BOOM!
The Greens finally get into the game by opening an enormous front against Labour on the appalling crisis in Housing!
Housing crisis: Greens push to end equity-only mortgage deposits in bid to lower prices
The Green Party wants to see new measures introduced to bring down house prices and engineer a “soft landing” for the housing market, calling for restrictions on equity being used to buy additional properties.
The change would stop existing homeowners from using just the equity in their home to buy a second or third house – either for themselves or for another family member – and stymie anyone without a cash deposit.
The party is also calling for the “Bright Line Test” timeframe to be extended indefinitely – essentially creating a capital gains tax – meaning anyone selling a home that is not their main home would see a hefty tax bill.
The Green Party laid out its proposals for reining in the overheated housing market ahead of the Government’s announcement of its housing policy , which is expected next week and will likely be much more cautious.
The national median house price has increased by 23 per cent in the last year to sit at a record high of $780,000, according to latest Real Estate Institute data. The median price in Wellington and Auckland now exceeds $1m.
All the existing inequalities in this unregulated commodification of housing have been exacerbated by the Labour Government pouring billions into the Corporate Banks for them to lend out to speculators who have gone a crime spree orgy of property speculation.
The speculators and banks are laughing in shock that it’s a Labour Government who gave them trickle down!
Seeing as Jacinda has ruled out all the actual things that would take the pressure out of inequality and housing, the market continues to exploit and cheat the existing loopholes.
The Greens know this and they have actual solutions, real ones that will be meaningful.
Sadly no one will remember what the fuck they were.
Brothers and Sisters, I’ve been critical in the past at the bewildering lack of strategic back room planning inside the Greens, and just when they finally have something worthwhile saying, they launch it on the day NZ wins the America’s Cup.
Every news outlet was swamped by fucking America’s Cup which obliterated and eclipsed the Green Party Housing solutions.
How hard was it for the Greens to appreciate they might get no news coverage on the day we win that stupid cup for billionaire toy boats?
Are the Greens trying extra hard to be this extra stupid?
Sigh.
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The Greens are about as business savvy as our poodle. I feel so sorry for you Bomber…it’s like being a Warriors fan.
Wait until ACT launch a ‘green indicative’ with some logical policies – that will kill the Green Party which is not a Green Party anyway.
The ACT party are more of a denialist party, are they not? That’s even worse.
The ACT party are more of a denialist party, are they not? That’s even worse.
You’re right Jaspinda
I’m not even sure the government *could* intervene in this manner without creating even more distortions, some very unhealthy legal and constitution precedents and leave some gaping holes that would allow savvy investors to carry on as usual.
As usual with the Greens this is just another ill considered ‘idea’ from the opposition benches designed to make them appear to be relevant when they’re not.
The No Zealand Groanz… *sigh*
Is equity being used as a “deposit”. I know equity may be used as collateral for a loan but buying a property requires cash. It is not something that can be done just with equity. The property owner/speculator still has to find the cash that LVR’s prevent the bank from lending.
I know the propertied have a better chance of raising a loan than the propertyless because they have more to offer by way of collateral. However, I cannot help but feel that the Green’s thinking seems a bit muddleheaded on this particular issue.
However, I could be wrong, as I not really experienced when it comes to buying multiple properties.
My thoughts exactly mikesh thankyou . I dont understand what they are getting at. Collateral yes but cash is needed
Not for speculators they can use the equity in a house they own to buy a second one and pay interest only.
Not for speculators they can use the equity in a house they own to buy a second one and pay interest only.
The “interest only” is paid on the loan itself, but the loan doesn’t cover the whole price of the property, as far as I know. I think they still need a cash deposit. Otherwise need for LVRs doesn’t make any sense.
Different use of terminology, what the greens call equity is borrowing against an existing property (with no or a low mortgage compared to its value) to pay a deposit for a new property purchase which also has a mortgage on traditional terms. The not so secret way that this is the path to financial riches is the existing property also had a traditional mortgage but capital gain decreased the mortgage compared to the property value so that tax-free money is used to gain another property that will also provide tax-free money (provided the owner or their accountant has 2 or more brain cells to find a way around the bright-line test)
Yes. I had since come to the same conclusion myself, ie that that is what the Green Party was getting at. However I don’t see that practices of that sort can reasonably be stopped. I think the government should make interest rates non deductible, at least in the case of residential rental properties. This would at least make such practices more expensive for the landlord.
I like that idea also, in the current low-interest conditions it would not make much difference but any increase in interest rates would soon change the supply/demand ratio for houses which could bring prices down rapidly if the change is dramatic although other problems would take the place of house price concerns.
Every time the Greens open their mouths on housing they push the Green home owner voters to Labour. Not helping the planet.
Crickets on immigration from the Marama (When James tentatively mentioned reducing immigration, it sounds like he was shut down. Why James is more popular than Marama).
Even with Covid, Nearly 120,000 people have been through New Zealand’s managed isolation and quarantine (MIQ) process since March 26, 2020. https://www.stuff.co.nz/national/health/coronavirus/124424210/covid19-police-called-to-57-incidents-at-managed-isolation-facilities
Imagine how many people needing housing and infrastructure are going to come to NZ when Covid stops and the borders open for the foreign students, chefs and labourers and their extended families (who never leave) ??? another million coming to NZ?
120,000 is a lot of people returning to NZ under Covid, so no wonder housing prices are off the charts!
…. there is hundreds of more houses needed for new people each week under Covid, many of the returnees have loads of cash as they came from countries where they had money and if they are poor they seem to be getting plenty of help from government agencies to remain in NZ and get financial and housing assistance.
Kiwi citizens with their low wages that can’t afford NZ houses (getting more grandiose) and now thanks to idiot ideological led thinking on what is causing the housing crisis from all parties (nothing to do with 1 million new residents into NZ in the past decade and NZ can’t cope and did not plan or expect it) they are now wrecking the rental market too!
I’m just pleased I’m not renter with the stupidest woke led thinking possible from people who are supposed to be on their side but actually destroying the rental market after destroying the housing market.
Get some balls and change immigration so that we don’t turn even more into a 3rd world nation where the locals are too poor even to be tenants in their own countries. 1 million+ more people will come to NZ as soon as the borders open and the greens and Labour will still think a tax will stop it!
Not just the housing, the roads and infrastructure can’t cope, either!
Getting rid of dual citizenship will help.
Get rid of permanent residency. Have it take 20 years to get NZ citizenship. Stop the temporary foreign workers/students coming to NZ as they never leave, require a lot of services like mental health, justice, police, social welfare, labour inspectorate, health care, schooling, roads, water, housing, superannuation etc. So many temp workers/students are not doing well in NZ, become cash workers, criminals, fraudsters, mentally ill or income-less parents, then there is no getting rid of them it seems. The consensus seems if a foreign visitor come to NZ, no matter what, they feel entitled to stay in NZ, bring all their extended family with them, with all the perks of permanent residency and citizenship.
More than 300,000 temp workers turned permanent residents/overstayers have come into NZ under labour and Greens which is why we have the rental crisis, MIQ places all full, social services are under huge demand while NZ actual work quality is dropping and everything is failing and costing a fortune, from construction to roads.
And then we had the same deal under National who started all this immigration BS.
Sucks we now have low skill immigrants flooding the country taking all the jobs at a much lesser rate than the existing kiwis here. We were told if we want to get paid more we had to get qualified and what does National do next? Flood us with people making our qualifications worth nothing so now all us kiwis have student loans around our necks too!
Foreign students in secondary school provide the school with a lot of income that the school would normally not get.
At a Tertiary level foreign students again pay a lot more for the same courses and provide the education institutes with a lot of much needed financial capital. Along with this is the exposure in class to other ideas, norms and ways of thinking which is meant to be part of Tertiary education. I know I benefited greatly and had many an interesting discussion on Middle Eastern and Pacific Politics with students from Amercia, their take on the Seconf Gulf War amoung other topics.
the most intelligent comment on the subject.
Raise interest rates back to what they were at the end of the Clark government. 8% will help those saving for a deposit and heaps of speculators will go broke and have to put their houses on the market.
Meanwhile the environment necessary for all life, falls to the bottom of the Greens list.
Government Statements On Mining DOC Land A Betrayal – Catherine Delahunty
https://thedailyblog.co.nz/2021/03/18/government-statements-on-mining-doc-land-a-betrayal-catherine-delahunty/
Apparently NZ is importing in records amount of coal. Had NZ supported sustainable power solutions in the previous decades and not continued corporate welfare to the likes of Rio Tinto, everyone would be better off.
Way to be cleared for big electricity players to prey on low-income households
https://www.stuff.co.nz/national/politics/opinion/102708888/way-to-be-cleared-for-big-electricity-players-to-prey-on-lowincome-households
NZ Power Companies are not even Compliant under EU and US Laws!
https://ecotricity.co.nz/nz-powercos-noncompliant-under-eu-us-rules/?utm_source=facebook&utm_campaign=Non+Compliant+Blog+Release&utm_medium=paid&hsa_cam=6116002037136&hsa_src=%5BSITE_SOURCE_NAME%5D&hsa_acc=10152756314334928&hsa_ver=3&hsa_net=facebook&hsa_grp=6116002037536&hsa_ad=6116002037936&fbclid=IwAR0PwZmsmg8Q1b-aevcUijRowgavgNNT36_46yPRedul03imfWS6dSHLapc
Rio Tinto waste – just throw your hazardous waste in the local towns – years of meetings, no action.
https://www.youtube.com/watch?v=sI_LjMsr8gU
Meanwhile the environment necessary for all life, falls to the bottom of the Greens list.
Government Statements On Mining DOC Land A Betrayal – Catherine Delahunty
https://thedailyblog.co.nz/2021/03/18/government-statements-on-mining-doc-land-a-betrayal-catherine-delahunty/
Apparently NZ is importing in records amount of coal. Had NZ supported sustainable power solutions in the previous decades and not continued corporate welfare to the likes of Rio Tinto, everyone would be better off.
Way to be cleared for big electricity players to prey on low-income households
https://www.stuff.co.nz/national/politics/opinion/102708888/way-to-be-cleared-for-big-electricity-players-to-prey-on-lowincome-households
NZ Power Companies are not even Compliant under EU and US Laws!
https://ecotricity.co.nz/nz-powercos-noncompliant-under-eu-us-rules/?utm_source=facebook&utm_campaign=Non+Compliant+Blog+Release&utm_medium=paid&hsa_cam=6116002037136&hsa_src=%5BSITE_SOURCE_NAME%5D&hsa_acc=10152756314334928&hsa_ver=3&hsa_net=facebook&hsa_grp=6116002037536&hsa_ad=6116002037936&fbclid=IwAR0PwZmsmg8Q1b-aevcUijRowgavgNNT36_46yPRedul03imfWS6dSHLapc
Rio Tinto waste – just throw your hazardous waste in the local towns – years of meetings, no action.
https://www.youtube.com/watch?v=sI_LjMsr8gU
Have you considered that it was intentional, because the Groanz are all sound and fury? Look at their vociferous outbursts over Australia and crickets chirping on the genocidal, racist Hanazi dictatorship…
St Patricks Day and Cup sail off . 6 o’clock news until 7.30 was the winning of the Cup . It indicates how out off touch these Greens are with the man in the street. It is good that the Greens have input but they get side tracked with lame causes and the enviroment which should be their main cause is very weak
Maiki Sherman did an impromptu ask the politician how many houses they have on tv one tonight.
It was surprising how much they struggled to work out how many they have (not really).
Willy Jackson: um er um two, um er..
Maiki: more than 4 or 5?
Willy Jackson: um er um.. no not that many..
Maiki: 3?
Willy Jackson: um er yes 3.
Gerry Brownlee: very long uncomfortable pause.. eyes glazing over, cog wheels slowly turning.. um um 3
Later this number was adjusted up to 6, the camera and the quick fire question clearly unsettled Gerry
and he forgot the other 3 he had.
“The speculators and banks are laughing in shock that it’s a Labour Government who gave them trickle down!”
It wasn’t Labour who ‘gave them trickle down’. Let’s be clear on that. And it’s an important distinction to make.
It was National’s confederates once having infiltrated Labour who sold us the myth of ‘trickle-down’.
“Trickle-down” is a logical fallacy and an idiotic one at that. The very term ” Trickle-down” has all the charm of a 1960’s under arm deodorant commercial and it must have been a learning curve for those who coined the phrase who would have come to understand, then exploit, the entry level intelligence of those who fell for it.
And? But wait? There’s always more!? You know what’s changed? I can tell you. Nothing! Nothing’s changed. We’re just as chumpish and schmuckish as we ever were and I for one am chilled to the bone at the thought of it.
A hen watched on as another hen took a worm from yet another hen, a blind one. Who’s at fault here? Take your time.
You are such a fanboy Bomber.
Genter was a washout as the Ladies Cycling Club spokesperson.
The Greens appear to be well-meaning cretins.
James Shaw has single handedly spoiled their sheen by enabling an elitist green school within sight of Parihaka.
Like Countryboy my reservations are acute.
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