Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


NZ at risk of overseas investors driving up house prices

21 November 2012

NZ at risk of overseas investors driving up house prices

New Zealand needs to follow the lead of Hong Kong and place restrictions on overseas buyers’ ability to purchase real estate here, Green Party Co-leader Dr Russel Norman said today.

Hong Kong has imposed a 15 per cent emergency tax on foreign buyers of residential property. Hong Kong took this step after investors from Mainland China drove up prices creating a housing bubble.

"Real estate agents in Auckland are raising concerns that overseas buyers are driving up house prices in Auckland,” said Dr Norman.

“Many of these buyers may not even be intending to live in the homes they have bought.

“Australia also has restrictions on overseas buyers purchasing residential properties. Overseas buyers cannot buy established dwellings as investment properties or as homes, unless they meet certain strict criteria.

“The situation as it stands in New Zealand is that foreign buyers only need approval under certain conditions such as when the deal is worth more than $100 million dollars.

"Our weak overseas investment laws mean New Zealand is a good place to speculate in property for overseas investor.

“This situation may be great news for real estate agents but in an already tightly squeezed market, is bad news for New Zealand home buyers.

“Reducing price pressure from overseas investors is just part of the Green Party’s solution to making housing more affordable,” Dr Norman said.

“A capital gains tax (excluding the family home) will further reduce speculation while greater government investment in affordable housing, a warrant of fitness for rental properties, and assistance for first home buyers will ensure more Kiwi families get to live in warm, healthy homes.”

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

PARLIAMENT TODAY:

Midwives On Pay Equity: Historic Bill Of Rights Case For High Court

“We have been left with no choice.” That from Karen Guilliland, the Chief Executive of the New Zealand College of Midwives, as the organisation prepares to file a pay parity discrimination case on the basis of gender under the NZ Bill of Rights Act in the High Court. More>>

ALSO:

Gordon Campbell: On The Children’s Commission Report On CYF

Accusing the overworked and underfunded staff at Child, Youth and Family of a “dump and run culture of neglect” is the kind of luxury that a Children’s Commissioner can afford to indulge in from his own comfy perch in the bureaucracy. More>>

ALSO:

Mt Eden Prison: Serco Inquiry Extended

A two month delay to the Government investigation into prison fight clubs shows the extent of problems within the Serco circus, says Labour’s Corrections spokesperson Kelvin Davis. More>>

ALSO:

Health And Safety: Late Addition Of National Security Provisions A Concern

The New Zealand Law Society has expressed its significant concerns at the last-minute addition to the Health and Safety Reform Bill of provisions for a closed material procedure for court proceedings where national security is involved. More>>

ALSO:

Rugby And Beer: World Cup Alcohol Bill Passes

ACT MP David Seymour’s Sale and Supply of Alcohol (Extended licensing hours during Rugby World Cup) Bill completed its third reading by 99 to 21... More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news