ADRIAN ORR our NEW RBNZ GOVERNOR

[SBQ]

It's not this governments fault.
It's happening world wide, even a 3 hour plane flight across the ditch and they have a liberal capitalist government incharge.

Blaming governments, Banks don't help you to home ownership it just makes you believe you can't own your own home.

No one is claiming houses among the OECD have not risen to epic levels.

When you look at the Olympics, going for gold is a major feat of recognition. In the realm of getting gold for having the highest, unaffordable, houses, NZ takes the top spot. So much that for many years the UN has criticized the NZ gov'ts lack of action to deal with the problem. Those who are in the game to profit the most from owning multiple houses (or having most of their investments in houses) will never believe it's a NZ problem and use the same excuse that other OECDs have the same problem. Well it's not the same. When you're top place, you have to wonder why? The UN rapporteur calls the housing problem in NZ from a lack of supply, lack of capital gains tax, and lack of diversity in investments away from houses. Would you believe in other countries, it's not this way.

Blackrock's stake in buying houses in America is nothing new. After all house prices on average only rose around 13% ; and people are crying over that rise. What is at least apparent is any capital gains and incomes from the managed fund's venture in houses will attract taxation, no different if an individual buys a house. Do we need to compare the difference between their 13% to our 30% ?

On the radio this morning Megan Woods is looking to index the 1st time home ownership grant to be more in line with house prices. The limit of $550K is far too low when you look at places like Wellington which are double that amount. I still believe the Canadian program for 1st time home buyers is best, but may be too radical for NZ (just like how Vancouver imposed a 'Vacancy Tax' on empty houses - this would be a radical idea to impose in the Auckland housing market).

[TeslaGod]

Tax is evil full stop.

I wish I could allocate were my taxes could go.

Back into the pockets of workers and investors.

The more tax you create the more you get back.

A Simple but effective strategy.

But let's build a cycle lane across the cook straight instead.

[Bjauck]

Tax is evil full stop.....

So public health, public education, police, defence, disaster relief, border control are evil too? Is John Lennon's Imagine your favourite song?

The hefty capital gains beefed up by the RBNZ interest rate mandate are mostly tax-free for the investors that get them. It is the income earners that have a tax burden.

[FTG]

Blackrock's stake in buying houses in America is nothing new. After all house prices on average only rose around 13% ; and people are crying over that rise. What is at least apparent is any capital gains and incomes from the managed fund's venture in houses will attract taxation, no different if an individual buys a house. Do we need to compare the difference between their 13% to our 30% ?

Here you go yet again SBQ; making up & manipulating numbers in the attempt to support your shallow thinking arguments.

The ACTUAL reported USA 12 month house price growth, to June 30th, is 23.4% (NZ 28.7%).

Yes, your Vancouver "Vacancy Tax" idea would be way to radical & destructive for NZ. Fascist measures like that don't address the actual cause of the problem. Likewise, lifting FHB grants further is simply just PPP (populist political policies). Tinkering & fidgeting, all to look good to the voting base rather than contributing to creating long-term solutions in a meaningful way.

[TeslaGod]

You need to start saving for a house, agreed. But where do you invest to get your passive income in todays market at a return greater than the rise in house prices?

It is not the governments or central banks fault??? So you don't think lower interest rates and easy money affects house prices? Or that govt policy makes no difference to the housing market? Or that we could vote for a political party next election that proposes to end targeted inflation and work out a way to create a market place for interest rates free from central bank interference.(Although there are no parties proposing this, even the libertarian ACT party is OK with central planning for the financial system.

The RBNZ did what they had to do or we would have had an exchange rate equal to a developing nation.

You needed to use the lower interest rates to your advantage to grow your wealth, understand assets, markets, margin.

Yes I own multiple properties but my margin facility helped to grow my liquidity.

I'm an experienced property investor but he'll, I wouldn't go near this market,I buy houses on sale or well below market value.. when the market is flat, And nobody show's up to a open home!

As I did in equities and commodities last year.

If you think you can vote your way to wealth, the politicians have done there job and played you for a fool .

[Aaron]

If you think you can vote your way to wealth, the politicians have done there job and played you for a fool .

I didn't think I was voting my way to wealth. I thought I was arguing for a fair shake for the next generation. As a successful property investor you might appreciate 30 years of lower interest rates may have helped your capital grow by pushing up house prices at twice the rate of wage growth.

I probably don't understand FOREX but the RBNZ dropping interest rates and pumping money into housing appears not to have been necessary as far as house prices go but I thought these actions would weaken the NZ dollar and make our exchange rate more like a developing nation. I am pretty sure it wasn't intended to strengthen the $NZ.

[TeslaGod]

I didn't think I was voting my way to wealth. I thought I was arguing for a fair shake for the next generation. As a successful property investor you might appreciate 30 years of lower interest rates may have helped your capital grow by pushing up house prices at twice the rate of wage growth.

I probably don't understand FOREX but the RBNZ dropping interest rates and pumping money into housing appears not to have been necessary as far as house prices go but I thought these actions would weaken the NZ dollar and make our exchange rate more like a developing nation. I am pretty sure it wasn't intended to strengthen the $NZ.

Every Central Bank around the world cut there interest rates,if we didn't we would have had a strong NZD and nothing to buy with it last year.It was our exports that kept our economy afloat along with the housing market (capital)

[Aaron]

Every Central Bank around the world cut there interest rates,if we didn't we would have had a strong NZD and nothing to buy with it last year.It was our exports that kept our economy afloat along with the housing market (capital)

Agreed. much like a developing country.

Would you also agree that Central Bank actions supported(encouraged) the housing market? Govt(not quite but a govt created (but independent) body) intervention making home owners richer while all the people not owning homes just carry on whining about it to the govt. What a pack of useless pr*cks expecting govt policy to make them wealthier. They should do what you do.

[TeslaGod]

So public health, public education, police, defence, disaster relief, border control are evil too? Is John Lennon's Imagine your favourite song?

The hefty capital gains beefed up by the RBNZ interest rate mandate are mostly tax-free for the investors that get them. It is the income earners that have a tax burden.

An intelligent debate should require a intelligent response.my words are clear.

I repeat.

Tax is evil.

[TeslaGod]

Agreed. much like a developing country.

Would you also agree that Central Bank actions supported(encouraged) the housing market? Govt(not quite but a govt created (but independent) body) intervention making home owners richer while all the people not owning homes just carry on whining about it to the govt. What a pack of useless pr*cks expecting govt policy to make them wealthier. They should do what you do.

I don't think anyone is a useless pr*ck

Just less informed.