Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Investor reaction to Green housing policies

Investor reaction to Green housing policies

The Green Party released its housing policy yesterday. The New Zealand Property Investors’ Federation (NZPIF) has analysed this policy and the following points must be considered if better housing is to be achieved for vulnerable families.

Rental Property Warrant of Fitness (WOF).

• The NZPIF agrees that some vulnerable families need help, but an untargeted WOF is not the answer.

• Only 7% of tenants calling the Tenancy Services Help Line are concerned about the condition of their rental properties. It is not a widespread problem.

• The cost of the WOF would be passed onto tenants through rent rises.

• Health problems in housing will not be fixed by insulation alone. Vulnerable families can't afford to turn on their heaters and higher rents will make this harder for them to do. Higher rents lead to some families moving in with other families and overcrowding is another source of housing related health problems.

• Rather than a blanket WOF applying to all tenants, funds would be better directed to those in need and cover items such as insulation, subsidised heating and tenant education on how to keep their home ventilated.

• There is a real risk that a WOF will be continually "improved" adding to costs and potentially removing some properties that are unable to comply from the rental stock.

• "A WOF is expensive, which will do nothing to help rental prices or overcrowding" says NZPIF Executive Officer Andrew King. "Insulation is one part of providing a healthy home, but heating and ventilation are also critical elements. If tenants can't afford to turn on heating now, how will a WOF help them?"

Insulating 200,000 homes, at a cost of $327 million.

• The Government Insulation scheme that the Greens want to reintroduce appeared in the past to be really an insulation installers’ scheme. Installing insulation was too expensive even with the $1,300 Government Grant.

• Many Property Investor Association members insulated their rentals without using the Government scheme because it was more cost effective to do this.

• Making insulation a tax deductible expense would cost the Government less and have a lower impact on rental price increases.


Providing greater security of tenure for families.

• The majority of rental property owners keep their properties for the long term and appreciate long term tenants.

• Tenants only have to give 3 weeks’ notice to vacate a rental property. This flexibility is a significant benefit of renting. Giving them the right to also stay in the property as long as they like is taking away the rights of the rental property owner.

• If a rental property owner has a financial or health problem and needs to sell their rental property, they should not be prevented from doing so by a tenant’s desire not to move.

• The NZPIF believes there are better ways to match tenants who want long term security of tenure with rental property owners who want long term tenants. But neither party should have more rights than the other.


$3 million of extra funding to help families taking action against substandard rental housing

• The Tenancy Tribunal does not allow lawyers or advocates for either party, but if a tenant needs help they can get it.

• Access to paid expert advocates for tenants would create an unbalanced system and reduce justice for rental property owners

ENDS


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Media: Fairfax Moves To Create Modern Newsroom

Fairfax Media New Zealand continues its newsroom transformation this week, with a proposal to further organise its editorial operations into focused, local teams and specialist national topic areas. More>>

ALSO:

Dairy: Fonterra Forecast For 2015/16 Season

Fonterra Co-operative Group Limited has today reduced its forecast Farmgate Milk Price for the 2014/15 season to $4.40 per kgMS. Along with its previously announced forecast dividend range of 20-30 cents per share, the change amounts to a forecast ... More>>

ALSO:

BusinessDesk: SkyCity Lifts Minimum Convention Centre Investment To $430M

SkyCity Entertainment Group, the casino operator, has lifted the minimum it will invest in the Auckland International Convention Centre to $430 million and said total costs including land may be $450 million to $470 million. More>>

Statistics: Drop In Dairy Prices Leads Fall In Exports

Total goods exports fell $240 million (5.5 percent) to $4.2 billion in April 2015 compared with April 2014, Statistics New Zealand said today. More>>

BusinessDesk: APN's NZME Sees Future In Paywalls, Growth In Digital Sales

APN News & Media has touted a single newsroom concept for its NZME unit in New Zealand, similar to what Germany's Die Welt uses, saying an 'integrated sales proposition' is helping it win market share, including ... More>>

Labour Party: Global Milk Prices Now Lowest In 6 Years

The latest fall in the global dairy price has brought it to the lowest level in six years and shows there must be meaningful action in tomorrow’s Budget to diversify the economy, says Labour’s Finance spokesperson Grant Robertson. “Dairy prices ... More>>


BusinessDesk: NZ Inflation Expectations Creep Higher In June Survey

May 19 (BusinessDesk) - New Zealand businesses lifted their expectations for inflation over the next two years, sapping any immediate pressure on the Reserve Bank to cut interest rates, and prompting the kiwi dollar to jump higher. More>>

BusinessDesk: Lower Fuel Costs Drive Down NZ Producer Input, Output Prices

May 19 - Producer input and output prices fell in the first quarter, mainly reflecting lower fuel costs and weakness in prices of meat and dairy products. More>>

Media: Fairfax Media NZ Announces Senior Editorial Team

Fairfax Media New Zealand has today confirmed its new editorial leadership team, as part of a transformation of its newsrooms aimed at enhancing local and national journalism across digital and print. More>>

Science: Flavonoids Reduce Cold And Cough Risk

Flavonoids reduce cold and cough risk Research from the University of Auckland shows eating flavonoids – found in green tea, apples, blueberries, cocoa, red wine and onions – can significantly reduce the risk of catching colds and coughs. The research, ... More>>

BusinessDesk: RBNZ House Alert Speech The Catalyst For Government Action

Prime Minister John Key all but conceded that pressure from the Reserve Bank of New Zealand for concerted action on rampant Auckland house prices was one of the main catalysts for the government's weekend announcements about tightly ... More>>

BusinessDesk: How To Fall Foul Of The New Housing Tax Rules: Tips From IRD

Just because you rented out your investment property doesn't absolve you from paying tax, says the Inland Revenue Department in a summary of commonly made mistakes by non-professional property investors when it comes to their tax liability.More>>

Legal: Superdiversity Law, Policy And Business Stocktake Announced

Mai Chen, Managing Partner at Chen Palmer New Zealand Public and Employment Law Specialists and Adjunct Professor of Law at the University of Auckland, today announced the establishment ... More>>

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news