NZ 1st homebuyers are ScReWeD...

[artemis]

Who ultimately receives the accommodation supplement payments? Is this the govt answer to pushing up house prices and rents faster than wages?

Don't let house prices fall but back stop the landlords with current monetary policy and the accommodation supplement. Sounds reasonable.

The accommodation supplement is paid to tenants and mortgagors. What they do with it is up to them. Most landlord applications to the Tenancy Tribunal are for rent arrears and/or damage.

[Aaron]

The accommodation supplement is paid to tenants and mortgagors. What they do with it is up to them. Most landlord applications to the Tenancy Tribunal are for rent arrears and/or damage.

"What they do with it is up to them". Pretty weak argument "Accommodation Supplement" doesn't the name give some indication what it is meant for. Surely your accommodation costs are part of the qualifying criteria. So who is expected to receive this.... really.

To be honest I hated being a landlord to a crappy tenant, very stressful. If they received an accommodation supplement it didn't prevent them from not paying their rent every Christmas. Nothing against landlords but they are the beneficiary of a system that continues and seems wrong to me.

[ynot]

Always uncomfortable when something is described as a human right. Is anything really a "right". But interesting this article discusses housing and politics. 1937 Michael Savage govt. started building houses.
The building of state housing continues to go on to 1990. By then there are 70,000 state houses, which is more than Kāinga Ora owns now. Ordinary working people were able to take out a cheap State Advances loan to buy their own home, and you could capitalise your Family Benefit (now long gone) to build an extension.

https://www.msn.com/en-nz/money/othe...?ocid=msedgntp

So the government built the houses provided cheap finance to buy the houses and in some cases if you had kids the deposit. But in 1990 about the same time as targeted inflation became a thing when the baby boomers were between 26yrs-44yrs old the country was technically insolvent. These same people are now suggesting national superannuation is a "right" after giving themselves a good start in life they have loaded the next generation with student debt, large housing debt and eventually higher taxation to fund their national super. They are also the generation suggesting the younger generations "want everything and don't want to work for it". It is pretty rich.
Maybe do away with targeted inflation which is a tax and is stealing our time. (It took 3 years wages to buy a house in the good old days but takes now it take 8.5 years)

Sorry if this has already been discussed endlessly earlier in the thread.

So do you think the govt (any govt) has a role to play in providing it's citizens the environment that helps them find a way into their own home ?
I do.

[Aaron]

So do you think the govt (any govt) has a role to play in providing it's citizens the environment that helps them find a way into their own home ?
I do.

I do, I also think people need to get off their arses and do something for themselves rather than whining for a handout while spending up large.

As I have suggested many times targeted inflation has been tilting the playing field for the owners of assets for several decades and this should change, but I don't find much support for this on this site and most other people in the physical world tend to just stare at me then change the subject if I bring it up. Arthur Grimes, the man who came up with the targeted inflation bulls*it has said he does not think it is a good idea anymore.

https://www.newstalkzb.co.nz/on-air/...eing-disaster/

https://www.wgtn.ac.nz/cpf/news/form...interest-rates

Unfortunately 65% of NZ owns a home so you are pushing s*it uphill until the majority don't own a house. That is how democracy works.

Earlier generations obviously invested for future generations and paid a large chunk of tax to govts to support this (think 66% top tax rates). Unfortunately as a nation we have become more self centered and selfish.

https://thespinoff.co.nz/business/09...f-the-century/

Ask not what you can do for your country but what your country can do for you. And make sure you vote in the "leaders" who will do it for you.

[artemis]

"What they do with it is up to them". Pretty weak argument "Accommodation Supplement" doesn't the name give some indication what it is meant for. Surely your accommodation costs are part of the qualifying criteria. So who is expected to receive this.... Really.....

Not an argument. It's a fact. 100% up to the recipient to spend or save.

[Aaron]

Not an argument. It's a fact. 100% up to the recipient to spend or save.

Whatever....

[Aaron]

Thinking about it further the TOP party do promote real change maybe I should revisit their policies before the next election.

[TeslaGod]

Whatever....

I smirk when this new generation of investors don't get there way, they spit the dummy.

Get a few more miles on the clock so you can figure out how the world really works .

[SBQ]

I do, I also think people need to get off their arses and do something for themselves rather than whining for a handout while spending up large.

As I have suggested many times targeted inflation has been tilting the playing field for the owners of assets for several decades and this should change, but I don't find much support for this on this site and most other people in the physical world tend to just stare at me then change the subject if I bring it up. Arthur Grimes, the man who came up with the targeted inflation bulls*it has said he does not think it is a good idea anymore.

https://www.newstalkzb.co.nz/on-air/...eing-disaster/

https://www.wgtn.ac.nz/cpf/news/form...interest-rates

Unfortunately 65% of NZ owns a home so you are pushing s*it uphill until the majority don't own a house. That is how democracy works.

Earlier generations obviously invested for future generations and paid a large chunk of tax to govts to support this (think 66% top tax rates). Unfortunately as a nation we have become more self centered and selfish.

https://thespinoff.co.nz/business/09...f-the-century/

Ask not what you can do for your country but what your country can do for you. And make sure you vote in the "leaders" who will do it for you.

You definitely got that right in the last quote. The TeslaGods will always vote for the governing party that will keep their established wealth... untouched. The low income people who don't pay taxes are not educated enough about Finance and Politics so they don't vote (or vote with myopic eyes).

As for the 65% figure of houses owned.... one must always remember about compound interest. As principle amounts on mortgage rise, so does the amount of profits that the banks get. In the early years of my parents, getting a 20 year mortgage was the norm when houses were around $75K. Now we're looking at 40 year mortgages where houses are over $1.2M. The banks are posting record profits. Who exactly is paying the price? I mean there comes to a point where how much harder can people bear seeing most of their disposable income going to service the mortgage? Like I say, it's not a matter of working harder, getting better grades at school, or going to the right school, finishing uni, etc. We are seeing the trend that wealth inequality has squashed everything out, pushing the middle class lower until there's no middle class.

Yes I agree the past and current NZ governments have failed. I can see it with my own eyes comparing what my highschool friends back in Canada have achieved (through social mobility) vs my cousins that grew up in NZ and what they have achieved. Houses are a lot more plentiful in Canada and they have no restrictive RMA. Building costs are 1/3rd of NZ building costs. Energy prices again, 1/3rd of what we pay in NZ. I suppose what i'm hitting at is why does NZ have to be #1 of having the most unaffordable housing in the developed world?

[fungus pudding]

You definitely got that right in the last quote. The TeslaGods will always vote for the governing party that will keep their established wealth... untouched. The low income people who don't pay taxes are not educated enough about Finance and Politics so they don't vote (or vote with myopic eyes).

As for the 65% figure of houses owned.... one must always remember about compound interest. As principle amounts on mortgage rise, so does the amount of profits that the banks get. In the early years of my parents, getting a 20 year mortgage was the norm when houses were around $75K. Now we're looking at 40 year mortgages where houses are over $1.2M. The banks are posting record profits. Who exactly is paying the price? I mean there comes to a point where how much harder can people bear seeing most of their disposable income going to service the mortgage? Like I say, it's not a matter of working harder, getting better grades at school, or going to the right school, finishing uni, etc. We are seeing the trend that wealth inequality has squashed everything out, pushing the middle class lower until there's no middle class.

Yes I agree the past and current NZ governments have failed. I can see it with my own eyes comparing what my highschool friends back in Canada have achieved (through social mobility) vs my cousins that grew up in NZ and what they have achieved. Houses are a lot more plentiful in Canada and they have no restrictive RMA. Building costs are 1/3rd of NZ building costs. Energy prices again, 1/3rd of what we pay in NZ. I suppose what i'm hitting at is why does NZ have to be #1 of having the most unaffordable housing in the developed world?

Beats me why you hang around here.