RADIO NEW ZEALAND: Local Govt NZ says council regulation not to blame for house price rises The 2nd International Housing Affordability Survey [discussed here yesterday at Not PC] says New Zealand prices increased by around 15% in the last year alone and concludes the principal cause is "excessive land use regulation that strangles housing markets." It blames excessive land use regulation and restrictions on expansion of urban centres... However, Local Government New Zealand President Basil Morrison says house price rises are being driven by other factors...Crap, says one of the authors of the study. "'Loony' policies are responsible for New Zealand houses being among the most unaffordable in the world," he says -- and of course he's right; the RMA itself being the very acme of land-use looniness. The report itself makes clear that it is precisely government policies restricting land supply and land use that are making housing relatively unaffordable in NZ and elsewhere. That graph (above) from the report tells the whole story -- cities with government-created land supply restrictions in red; those with none or few restrictions in green; afforability (measured by how many times more the median house is in that city than the median income) up the scale.
That'd be Auckland, tenth from the right on the graph. Can you see that, Basil, you blind, bloody cretin? At least TVNZ reported it straight, and got an alternative view to bloody Basil.
Linked Articles: NZ Housing affordability "in crisis" says report - Not PC
Local Govt NZ says council regulation not to blame for house price rises - Radio New Zealand
Kiwi houses pricey, survey shows - Dominion
City housing "severely unaffordable" - TVNZ
2nd Annual Demographia International Housing Affordability Survey (2006)