Home ownership vs house prices: the facts, ma’am, just the facts.

[James Christophers]

Ardern has categorically set her face aginst doing anything about rising house prices, exactly as did John Key before her.

------------------------------------------------

RNZ's 'The Weekend Panel' with Bernard Hickey and Linda Clark - 19mins:

https://tinyurl.com/y93rbbqy

Start at “10’25. Clark then Hickey give the kind of stats that should give any listener pause.

From which I think it's fair to ask, is it any wonder that increasing numbers of young, first-time home buyers have given up all hope of ever owning the roof over their heads, renting being their only alternative?

In which case, is it also any wonder that, with low interest rates forecast to continue for the next 10 years, and with a government – any government - plainly unable to meet the mounting home-ownership shortfall, such effort is futile in the face of a rentier sector that’s doing its damnedest to ensure their promises can never be met?

“Most New Zealanders expect house price inflation, and that’s the way it is.” (Hickey quoting Ardern when replying to a question from an open-mouthed parliamentary press gallery.)

QED.

So, for as long as the Reserve Bank continues to print imaginary money that enables the rentier class to harden its grip on the housing supply, those not supported by the Bank of Mum and Dad now have no hope of owning a home they can truly call their own, along with that crucial sense of permanence and security that comes with it.

‘Fair go’, or what?

[Nellie the Elephant]

On Sun, 20 Dec 2020 13:35:08 -0800 (PST), James Christophers

Post by James Christophers
Ardern has categorically set her face aginst doing anything about rising house prices, exactly as did John Key before her.
------------------------------------------------
https://tinyurl.com/y93rbbqy
Start at “10’25. Clark then Hickey give the kind of stats that should give any listener pause.
From which I think it's fair to ask, is it any wonder that increasing numbers of young, first-time home buyers have given up all hope of ever owning the roof over their heads, renting being their only alternative?
In which case, is it also any wonder that, with low interest rates forecast to continue for the next 10 years, and with a government – any government - plainly unable to meet the mounting home-ownership shortfall, such effort is futile in the face of a rentier sector that’s doing its damnedest to ensure their promises can never be met?
“Most New Zealanders expect house price inflation, and that’s the way it is.” (Hickey quoting Ardern when replying to a question from an open-mouthed parliamentary press gallery.)
QED.
So, for as long as the Reserve Bank continues to print imaginary money that enables the rentier class to harden its grip on the housing supply, those not supported by the Bank of Mum and Dad now have no hope of owning a home they can truly call their own, along with that crucial sense of permanence and security that comes with it.
‘Fair go’, or what?

Another head-in-the-sand, the sky is falling post from Jamie boy.

[Crash]

On Sun, 20 Dec 2020 13:35:08 -0800 (PST), James Christophers

Post by James Christophers
Ardern has categorically set her face aginst doing anything about rising house prices, exactly as did John Key before her.
------------------------------------------------
https://tinyurl.com/y93rbbqy
Start at “10’25. Clark then Hickey give the kind of stats that should give any listener pause.
From which I think it's fair to ask, is it any wonder that increasing numbers of young, first-time home buyers have given up all hope of ever owning the roof over their heads, renting being their only alternative?
In which case, is it also any wonder that, with low interest rates forecast to continue for the next 10 years, and with a government – any government - plainly unable to meet the mounting home-ownership shortfall, such effort is futile in the face of a rentier sector that’s doing its damnedest to ensure their promises can never be met?
“Most New Zealanders expect house price inflation, and that’s the way it is.” (Hickey quoting Ardern when replying to a question from an open-mouthed parliamentary press gallery.)
QED.
So, for as long as the Reserve Bank continues to print imaginary money that enables the rentier class to harden its grip on the housing supply, those not supported by the Bank of Mum and Dad now have no hope of owning a home they can truly call their own, along with that crucial sense of permanence and security that comes with it.
‘Fair go’, or what?

What. The situation may be as you outline it, but it will not be
tolerated long-term. Labour has a policy on housing:
https://www.labour.org.nz/housing and that sets expectations.
Essentially, increase supply and built more state-owned housing. Will
they deliver? Can National come up with alternatives? Only time will
tell.


--
Crash McBash

[James Christophers]

Post by Nellie the Elephant
On Sun, 20 Dec 2020 13:35:08 -0800 (PST), James Christophers

Post by James Christophers
Ardern has categorically set her face aginst doing anything about rising house prices, exactly as did John Key before her.
------------------------------------------------
https://tinyurl.com/y93rbbqy
Start at “10’25. Clark then Hickey give the kind of stats that should give any listener pause.
From which I think it's fair to ask, is it any wonder that increasing numbers of young, first-time home buyers have given up all hope of ever owning the roof over their heads, renting being their only alternative?
In which case, is it also any wonder that, with low interest rates forecast to continue for the next 10 years, and with a government – any government - plainly unable to meet the mounting home-ownership shortfall, such effort is futile in the face of a rentier sector that’s doing its damnedest to ensure their promises can never be met?
“Most New Zealanders expect house price inflation, and that’s the way it is.” (Hickey quoting Ardern when replying to a question from an open-mouthed parliamentary press gallery.)
QED.
So, for as long as the Reserve Bank continues to print imaginary money that enables the rentier class to harden its grip on the housing supply, those not supported by the Bank of Mum and Dad now have no hope of owning a home they can truly call their own, along with that crucial sense of permanence and security that comes with it.
‘Fair go’, or what?

What. The situation may be as you outline it, but it will not be
tolerated long-term.

So when/if such tolerance expires, what then?

Post by Nellie the Elephant
https://www.labour.org.nz/housing and that sets expectations.

Policy is one thing, but, as always, "The road to satisfying expectations is paved with failed policies."

Post by Nellie the Elephant
Essentially, increase supply and built more state-owned housing. Will
they deliver?

Try this:

https://tinyurl.com/ybd934b5from which you'll gather that the building industry already has its hands more than full for the foreseeable future. (Note that, despite its inclusion of it in the introductory headline, the interview does not mention of the banks' part in the alleged reduction in the alleged large reduction in building activity.)

Post by Nellie the Elephant
Can National come up with alternatives?

Anyone can when there are votes in it. As you have said, it's about the **ability** to deliver in the face of current sicumstances being the most salient. This is the inescapable reality of it all.

Post by Nellie the Elephant
Only time will tell.

The only really solid truth to the whole 30-plus years of this growing disaster it is that time now has the advantage of us, and then some.

It always has. Why? Because there is never any genuine commitment to long-term planning. Couple this with our perniciously low per-capita productivity and you inevitably end up with what we have now.