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REINZ disappointed housing supply not addressed in Budget 19

The Real Estate Institute of New Zealand (REINZ) is disappointed that there were no new announcements made in today’s budget that support addressing housing supply when we have a deficit of around 104,000 houses across the country.

While there have been some excellent measures to address homelessness which focus on some of our most vulnerable members of society, such as the announcement of $197 million for Housing First with 1,044 new places and $149 million for transitional housing funding, a crucial element that needs more focus is housing supply.

Bindi Norwell, Chief Executive at REINZ says: “Given the significant levels of criticism the Government has received around KiwiBuild it is surprising that no new initiatives were announced in today’s Budget – especially as home ownership in New Zealand is at its lowest level in 60 years.

“Housing affordability is another area that has seemingly been ignored in today’s Budget. While there is the support for Māori and Pasifica housing, we would have like to have seen some support for initiatives such as KiwiBuy or other innovative methods of enabling people to purchase a home, particularly when so many first home buyers are struggling to get a foot on the property ladder,” points out Norwell.

“Additionally, just a few weeks out from the Healthy Homes legislation coming into effect there is minimal support for landlords to make their homes warmer and drier and improve the wellbeing of New Zealanders.

“Given Minister Twyford’s announcement about the Kāinga Ora-Homes and Communities Bill yesterday, we were surprised no additional funding was announced today to ensure the long-term financial wellbeing of Kāinga Ora-Homes and Communities.

“Finally, we commend the Government’s focus on improving the mental health and wellbeing of our country,” concludes Norwell.

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