May 20, 2015
Housing plan falls short of solution
New Zealand First leader Winston Peters says the Government’s moves to rein in Auckland house prices won’t work.
Measures to be introduced in tomorrow’s Budget include tightening up the rules on taxing investment properties if they are sold within two years, and requiring overseas buyers to have an Inland Revenue Department number and New Zealand bank account.
Mr Peters says the package fails to address the real issues.
"Two years is not what the people overseas are concerned about. They are buying in here to buy a bolt-hole investment in this country, they're buying to rent to New Zealanders so they don't care about selling it. This is a great money-spinner for them, some have got 50 houses, renting out to new Zealanders, so none of this is going to work and it is far little too late," he says.
Mr Peters says the move on tax numbers isn’t the same as a register of foreign buyers, and it will be easy to get around.
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