Parliament

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

 

Loan to value restrictions would hurt first home buyers

Phil Twyford
Housing Spokesperson

24th October 2013

Treasury told the Government that loan to value restrictions would hurt first home buyers

Treasury documents released today show that Treasury warned the Government loan to value ratio restrictions would have a massive impact on first home buyers.

“Treasury told the Government 6-8000 first home buyers would find themselves restricted by LVRs. Treasury also says that 40% of high LVR lending is to first home buyers and that 65% of first home buyers have high LVR loans” said Labour’s Housing spokesman Phil Twyford.

“Treasury also rubbished the Government’s pathetic attempt to look like they were doing something for first home buyers with their changes to KiwiSaver and Welcome Home Loans.

“They warned the Government that those measures may hurt it’s housing affordability objectives .They further argued it risked continuing the current house price growth, they ‘ question the value of the additional spending’, and that there was little evidence price caps needed to change and that it may reduce lending standards.

“In addition in documents released to Labour under the Official Information Act ,Treasury noted the Kiwisaver and Welcome Home Loan changes would advantage high income earners while disadvantaging low income earners currently served by the scheme and may affect less people than the Government claimed.

“Treasury also pointed out two of Labour’s key policies were options that could actually help the housing crisis, a capital gains tax and restricting purchases for offshore speculators.

“This shows yet again that after five years of inaction all the Government can do for first home buyers is offer them more restrictions and gimmicks while Labour offers real solutions.

“Labour will build 100,000 affordable homes and crack down on speculators through a capital gains tax .”

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Bojo Visit

British Foreign Minister Boris Johnson is in town today, just over a year since his political career peaked… and then wobbled off into a grey zone of indecision...

Currently, Johnson is touring the former colonies, talking up the historical ties. More>>

 

PM's Press Conference: Boris, Infrastructure, Immigration, Drugs

Prime Minister Bill English opened this week's post-cabinet press conference by revisiting that day's announcement of 'Crown Infrastructure Partners'... More>>

Employers Pleased: Reports Of Govt Backdown On Low-Wage Immigration

MEA: We are pleased to hear that the Government is planning to review incoming immigration changes with a specific focus on how they will affect the regions. Effectively addressing skills shortages in manufacturing and other sectors needs to remain a core part of our immigration system ... More>>

ALSO:

Gordon Campbell: On The Ch-Ch-Changes At IRD

Job cuts aren’t happening at the IRD, exactly. Instead, there’s apparently a ‘transformation’ in store, and jobs won’t be axed ; no, they will be ‘transformed’ before our eyes into… non-jobs, if you happen to be among the unlucky legion of 1,900 who are being lined up for transformation... More>>

ALSO:

Christchurch Mental Health: Hospital Too 'Awful' For Reviewers To Visit

Jonathan Coleman has to stop the stalling over a new building for mental health services in Christchurch to replace the quake damaged Princess Margaret Hospital, says Labour’s Health spokesperson David Clark... More>>

ALSO:

Greens Call For Govt Action: Children Sick Because Of NZ Housing

The Royal Australasian College of Physicians president-elect said today that children with preventable respiratory illnesses are being re-admitted to hospital because they're being sent back to cold, damp homes. More>>

ALSO:

Less Tax Cut, More Spending: Labour Launches Fiscal Plan

“Labour will invest $8 billion more in health, $4 billion more in education and $5 billion more for Kiwi families through Working for Families, Best Start and the Winter Energy Payment than the Budget 2017 projections for the forecast period.” More>>

ALSO:

Gordon Campbell: On The Greens’ Room For Political Pragmatism

The Greens here are currently being criticized by the commentariat for not making the same kind of pragmatic choices that sunk the Democrats in Australia. More>>

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages

Opening the Election