LOL now that's what I call restorative justice !
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O to be rid of the landlord - A Christmas Carol?
Inherited Wealth/Inherited Poverty - NZ is on its way to becoming a version of Dickensian Britain?
https://www.stuff.co.nz/business/118...ir-wealth-down
Sure good on him for saving $30,000, especially if he had expensive living expenses whilst trying to save. Lucky him to have a landowning family with a spare house to sell so that he did not have borrow from a bank. As the pun goes, he is to the manor born, with a silver spoon!
I'd bet you overwhelming majority of those people shaming him for getting money from father and having all expenses paid by parents, has been in exactly the same situation between 16-18yo. That means their parents paid for everything. It's just an excuse for laziness and bad decisions. It's always the rich people causing poor people being poor :D.
Shaming him? No. He is showing a precocious maturity of action for his age.
It is a shame that that more and more people are being priced out of the ability to access tax-efficient home ownership though. And they are not all lazy! It is just a fact of life in today’s NZ that the rich (especially the land rich) are getting richer and the poor, poorer. It is the result of excessive inflation in asset prices and in part the tax system heavily relying on Income tax and GST.
How many families looking for a stable home are unable to raise the required deposit and have missed out buying a home as young single people with no need to get a commercial mortgage after being given or loaned a large inheritance from families? Just something to cogitate.
The trend has been for Many more families to end up at the mercy of the NZ rental market and landlords.
I see your point regarding the prices,taxes etc. It may be getting harder to get the deposit. However from my experience anyone who wants to, will be able to get the deposit in NZ. It's just a matter of life decisions, time and some work.
I think enough was said on the topic. It just makes my blood boil when I see articles like this and comments under them.
Getting a deposit is not that easy these days, but it can be done for many households if they take a longer time frame, make decisions according to their plan, and Kiwisaver.
For the year ended June 2018, households spent an average of $16.30 of every $100 of their household income on housing costs. This is relatively unchanged from the $16 they spent in 2008. Stats NZ.
It is not wise to use your pension fund. After all it should be kept for retirement!
How about a 5% stamp duty on purchases of second and subsequent homes (exemption only for the owner-occupier's principal residence) and using the proceeds to give all kiwsavers an extra annual credit?
The NZ gov't is more concerned about protecting NZ real estate than KiwiSaver as it's clear both asset classes have different tax treatments. A 5% stamp duty would more equitable but that would not address the housing shortage. There is certainly not an investment shortage in various corporations around the world. Yet, Kiwi Saver funds are taxed annually in the same manner as running a business.
No matter how difficult the landlord vs tenancy tribunal can be, i'm not expecting any rush of landlords fleeing from owning properties and rushing into equities. Just consider the alternative? What better alternative?