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Million dollar houses put homeownership out of reach of middle New Zealand

35% of New Zealanders now live in places where the average house costs over a million dollars, and it’s killing the Kiwi dream of owning your own place, says Labour’s housing spokesperson Phil Twyford.

Latest QV stats show that Queenstown has joined Auckland in having an average house price of over $1m. Their combined population is 1.65m, or 35% of New Zealand.

“National’s housing crisis is putting ordinary homes far beyond the reach of middle New Zealand. It is ridiculous that the average home now costs over a million dollars across so much of New Zealand. No wonder homeownership is at its lowest level in 65 years.

“The average amount young families have to borrow for their first home has shot up 43% in the past two years. More and more people are being forced to give up on ever hoping to own a place of their own. Only a quarter of adults under 40 now own their home.

“National’s housing crisis is forcing the Reserve Bank to look at extreme debt-to-income tools, which could shut even more young families out of the housing market.

“The solutions are simple: build some bloody houses and crack down on speculators. Labour’s KiwiBuild Bill will be before Parliament next year and all parties should back it. We need those affordable houses for first homebuyers. Kiwis can’t afford the cost of National’s housing failures any more,” says Phil Twyford.