ℍ𝕠𝕦𝕤𝕖 𝕡𝕣𝕚𝕔𝕖𝕤 𝕔𝕠𝕦𝕝𝕕 𝕣𝕚𝕤𝕖 𝕦𝕟𝕕𝕖𝕣 ℕ𝕒𝕥𝕚𝕠𝕟𝕒𝕝 𝕤𝕒𝕪 𝕖𝕩𝕡𝕖𝕣𝕥𝕤.

ℍ𝕠𝕦𝕤𝕖 𝕡𝕣𝕚𝕔𝕖𝕤 𝕔𝕠𝕦𝕝𝕕 𝕓𝕖 𝕤𝕖𝕥 𝕥𝕠 𝕣𝕚𝕤𝕖 𝕒𝕘𝕒𝕚𝕟 𝕚𝕗 𝕥𝕙𝕖 𝕟𝕒𝕥𝕚𝕠𝕟𝕒𝕝 𝕡𝕒𝕣𝕥𝕪 𝕨𝕚𝕟 𝕥𝕙𝕖 𝕖𝕝𝕖𝕔𝕥𝕚𝕠𝕟 𝕚𝕟 𝕆𝕔𝕥𝕠𝕓𝕖𝕣 𝕤𝕒𝕪 𝕖𝕩𝕡𝕖𝕣𝕥𝕤.

C

oreLogic says house prices could be set to rise again if National gets elected.

Their latest property figures show house prices are flattening, with prices dropping just 0.2 percent in August.

But Chief Property Economist, Kelvin Davidson says there could be a surge in demand from investors if National is able to implement its housing policies.

Davidson spoke to Ingrid Hipkiss.

RNZ

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ℕ𝕒𝕥𝕚𝕠𝕟𝕒𝕝’𝕤 𝕟𝕖𝕨 𝕥𝕒𝕩 𝕡𝕠𝕝𝕚𝕔𝕚𝕖𝕤 𝕥𝕠 𝕓𝕣𝕚𝕟𝕘 𝕓𝕒𝕔𝕜 𝕗𝕠𝕣𝕖𝕚𝕘𝕟 𝕓𝕦𝕪𝕖𝕣𝕤 𝕒𝕟𝕕 𝕝𝕒𝕟𝕕𝕝𝕠𝕣𝕕 𝕥𝕒𝕩 𝕓𝕣𝕖𝕒𝕜𝕤 𝕔𝕠𝕦𝕝𝕕 𝕙𝕖𝕒𝕥 𝕦𝕡 ℕ𝕖𝕨 ℤ𝕖𝕒𝕝𝕒𝕟𝕕'𝕤 𝕙𝕠𝕦𝕤𝕚𝕟𝕘 𝕞𝕒𝕣𝕜𝕖𝕥, 𝕒𝕔𝕔𝕠𝕣𝕕𝕚𝕟𝕘 𝕥𝕠 𝕖𝕩𝕡𝕖𝕣𝕥𝕤.

The bright line test — which currently sees tax paid if a house is sold within a decade — would also be reduced to two years under National's plan.

Various experts spoken to by 1News said that it was the combination of the policies that would see prices and demand increasing.

They were also concerned that Kiwis would continue to pour money into the housing market, rather than other parts of the economy.

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Labour's finance spokesperson Grant Robertson suggested the "numbers don't add up."

He said: "There is a real risk that it puts first home buyers out of the market."

Meanwhile, Ray White chief economist Nerida Conisbee said the opposition party's policies would "for sure impact prices in some of [the country's] most expensive property markets" — like Queenstown — with the potential return of foreign buyers.

National hopes the change will bring in around $740 million. Under the party's plan, buyers would have to pay a 15% tax and can only purchase homes over $2 million.

However, Conisbee said that the level of foreign demand may not be as high as before, meaning there could be a large hole in the tax take.

“We know that China’s foreign buyers weren’t as active as they were last decade. It is likely we won’t see quite the same level of activity that we saw prior to 2017," she said.

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National leader Christopher Luxon defended his party’s numbers and assessments.

“We are rock solid on our numbers and on our assessments," he said.

Meanwhile, at the other end of the market, National says landlords will have it easier under its policies, which the party and others argue would be good news for renters.

Property investor Shirley Berryman said: "We provide a home for them. And we do try to do that as cost-effectively as we possibly can.

"If we're running a business we need to be able to run at a profit, otherwise we'd be silly to be doing all of the work."

But Berryman added that she didn't expect rents to fall as a result of a potential change.

“I think the answer really has to be no — because we’re behind where our rents could be anyway."

National's characterisation that the policies could help renters was rubbished by the Greens and advocacy group Renters United.

A spokesperson for the group, Geordie Rogers, said: “I am absolutely certain we will see no downward pressure from giving landlords more money."

He also criticised the lack of focus on building new houses by political parties.

TV1 News

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