Bill to ban foreign investors
Thursday 5 December 2013
By The Landlord
It would stop anyone who was not a citizen from buying any existing residential property.
The bill still must be drawn from the ballot before it will be given a reading in Parliament.
Phil Twyford said his member’s bill was a response to the current housing market situation. He said the loan-to-value restrictions had driven first-home buyers out of the market.
“The average house price in Auckland went up $677 a day in November. Census data released this week showed home ownership has dropped from 67 per cent to 65 per cent nationally since 2006.
“That’s why my Bill if passed will allow only New Zealand citizens and residents to buy any existing house, flat or apartment.Many other countries, including Australia, China, Singapore, the UK and Switzerland target overseas speculation in housing. New Zealand’s lack of regulation leaves the door wide open.”
He said IRD data showed that 11,000 investors had properties in New Zealand that they did not live in.
“An estimated 2,600 homes were bought last year by offshore property speculators that had no intention of living here. That’s a big chunk, given that just 4700 new homes were built in Auckland last year.”
Comments from our readers
Sign In / Register to add your comment
National property values continue to fall with the rate of annual growth dropping from 3.8% in June 2018 to 1.7% in June 2019, the latest REINZ House Price Index reveals.
Flexible working spaces are more than just a fleeting trend and the launch of a new co-working serviced office franchise programme will open up the market to investors.
LVR restrictions on mortgage lending could be a "permanent setting", according to Reserve Bank deputy governor Geoff Bascand.