Rental property providers reject accusation
The New Zealand Property Investors' Federation (NZPIF) rejects the accusation made against rental property providers by the Monte Cecilia Housing Trust.
Trust Chief Executive Bernie Smith said "When the government increases housing subsidies for families, some property owners put the rent up in accordance with the increase, so the family isn't any better off".
Housing subsidies in New Zealand are paid directly to the tenant and not the rental property owner.
"It's a very inaccurate claim that attempts to paint rental property owners as villains" says Andrew King, NZPIF Executive Officer. "Private landlords usually have no idea if their tenants are receiving a housing subsidy or not let alone whether this has been increased.”
A NZPIF study into New Zealand rental prices shows that it is significantly cheaper to rent the average New Zealand home than to own it. In December last year it was nearly $10,000 a year cheaper to rent than own a home, which equates to a saving of $104 per week over home ownership.