I don't think it's a crisis," said Brownlee.

However, speaking on the TV3 programme The Nation yesterday Parker said the situation in Christchurch was "a crisis for some people."

"It depends on how you define crisis on an individual level," he said.

"You know I'm not here to justify someone else's words, but I would say on an individual level yes, it'll be a crisis for some people."

The debate about the rental shortage has been heightened in the wake of figures from Trade Me Property which revealed a 40% reduction in the city's rental stock - coming at the same time as landlords' report a 42% rise in enquiries from prospective tenants.

Despite calls for action to resolve the shortage Brownlee said the Government would not intervene.

"A rent freeze doesn't increase supply and will never encourage new stock."

He said the Government had no intention of regulating rents but would provide new housing stock.

Brownlee's approach was criticised by Christchurch East Labour MP Lianne Dalziel, who said the housing shortage was fast becoming an "extreme crisis."

She said the Government had a moral obligation to prevent landlords' hiking rents to take advantage of the shortage.

First National Giera Progressive principal Joe Mullin said he was aware of some private landlords' "really ripping into it" when it came to rent rises, but said the majority of increases were fair.

"Rents have remained pretty static for a number of years ad were due to go up anyway, probably $15-$20 a week more," he said.

Heartland Bank - Online 6.69
SBS FirstHome Combo 6.74
Wairarapa Building Society 6.95
Unity 6.99
Co-operative Bank - First Home Special 7.04
ICBC 7.05
China Construction Bank 7.09
BNZ - Classic 7.24
ASB Bank 7.24
ANZ Special 7.24
TSB Special 7.24
Unity First Home Buyer special 6.45
Heartland Bank - Online 6.45
China Construction Bank 6.75
TSB Special 6.75
ICBC 6.75
ANZ Special 6.79
ASB Bank 6.79
AIA - Go Home Loans 6.79
Kiwibank Special 6.79
BNZ - Classic 6.79
Unity 6.79
Westpac Special 6.39
China Construction Bank 6.40
ICBC 6.49
SBS Bank Special 6.55
Kiwibank Special 6.55
BNZ - Classic 6.55
Co-operative Bank - Owner Occ 6.55
ASB Bank 6.55
AIA - Go Home Loans 6.55
TSB Special 6.59
Kainga Ora 6.99
SBS FirstHome Combo 6.19
AIA - Back My Build 6.19
ANZ Blueprint to Build 7.39
Credit Union Auckland 7.70
ICBC 7.85
Heartland Bank - Online 7.99
Pepper Money Essential 8.29
Co-operative Bank - Owner Occ 8.40
Co-operative Bank - Standard 8.40
First Credit Union Standard 8.50
Kiwibank 8.50

More Stories

Support for regulation

Monday, March 18th 2024

Support for regulation

REINZ has emphasised the need for property management regulation to Parliament’s Social Services and Community Committee.

A better investment market

Thursday, March 14th 2024

A better investment market

“Reinstatement of interest deductibility starting from the new tax year on 1 April brings property investors back in line with every other business in the country, where interest costs are a legitimate deductible expense," Tim Horsbrugh, New Zealand Property Investors Federation (NZPIF) executive committee member says.

[OPINION] Recessionary times

Thursday, March 14th 2024

[OPINION] Recessionary times

It is not the best out there for many businesses and property sector people. Sales are down across the board, our clients’ confidence is falling, and there is a lot of uncertainty.

Interest rate expectations: It’s not over yet

Thursday, March 07th 2024

Interest rate expectations: It’s not over yet

Most Kiwis think interest rate increases have peaked.