- Date published:
7:03 am, August 25th, 2016 - 75 comments
Categories: capital gains, Economy, housing, national, overseas investment, spin - Tags: dodgy statistics, foreign ownership, housing, housing crisis, lies
Most of the media has reported the Government’s “3%” spin on the extent of residential property purchases in NZ going to foreign buyers pretty uncritically. There have been honourable exceptions, and yesterday property editor Anne Gibson in The Herald joined them:
Foreigners buying 29pc of homes, not 3pc – lawyer
Foreigners are buying 29 per cent of New Zealand residential properties, not the low 3 per cent reported in official state data, a lawyer says.
Mary Anne Shanahan, a New Lynn-based conveyancing lawyer, expressed annoyance at interpretation of Land Information New Zealand (LINZ) data which shows extremely low transaction numbers for foreigners.
At the beginning of this month, LINZ released data showing that from April 1 to June 30, overseas residents bought 1749 out of the 57,678 homes sold in New Zealand. That amounts to 3 per cent of total sales over the three-month period – a similar level to the previous quarter.
But Shanahan said people had failed to add in foreigners here on work or student visas. Those people had not been classified foreigners yet they clearly were, she said, because they are not New Zealand residents.
LINZ revealed that foreigners on work and student visas bought more than 8000 properties they intended to occupy and a further 4707 properties they did not intend to occupy. That significantly boosted the numbers of foreigners buying here to about 29 per cent, Shanahan calculated.
She blamed the media and the Government for failing to examine the data closely enough and interpret it correctly.
“The New Zealand Herald has in its editorial quoted the 3 per cent number with the indication that those of us who know the number to be higher are xenophobic. This issue needs to be raised. …
Read on for more in The Herald.