Oh Jesus Christ this just gets worse and bloody worse doesn’t it?
Exclusive: Housing Minister’s backdown on penalties for KiwiBuild property flippers
Phil Twyford has secretly backed down on penalties for KiwiBuild buyers who sell up.When Labour announced the policy in 2016, its plan to stop buyers reaping windfall gains was they must not on-sell their home for five years – or else they had to hand all the money they made to the Government.
That’s now changed to if buyers sell within three years, they must give up 30 percent of their profit.
“We really tried to strike the right balance here,” Mr Twyford says.
“We don’t want people cashing in on a potential windfall gain – but on the other hand, these houses are not subsided. People are paying for them with their own hard-earned cash.”
So everyone screaming on Twitter that it was fine Kiwbuild was housing for the kids of the middle class are also equally defending it being for property speculation today or has everyone gone very silent all of a sudden the way they did when the free speech debate imploded with Chelsea Manning?
Kiwibuild is like goat yoga, The Spinoff, electric bikes, fourth wave white feminism, top knots, sea salt and greek yogurt – it’s for middle class Millennial’s, and while that’s fine and dandy, because goodness gracious me wee Brock and Apple need to get ahead, I’m more concerned for the Kiwis sleeping in cars and the 40 000 homeless.
Finding out that Kiwibuild is not only for the children of the middle classes, but that it’s also for property speculators is just another kick in the guts for every voter who thought this Government would finally do something meaningful for the poor.
Absolutely pathetic of Labour. Shame on them !!!
Have capital gain on the sale of Kiwi build houses for say 20 years, using the monies received by Government to build State Houses.
WHEN and IF we get to the point where we have too many houses (God forbid) and so selling them (from new) is a PROBLEM, then relax this rule for ALL, including the previous purchases.
Otherwise Labour are ONCE again looking like National LITE.
Absolutely appalled of Kerikeri.
WTF is Labour doing?
Told you guys so ages ago:
http://www.ockham.co.nz/media-releases/?locale=en
https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11936574
” Twyford has met Fletcher Building’s residential and land development chief executive Steve Evans, representatives of Mike Greer Homes and Mark Todd of Ockam Residential who he said were “absolutely bursting to be part of this work. Fletchers are keen to do more housing. They’ve done a lot of work on panelisation.”
‘ Opinion: Planning rules the cause of housing crisis’
https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11553128
” It need not be this way. There are plenty of examples of density done well, you only need to look at the buildings designed by Mark Todd’s Ockham Residential.
The trick is to require good urban design and plenty of open space. Even three- to four-storey buildings can provide higher density. There is no need to go high rise.”
Read between the lines, certain names and companies keep popping up, and they will turn out to make nice profits from all this, plus others in the game.
And let us not forget, many KiwiBuild homes are being constructed on state owned land, e.g. such that Housing NZ owns, where redevelopment creates greater density, and where the government will generally only re-house the ones living already in Housing NZ homes, and perhaps a few more, the rest of the two thirds of newly built homes go to first home buyers (able to speculate) and to the open ordinary market, at market prices.
Housing NZ will herd many of its tenants into blocks of units consisting of many one to two bedroom holes that will not offer much space for the tenants, welcome caged humans getting used to East Asian living styles.
And the ones sold to first home buyers and the open market buyers they are basically nothing else but ASSET SALES, on a piece by piece bases (privatisation and gentrification on so far state owned land).
It is truly disgusting – it is so stupid and immoral of Labour what is it about and frankly extraordinary.
$650k minimum for a family home is not going to work really, is it? I mean yes, there will be some sold but nowhere in the numbers, Labour hope.
So the alternatives possible are;
The government obtains and provides the finance, not banks.
The government starts with private enterprise to build them, takes the loss until it can staff a government organisation to build them cutting out the profit motive.
The price of each home is slashed but the tradeoff is that the buyer must retain the house for 5- 10years and be unable to refinance to buy another to prevent speculation.
The house cannot be sold to speculators, keeping down the resale price.
In other words, bypass the very market that failed all newcomers for the past decade that requires profit at every millimetre of a home’s construction to seriously bring housing into the truly affordable category.
Or stick to tried and failed Neo Liberal settings. Because even Judith Collins admits those settings have not worked!
Kiwibuild was promoted as a way to get people who are “locked out of the housing market” … ‘on [to] the property ladder’.
That means, by definition, property speculation.
https://www.labour.org.nz/faq_kiwibuild
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