NZ 1st homebuyers are ScReWeD...

[troyvdh]

Mary Holm (RNZ) 1515 hrs...again stated that NZ house prices ..relative to income were the highest in the world.

It aint going to be pretty.

People may remember a few years back ..in the UK...I believe about 40 % of house owners experienced negative equity i.e. their mortgages were higher than the value of their home.

History repeats.

[Valuegrowth]

Mary Holm (RNZ) 1515 hrs...again stated that NZ house prices ..relative to income were the highest in the world.

It aint going to be pretty.

People may remember a few years back ..in the UK...I believe about 40 % of house owners experienced negative equity i.e. their mortgages were higher than the value of their home.

History repeats.

Yes. 100% agree.

[kiora]

"What it's really like to try and develop housing in Auckland"

https://businessdesk.co.nz/article/p...ng-in-auckland

[Aaron]

Saw this in the herald this morning.

https://www.nzherald.co.nz/business/...AAJB7XGEW6OWI/

New Zealand topped a 2022 OECD chart for tenants spending more than 40 per cent of disposable income on rent, outstripping Britain, Spain, the United States, Canada, Ireland, Japan, France, Italy, Germany and Austria.

Congratulations to Labour and National should be in order I think we are almost at a boomer home owner utopia. National putting on some finishing touches like interest deductibility, ease of eviction, if only they could get rid of the loss ring fencing we would just about be there. I think this sets up the retiring boomers in a comfortable unassailable position. It is what the major parties have been working towards and pandering to, for many years now.

It is good to see it all coming to fruition just at the right time.

Sadly a lot of young NZers are not buying into the plan and they are moving overseas in record numbers, but not to worry more than enough immigrants to take their place. And they are willing to work and don't eat as much smashed avocado on toast.

With rents so high, there should be plenty of funds available to visit grandkids in Australia or the UK. Mind you if you own the houses your kids are probably not the ones leaving.

Hope the young ones staying have some leftover after rent as they have kiwisaver and student loans coming out of their wages and they need to pay the tax for the increase in national superannuation which is not income or asset tested as well as increased health costs. Home owners don't want to pay for it with a capital gains tax so it will have to come from labour or more borrowings.

[Panda-NZ-]

Yes. 100% agree.

In Aus outside of sydney capital gains seems to subsidise lower rents ($2 mil houses in melbourne for instance but only $6-800 pw).

In NZ piglet landlords want both capital gains (tax free) and high rents. I hope they get neither in the next 5 years assuming the market adjusts closer to NZ incomes.