Today we announced our KiwiBuild reset. It’s all about getting more New Zealanders into homes, whether they’re public houses, rental houses or affordable KiwiBuild homes.
New Zealand’s housing crisis has been decades in the making, and is one of the biggest long term challenges our country faces. There is no silver bullet, but we’re making good progress.
In September we announced a range of new support measures to make it easier for New Zealanders to buy their own homes:
- New ways for people to become home owners, such as shared-ownership schemes
- Plans to boost supply by building more homes where evidence shows they are needed
- New ways to allow friends and family to join their $10,000 deposit assistance together
- That we'll reduce the deposit required for a government-backed mortgage to 5%
Today’s reset of the build programme sits alongside other actions the Government has already taken to begin to address the housing crisis.
- State house building increased nine fold
- Off shore speculators are banned from buying New Zealand homes
- The state house sell-off has been stopped
- Hundreds of homeless people have been helped off the streets and into homes
- The Bright Line test has been extended to five years
- Letting fees are banned
- There is a Healthy Homes Guarantee
The results of our work are clear to see:
- Building consents are at the highest level since the mid-1970s, with 35,472 in the past year
- Auckland building consents are at an all-time high of more than 14,000 in the past year
- House prices are stable – rising slower than wages
- First home buyers now make up 24% of the market, a record.
But we know we need to hone our plan further.
KiwiBuild has been a key part of our response to the housing crisis, but it simply isn’t working the way we wanted, so it has to change.
New Zealanders want their Government to be honest when policies aren’t working and to fix them. That’s why we’re resetting the KiwiBuild programme to improve how it delivers affordable homes.
What we’re doing:
- We will be dropping the target of 100,000 houses over ten years. Instead of the target, we will focus on building as many homes as we can, as fast as we can, in the right places.
- We’re releasing a monthly dashboard of housing statistics so New Zealanders can easily measure our progress and judge us on the results.
- We’re coordinating developments across New Zealand through Urban Development Authority, Kainga Ora – Homes and Communities. This is about making sure we get the right mix of public housing, market priced homes and KiwiBuild homes.
Since taking office, we’ve made some key changes to the housing market and are tackling the issues head on.
Taken together, our changes will help New Zealanders locked out of the housing market into home ownership.