Quote Originally Posted by artemis View Post
Probably correct on all points. On past form rental properties will be first cabs off the rank. I wonder if they will first check out the costs and benefits. Housing in general is a complex beast with many levers including rather importantly individuals with assets acting in their own interests.

Wonder if anyone has ever developed a NZ econometric model. Like assessing impacts if any of the levers change.
I'm just curious, every other OECD nation that has CGT always targets housing as the key primary motive to discourage speculation in this asset class. Why is it in past gov't in NZ, they have avoided this issue? Housing is not complex - you realise it's probably the most reliable, easy method to impose CGT because all land title transfers are recorded. Rates valuations are recorded. Who and how the property is owned is also recorded. The computer system at IRD can easier do checks and impose CGT as soon as the property changes hands. The beauty thing about CGT is 'a gain is a gain'. The seller can't dispute how much they sold the property at and they also can't dispute the purchase price.