Skol, What renters pay for rent is topped up by the Govt otherwise we have people living in garages or tents.
When people cant pay the Govt of the day pay either in subsidized rents or in grants to allow them to pay the market price. Nz will atract rich retiring investors and get rid of upskilled young people simply because of the way things are at this moment in time.
To change this trend in the short term seems unlikely so we must look at the likely outcome of what looks like the general trend. The general trend looks like young educated people leaving with rich retirees taking their place simply because of life style. Very few young highly skilled people will remain to buy first homes leaving behind the residue for the Govt of the day to house. That is how I see it the Govt of the day will advertize the lifestyle to attract rich retirees who will subsidize the residue that remains behind. To look at housing as an investment remains keeping an unbiased view point on the reality of what is likely to happen. Macdunk