5 July 2016

Auckland house prices still out of control

Out of control house price rises in Auckland and around the country further highlight how the National Government’s tinkering is failing to address the housing crisis, the Green Party said today.

The latest QV House Price Index released today shows that Auckland house prices have continued to rise strongly, with Auckland's average house value now $975,087. The Auckland market has increased 16.1 percent year-on-year and 4.7 percent over the past three months. Values there are now 78 percent higher than the previous peak of 2007.

“It’s unreasonable for John Key to keep saying there is no housing crisis in Auckland when already-unaffordable houses still keep going up in price,” said Green Party Co-leader James Shaw.

“People are having to live in cars and garages, or crowd whole families into a single room just to get by. Many of these people have jobs.

“Workers should be able to afford their own homes. After eight years of National’s tinkering, a first home is more unaffordable than ever.

“National’s half-measures, like its recently announced housing infrastructure fund, don’t guarantee a single new affordable home will be built. They simply divert attention away from the few investors making extreme profits from this property price bubble.

“Eight years of National’s economic leadership has created a huge speculative housing bubble which is hurting New Zealanders and hurting our economy.

“It’s increasingly clear that the only way to fix the Auckland housing crisis is to change the Government.

“The Green Party in government would seek to introduce a comprehensive capital gains tax (excluding the family home) and undertake a major state-sponsored house build,” said Mr Shaw.
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