Articles tagged Foreign buying

The government's directive to the Overseas Investment Office to raise the bar in overseas applications to buy sensitive New Zealand land has scared away tens of millions of dollars in investments in rural property and will hurt farm values, real estate firms say. Jonathan Underhill from BusinessDesk reports

For the convenience of email subscribers, here's my full Herald on Sunday column on why Treasury's high net migration scenario in the Budget could change the economic and political landscape. It could push mortgage rates up to 9% and make Winston Peters the kingmaker on September 20.

Updated

Finance Minister Bill English used his pre-budget speech on Wednesday to highlight the dangers of house price inflation to the economy and the Government's drive to increase housing supply in Auckland. He also hinted that the May 15 Budget may include new measures to increase housing supply.

BNZ Chief Economist Tony Alexander has led the debate around non-resident buying of homes in Auckland with his BNZ-REINZ survey of real estate agents' views and his call for Australian-style restrictions. The issue is shaping up as a big one for the September 20 election and now Alexander has raised the prospect of a greater surge of investment from China that could leave houses in Auckland empty. He suggested even Australian-style restrictions may not be enough to dampen house price growth.