Auckland housing as affordable now as in 2008, says Nick Smith


It’s not just in Health that Labour are getting away with blatant lies.

Dr Smith pointed to home affordability data from Massey University while appearing before a Parliamentary select committee today.

He was grilled by Labour’s housing spokesman Phil Twyford on measures being taken by the Government to try to dampen Auckland’s surging property market, and on the pace of construction.

Afterwards, he told media that, with the exception of Auckland, houses were significantly more affordable now than when the current National-led Government came to power.

And affordability in Auckland was slightly better than 2008, Dr Smith said – although most properties were still out of reach for first homebuyers.

“In the debate around housing affordability, I do challenge people to not just look at house prices, but also look at interest rates that are at the lowest level for 50 years,” Dr Smith said.

“In 2008 you had interest rates of about 11 per cent, and now they’re 4 per cent. And that has a really strong impact on the capacity for people to be able to service mortgages.”

Massey University’s home affordability report assesses housing affordability by comparing the average weekly earnings with the median dwelling price and the mortgage interest rate.

Auckland’s index in February 2008 was 38.73, compared to 33.8 in February this year. A low index equals improved affordability.

So why do these numbers and headlines even get past the PR pile, you might well ask?   It’s because of a lazy and complicit Media Party.  They are running the oppositions’ lies without any effort to check their veracity.  How often do you see the main stream media mocking Labour for its lies?   That would be never.

According to Labour, we have 100,000 homeless people, we have 250,000 children in poverty, we are underfunding our health and education sectors “in real terms” when both in actual and practical terms we are achieving more as well as spending more money, even allowing for population growth.

It appears everyone is more or less getting what they need, and not what they want.  As a result, there have not been any Labour-like lolly scrambles for close to a decade.

But if just spending more money would actually fix anything, Labour would have solved all our problems years ago.


– NZ Herald

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As much at home writing editorials as being the subject of them, Cam has won awards, including the Canon Media Award for his work on the Len Brown/Bevan Chuang story. When he’s not creating the news, he tends to be in it, with protagonists using the courts, media and social media to deliver financial as well as death threats.

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