Housing In New Zealand is Becoming Unaffordable. Good Houses In Short Supply In Auckland, NZ.
Instead of taxing the rich to generate money needed in our country, which would be the sensible thing to do, the National government under the short-sighted John Key are hocking off all our assets and allowing rich Chinese nationals to come in and buy up our houses and land.
Radio New Zealand reported last week that bus-loads of Chinese tourists are coming here for the specific purpose of buying up our real estate.
New Zealand’s National Government under John Key is promoting the sale of, not only our valuable assets, but our prime land and HOUSES to foreign landlords who do not even live here. This is drying up our stock of available housing, both at a purchasing level, and a rental one. It also means that the money which is generated from rents from these Chinese-owned houses, is not circulating around New Zealand, so that there is no benefit to our economy in any way. Because the rental money heads off overseas, to China, or the United Kingdom, or someplace else. And meantime, more of our housing stock is gobbled up by absentee-landlords.
We have NO CAPITAL GAINS TAX IN NEW ZEALAND, which is a big attraction for overseas investors, whilst being a no-win situation for our NZ tax department.
If this situation continues, then New Zealand will be 90% owned by foreigners, mainly Chinese nationals, within a few years, with the remaining 10% of houses and land belonging to the rich-list people like John Key. There will be absolutely nothing left in New Zealand for us to take pride in any more. No homes for young people to buy. No land for young farmers to farm. No businesses, like shops and manufacturing plants to make a living from. Our electricity companies, all our mines – anything which has the potential to provide work for people and funds for the tax department, will all be dominated by, mainly, the Chinese.
The Chinese land-grab, as well as the large number of rich immigrants which this government is accepting each year, is making housing unaffordable for the average Kiwi who would like to own their own home.
Even young people on two good wages and a healthy deposit, are finding the Chinese competition too fierce in Auckland, NZ. My daughter’s friends went along to literally scores of house auctions – maybe 50 or 100 – before they finally managed to purchase a house which was affordable. It took them months to finally get hold of a modest house in Auckland, an ex-state house, which they could call home. The settlement figure was around $800,000 for this house in the suburbs.
No wonder there is a lot of anti-Chinese resentment here in New Zealand, and no wonder that the Aussies are stopping our free passage from New Zealand. On humanitarian grounds alone, we have reason to suspect the Chinese authorities. But keeping an open door here to them, and witnessing the silent take-over by stealth and wealth, is very alarming indeed.
These wealthy Chinese land-grabbing tourists have a seemingly bottomless purse when they attend our house auctions. They simply keep on bidding until they win. Then they trundle back into their tourist-coach, which takes them onto the next auction. Eventually, after a week or so of auctioning it out in Auckland, they go back to China. Then, if they want to, they can easily get residency here because they already own land or a house. I think I heard on Radio New Zealand last week that they only have to spend $250,000 here in order to apply for residency, not that you can buy a house for that figure any more, unless you want to live out in the sticks in volcano-territory, at the back of beyond, near Mount Ruapehu or Mount Tongariro, which erupted only a week ago. Now if they all went down there, we wouldn’t be complaining.
John Key should address this situation URGENTLY.
The Labour Party under David Shearer has an excellent plan to put people into their own houses. This is very commendable, and will, when it is implemented, address the problem of our national housing shortage, to a certain extent. But the real reason there is no affordable housing left for born-and-bred-Kiwis is this great influx of buyers from overseas, and the rich immigrants which our government encourages to come here.
It is foreign investment, one way or another, which has forced up the prices of our real estate to such an extent that the average Kiwi person does not stand a chance.