Scoop has an Ethical Paywall
Work smarter with a Pro licence Learn More

Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 

$9700 per property WOF cost for landlords?

PRESS RELEASE - immediate release

$9700 per property WOF cost for landlords?

Property investors should be very alarmed that the amount each landlord could be expected to pay for upgrades associated with a proposed warrant-of-fitness scheme is $9700 for each property, Mike Butler of NZCPR said today.

The estimate is included in recommendations from the Children’s Commissioner who lobbied the government two years ago with Working Paper No.18: Housing Policy Recommendations to Address Child Poverty. Its 12 recommendations include a warrant-of-fitness scheme and a push for insulation and heating.

Early indications from two trials that are under way show that more properties fail than pass the test that requires ceiling insulation 120mm thick, under-floor insulation, and a supplied heater, Mr Butler said.

A rough cost-benefit analysis based on information in Working Paper No.18 shows that the total cost to owners of the 465,000 rental properties throughout New Zealand, at an average cost of $9700 per property, would be $4.5-billion.

The only benefit quantified in the report showed a saving of $2.90 per household (with a child aged less than 15) per month as a result of receiving insulation, which would be just. $34.80 a year per household or $16.1-million a year for 465,000 households.

That $16.1-million a year saving goes to the health system and private landlords pay $4.5-billion, which is a proposal that just does not stack up, Mr Butler said.

Property professionals know that no changes are required and the key problem in the rental sector is problem tenants, not problem landlords, Mr Butler said.

The WOF scheme should either be scrapped, or, if the government is really keen to spend to save money, the government should pay for the private sector upgrades, Mr Butler said.

ENDS

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

© Scoop Media

Advertisement - scroll to continue reading
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines


Gordon Campbell: On The US Opposition To Mortgage Interest Deductibility For Landlords


Should landlords be able to deduct the interest on the loans they take out to bankroll their property speculation? The US Senate Budget Committee and Bloomberg News don't think this is a good idea, for reasons set out below. Regardless, our coalition government has been burning through a ton of political capital by giving landlords a huge $2.9 billion tax break via interest deductibility, while still preaching the need for austerity to the disabled, and to everyone else...
More


 
 

Government: Concerns Conveyed To China Over Cyber Activity
Foreign Minister Winston Peters has confirmed New Zealand’s concerns about cyber activity have been conveyed directly to the Chinese Government. “The Prime Minister and Minister Collins have expressed concerns today about malicious cyber activity... More

ALSO:


Government: GDP Decline Reinforces Government’s Fiscal Plan

Declining GDP for the December quarter reinforces the importance of restoring fiscal discipline to public spending and driving more economic growth, Finance Minister Nicola Willis says... More

ALSO:


Government: Humanitarian Support For Gaza & West Bank

Winston Peters has announced NZ is providing a further $5M to respond to the extreme humanitarian need in Gaza and the West Bank. “The impact of the Israel-Hamas conflict on civilians is absolutely appalling," he said... More


Government: New High Court Judge Appointed

Judith Collins has announced the appointment of Wellington Barrister Jason Scott McHerron as a High Court Judge. Justice McHerron graduated from the University of Otago with a BA in English Literature in 1994 and an LLB in 1996... More

 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels


 
 
 
 

Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.