“Four years in, the Ardern Government couldn’t be failing harder at ‘fixing’ housing,” says ACT’s Housing spokesperson
and Deputy Leader Brooke van Velden.
“The Real Estate Institute of NZ's (REINZ) House Price Index (HPI) figures out today show 29.8 percent growth in the
House Price Index nationwide is a record. But it hides a 32.7 percent increase outside of Auckland.
“Jacinda has failed. She promised to ‘tilt the balance more towards first home buyers,’ but today’s data continues to
dash the dreams she stoked.
“As Acting REINZ Chief Executive Wendy Alexander has said: ‘Median prices haven't significantly eased yet as many had
hoped would be the case, and things are certainly not getting any more affordable for first time buyers.’
“Not only have the Government’s policies failed at their stated aims, they have done enormous damage to property
investors at the same time. We’ve seen the announcement on mortgage interest deductibility has not only failed to help
first home buyers, it has scapegoated and vilified property investors.
“Through ACT’s campaign against the change, we have heard harrowing stories of people affected by the removal of
interest deductibility. For example, a parent who bought self-contained units for their two disabled sons, are faced
with selling them because they will be caught in the Government’s tax changes.
“Of course the real problem is supply. ACT says the current generation of first home buyers do not need new taxes, but
to build like the Boomers. We need major reform in infrastructure funding and planning, resource consenting, and
building consents.
“Without supply side reform, the Government’s policy is just an attempt to choose who gets to miss out in a supply
constrained market. And the Government can’t even get that right.”