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Building data confirms need for KiwiBuild

Raymond
HUO
Spokesperson for Building and Construction

30 November 2012 MEDIA STATEMENT
Building data confirms need for KiwiBuild

The latest building and consents data confirms that too few homes are being built to meet demand, says Labour’s Building and Construction spokesperson Raymond Huo.

“In the last 12 months just 16,401 homes were built nationwide – that’s down from the peak of 31,823 in 2004. And in Auckland just 4,400 new houses were built, which is almost 8,000 fewer than the peak of last decade.

“The figures speak for themselves. We are simply not building enough new houses, and that inevitably puts upward pressure on prices. Home ownership in Auckland has now fallen below 60-percent, and there is nothing in the latest data to suggest that will change for the better if we continue on our current path.

“Statistics New Zealand data also shows the average size of new houses is continuing to increase. In 1990 the average floor area of new houses was 135m2, in 2000 it was 171m2 and now it is 197m2.

“Bigger houses are more expensive. The market is simply not building the sort of modest, entry-level houses needed by many would-be first-home buyers.

“Labour’s KiwiBuild policy will tackle both the problem of the low number of new dwellings being built, and the lack of smaller affordable homes.

“The next Labour Government will build 100,000 new affordable homes over ten years. KiwiBuild will give first-home buyers a real chance to get on the housing ladder by buying a quality house, terraced house or apartment.

“Today’s data just confirms the need for the Government to take a hands-on approach to housing affordability – and Labour’s KiwiBuild will do just that,” says Raymond Huo.

ENDS

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