New Report Reveals Property Investors Economic Contribution

The New Zealand Property Investors Federation (NZPIF) has today released new research showing private residential property investors contributed $24.8 billion to GDP and sustain 126,000 fulltime equivalent jobs across the economy in the year ending 31 March 2024.

The independent analysis, conducted by Infometrics, is the first major research project commissioned by the Federation.

NZPIF says the findings directly counter the narrative that property investors are “unproductive” and “speculators.”

“Property investors provide a critical service by supplying and maintaining most of New Zealand’s rental housing stock,” says NZPIF PR & Advocacy Manager Matt Ball. “This new report proves what our members have known for years: what they do is real work that supports jobs, strengthens local communities, and underpins the wider economy.”

Key Findings

• $24.8 billion in GDP, equivalent to 5.9% of New Zealand’s total economy
• 126,000 FTE jobs sustained, or 5% of the national workforce
• $4.1 billion spent on maintenance and improvements
• $10.7 billion spent on new builds

Economic benefits spread across all 109 industries measured in the New Zealand economy

Infometrics found that property investors generate significant economic ripple effects through construction, trades, manufacturing, architecture, engineering, legal and financial services, retail, hospitality and other industries.

“Providing rental housing doesn’t just produce economic activity, it’s an enabler of economic activity throughout the economy,” says Ball. “A well-functioning rental market allows workers, students, and families to live where they need to be. Without private investors providing most rental properties, the economy simply wouldn’t operate effectively.”

A Commitment to EvidenceBased Debate

NZPIF says the report marks the beginning of an expanded programme of research to counter misinformation and support more informed policy discussions.

“This is the first time we’ve commissioned a report like this, but it won’t be the last,” says Ball. “Our members are tired of being scapegoated by politicians who blame landlords for their housing policy mistakes.”

“We are committed to growing the evidence base around the rental sector so that we can effectively contribute to developing sound housing policy which benefits investors, renters and homeowners alike.”

For the full report visit https://nzpif.co.nz/the-economic-contribution-of-residential-property-investors/

About NZPIF:

The New Zealand Property Investors Federation (NZPIF) is the professional body representing New Zealand’s 317,000 property investors. With a commitment to advocacy, support, and education, the NZPIF strives to elevate industry standards, foster ethical practices, and provide invaluable resources to all property investors.

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