A survey of real estate agents has revealed that 9% of house sales result in the house going to an overseas buyer. Half say they plan to come and live here – that leaves 5% going to overseas investors. For some reason, the BNZ is trying to pretend that’s a small number. I find it a staggering number. Until now, I would have guess maybe 1 in 50 house sales went to overseas buyers.
Immigrants are welcome. Absentee landlords who add nothing to the country but leech its wealth and increase house prices are not.
5% additional demandt has a huge impact on the market. It’s a like a traffic jam, it’s not the first 95% of cars that are the problem, it’s the 5% too many. If we removed 5% of the demand from the housing market, homes would be more affordable for Kiwis.
How? Do what the Aussies do – don’t allow overseas persons to buy a house unless they are adding to the housing stock. Simple.
[btw, I see Farrar pointing out that the largest nationality within the overseas buyer group is Brits. He writes “Will we hear the parties of the left going on about banning Brits from buying property in New Zealand?”. Yes, Farrar. Of course. Overseas persons means all overseas persons. It’s only your latent racism that would take foreigners to mean only Chinese]