New Kiwi build what it has/going to bring to our housing market ?
Government halves deposit requirement for loans and deposits as part of KiwiBuild reset
The Welcome Home Loan and HomeStart grant will now only require a five per cent deposit under KiwiBuild reset changes.
The Government-backed supports – available for all first-home buyers, not just KiwiBuild buyers – have seen major changes as part of the reset.
Currently the Welcome Home Loan allows first home buyers under an income cap of $85,000 (or $130,000 for a couple) to receive a Government-backed loan with a 10 per cent deposit, if buying properties priced under a certain cap. (All KiwiBuild homes fall under the cap).
Legally, many lawyers have shifted to other fields: liquidation / employment /family etc, given the lack of business transactions.
From the weak property market. This new Kiwi build “state funded /co-owned model leads NZ housing industry to?????
Who are the real ones leading the “move” behind this, and is this part of the “ Super City “ project ?
Or merely an injection for business confidence.
Who knows?
What we do know is that the public needs information in such times regarding this “plan change” and to figure out business direction.
It’s a difficult time given that this change came out so late while election for the change has voices rising up everyday now.
Many project runners certainly will felt lost again if they have been developing “ affordable homes “ to fill the market gap , to satisfy and match up the “ kiwi build” scheme with loan packages for $800.000 and under priced homes.
One day to the next! Does the government even know what they are doing?
KiwiBuild: You can’t live in a reset – New Zealand’s housing crisis still looking for a fix
This change certainly brought them and those investors who have put money in Mixed Urban land unbelievable challenges.
Whoever will fund this new “kiwi build move“, will be the only winner. As more medium /small groups of developers won’t last from this unexpected “competition “.
It’s far from the “free growth” of capitalism economy model.
Reality is, in any business, any control /forced /manmade changes are not healthy examples of competition and often lead to externalities and market failure. Frequent changes by policies won’t stimulate business /developing /marketing confidence & courage.
https://mp.weixin.qq.com/s/yX1rQ9NuBb0MiHNFuUFpqQ
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