Green ‘progressive ownership plan’

Metiria Turei announced some new housing policy for the Greens today that well help up to 10,000 lower income people into home ownership – “home for life” – and will “empower community housing groups’.


Green Party Co-leader Metiria Turei has today launched a progressive ownership plan to provide up to 10,000 new homes for lower-income Kiwis to own, and to empower community housing groups with new financing models to help fix the housing crisis.

The plan was launched at the Habitat for Humanity conference in Rotorua, and builds on the Green Party’s Home for Life policy, which was first launched before the last election.

“Our Home for Life plan is about giving more New Zealanders a fair shot at owning their own home – even when the market’s stacked against them,” said Mrs Turei.

“Building more houses that people can actually afford to buy is a critical part of solving the housing crisis.

“Our progressive ownership model will help to make the home ownership dream a reality for people who are locked out of the market right now because they can’t afford a deposit or a normal commercial mortgage.

“We’re also going to make sure the community housing sector has the finance and political support they need to drive their important work.

“Up to 5,000 new, energy efficient homes will also be available for the community housing sector to purchase using progressive ownership.

“Investors who want low-risk, socially responsible investment options, will be able to use their money to help fix the housing crisis – they’ll be able to buy into the building of thousands of affordable houses for Kiwis who need them.

“The Green Party will empower the community housing sector to play a big part in ending the housing crisis, with low-interest loans funded by housing bonds.

“Community housing providers, including iwi, have the skills, experience, and expertise to help more New Zealanders into homes and we will work with them to develop new models of housing for New Zealand,” said Mrs Turei.

Read more about the plan here.


No indication of how this would work alongside Labour’s housing policy, which includes a plan to build 10,000 houses a year for ten years.

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8 Comments

  1. Ultimately I think low income housing relief will have to involve something along these lines – the social bond and govt funding model – although who knows how the finer details will actually pan out, for instance within the likes of a Labour-Greens-Maori Party (and possibly NZFirst?) government …?

    We’re not going to change the “low income” part, are we …?

    One of the problems exacerbated by 30-odd years of speculative, high risk, ‘innovative’ economics is that ‘owning your own home’ and ‘a home for life’ has become virtually indistinguishable from ‘climbing the property ladder’ and building a residential property investment portfolio …

    “low risk” and “socially responsible” are well-nigh foreign language words in today’s economic environment … I haven’t heard them said for a very long time … What would their appeal be I wonder …?

    How the ‘buy and sell’ of all this will be monitored remains to be seen … I suppose it will require more dreaded “regulations”?

    Nahhhh … Let’s do nothing and let “the free market” work things out … That way, all that’s required is RMA reform …

    Reply
  2. Gezza

     /  19th November 2016

    “No indication of how this would work alongside Labour’s housing policy, which includes a plan to build 10,000 houses a year for ten years.”

    They say:
    “The progressive ownership rent-to-buy programme is not a home-building programme so does not carry a cost for building homes. It is designed to work in conjunction with any government build programme, including Labour’s Kiwibuild programme, which has been costed at $2 billion. Government-led building will keep the overall building cost low through economies of scale, and will use e cient building techniques including prefabrication.”

    Click to access Home%20For%20Life%20Policy%20Paper.pdf

    Reply
    • That’s vague. It would be a part of Labour’s 10,000 houses a year or on top of?

      Reply
      • Gezza

         /  20th November 2016

        It is a bit muddy. My reading of it is that it’s a plan targetted specifically at low income earners with a funding plan using ring fenced government bonds. I think it’s supposed to sit inside Labour’s Kiwibuild plan, whose financing arrangements don’t seem to be articulated. It will be interesting to see what analysis and commentary on this plan is done by Labour and msm.

        Reply
        • Kitty Catkin

           /  20th November 2016

          It assumes that people want to own a house. I know that some people prefer the lack of responsibility that renting brings, which is fair enough-pay the rent, let the landlord or landlady look after the place. How patronising MT is.

          Reply
          • @ Miss Kitty – “some people prefer the lack of responsibility that renting brings”

            How many is “some”? What portion of the population, do you reckon?

            This popular preference for lack of responsibility must be why we have Reality TV shows like ‘Rent Survivor Aotearoa’, ‘Climbing the Rental Property Ladder’ and ‘My Rental My Hovel’ …. or perhaps, “I made it onto a rental property short-list after XX number of interviews … Still didn’t get the place”

            The only reality TV about renting has been following Real Estate Letting Agents around as they deal with the scumbags … Never a mention of the vast majority of good, decent tenants. Never anything from the tenants POV [as far as I know] …

            Never a mention of landlord’s rent subsidies paid by government …

            I reckon the vast majority of Kiwis still harbour the property ownership dream, although for many nowadays it is a temporary, speculative, money-making proposition rather than a permanent, judicious, home-making one …

            This keeps a lot of people renting and a lot of money out of being invested in the productive economy …

            Reply
            • Kitty Catkin

               /  20th November 2016

              I know some and know of others. I can see their point-anything goes wrong is the owner’s responsibility. You pay your rent and that’s it.

              Amy agents whom I have seen have said that most tenants are all right, that the bad ones are the minority-but it would be very dull to see someone who keeps the place neat and always mows the lawn.

            • Kitty Catkin

               /  20th November 2016

              I don’t know how many landlords are subbed by the government (i.e. the rest of us) but I’d guess that they are the minority.

              If someone’s managed to have their state house rent locked in at a ludicrously low amount, they’d be an idiot to struggle with a mortgage.

              I have known older people who have sold the house and rented instead-the house money covers most of the rent and they have the best of both worlds. A former neighbour did this when her husband developed early dementia; she and her mother rented a house and ‘flatted’ together.

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