Quote Originally Posted by Daytr View Post
We already tend to over capitalise our homes now, new kitchen every 10 years, I know people that have put in $100K & $200K kitchens.
Everyone has butler's pantries, walk wardrobes, mud rooms etc you name it.

Although I think a CGT is an essential tax tool, it won't be enough to fund the massive infrastructure deficit.

Where NZ goes wrong is we leave land development in the hands of developers. In the past the Government used to develop subdivisions or entire towns.

The Government should buy land for redevelopment, rezone it for development & then either sell it to a developer and take the huge increase in value, or even complete the development & sell it on to residential buyers.

At the moment landbankers, farmers & developers get a huge windfall when land is rezoned. It's money for nothing that the Government or Local Council could be benefitting from to fund infrastructure.
Maybe overcapitalised was the wrong word. Ensuring good quality well insulated and appointed housing is not a waste of resources. The trouble is the cost of land is so high in NZ, resulting in less ability to afford a high standard for the improvements on the land.