Tauranga

A “tsunami” of homelessness has ripped through Tauranga – RNZ

We’ve run out of words to describe things sensibly.  In the effort to grab attention, everything gets ratcheted up to the point of absurdity.  The housing crisis isn’t a crisis any more.  Labour want it to be a State of Emergency.

And so we get to Tauranga, where homelessness is now so bad, there has been a ‘tsunami’ of it.

So that has to be pretty bad.  Imagine it, if you like.  And while you have that picture in mind, please consider some recent tsunamis:

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and  Read more »

Suggested Sabotage of Auckland house prices Socialist Shipwreck waiting to happen

en.wikipedia.org Shipwreck

en.wikipedia.org
Shipwreck

The Daily Blog currently has an article promoting the sabotage of Auckland house prices.They provide a link to a site that publishes both satirical and serious articles. It is hard to imagine that a call to force Auckland home owners into a mortgagee sale is a serious article.

Labour and the Greens should not be scared to support economist Arthur Grimes’ call for policies to bring down Auckland house prices by 40%. We don’t need to support all his policy suggestions. But let’s recognise that a 40% drop would only bring the Auckland median house price (now around $820,000) down to what it was four years ago ($495,000). Why not aim for that?

How is hurting middle income and upper income families in Auckland who have managed to get a foot on the housing ladder going to help those who currently haven’t?

Let’s assume that those who currently cannot afford a $820,000 house in Auckland have saved a 20% deposit for a house worth approximately $500,000. With a  deposit of $100,000 they are in a strong position to buy a property in every single town and city in New Zealand. They are in that position whether or not Auckland houses have their value sabotaged.

The most simple solution for those who want to own their own home is clearly to move out of Auckland. Market forces determine value and Auckland is very popular. If you want to live in Auckland you need to pay the price. If you are fortunate enough to own a house in Auckland you benefit  from capital gain but you also pay high rates as a consequence. If you are a property investor who wants capital gain Auckland is the place to be. If  if you want passive income from your investment property Auckland clearly is not the place to be.  Landlords go where the returns are and people who want to own their own home need to do a cost benefit analysis.  The lower costs associated with living outside of Auckland can result in a much better lifestyle. Towns like Tauranga still have excellent capital gain, 23.6% this year alone.

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$1b for councils to get around their own shitty credit rating

When I heard National were handing out $1b to councils, my first question was: Where the hell did Bill English find a spare billion?

The Government says councils facing dire housing shortages are “incredibly enthusiastic” about the $1 billion infrastructure development fund that’s just been announced.

It’s the latest move to tackle the Government’s most pressing problem and Prime Minister John Key says it could help create “tens of thousands” of new homes.

He announced the initiative at the National Party’s annual conference in Christchurch on Sunday.

The fund will be open to councils in areas with high population growth – Auckland, Christchurch, Queenstown, Tauranga and Hamilton.

“I’ve spoken to all five of those councils, they are incredibly enthusiastic about its potential,” Building and Housing Minister Nick Smith told reporters.

“The Government wants pace around housing.” Read more »

Pork barrel politics: Bridges announces roads for Tauranga

Look Simon, I know you like cuddling unions but it's a really bad look son

“While I’m away, you get to run the country.  Don’t stuff it up”

The Government is pledging roading projects to ease congestion and improve freight links for Tauranga worth $520 million over the next decade.

The largest project, starting construction in 2018, will be the $286 million Tauranga Northern Link.

It will create a four-lane shortcut between State Highway 2 (SH2) to the Highway 29 toll road linking approaches to Tauranga with the main route from the coastal port city to Hamilton. Read more »

First it was dem Asians, now dem Aucklanders: Media Party turns us against each other

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Tauranga is one of New Zealand’s fastest growing cities.

But that’s causing big issues for those who live there who say they’re being priced out of the market by cashed-up Aucklanders.

Judy Castles owns motels in Welcome Bay. This weekend half of her rooms are full with people attending open homes in the city.

“There’s a flood of interest coming from people from Auckland and other areas,” she says.

It’s not hard to see why – $470,000 gets you an average home in Tauranga. You can expect to pay $800,000 for the same privilege in Auckland. Read more »

Tauranga and Invercargill the first cities to sell state houses

via radiolive

via radiolive

The Government is about to begin selling up to 2000 state houses to social housing providers, with homes in Tauranga and Invercargill first on the block.

About 1140 houses in Tauranga and another 370 in Invercargill will be sold to registered providers from tomorrow as part of the Social Reform Housing programme.

Tenants affected in Invercargill and Tauranga will be able to stay in their homes when they are sold, with the properties to remain as social housing unless the Government decides otherwise. Read more »

Didn’t the Greens claim the Rena damage was catastrophic, permanent and ruinous for the environment?

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Oh yes they did…but it turns out that like everything else they say it was a lie.

The 2011 grounding of the container ship Rena on Astrolabe Reef near Tauranga brought about one of the world’s most tricky and costly wreck recoveries ever, a science conference in Nelson has heard.

But it wrought very little long-term environmental damage, scientists reported.

A string of researchers gave presentatations on  aspects of the Rena disaster to the Society of Environmental Toxicology and Chemistry’s Australasia conference at the Rutherford Hotel. They concluded the area had a lucky escape, partly because of the huge public involvement in the clean-up.

Lead presenter, Waikato University professor Chris Battershill, who holds the inaugural Bay of Plenty Regional Council chair in coastal science, said 8000 volunteers collected 1000 tonnes of oily waste from the Bay of Plenty coastline, “at the time the largest volunteer army every deployed”.

He said the 236 metre container ship was carrying 1650 tonnes of fuel oil and 1368 containers, including 121 packed with perishables and 32 with dangerous goods when it hit the reef while taking a shortcut to the port.

The debris field extended to Great Barrier Island north of Auckland and to East Cape.

Battershill said 259 containers were unrecovered, including 33 that were on the seabed, reasonably intact.

“The remainder are suffering very serious destruction and degradation. They’re in the debris field and the aft section of the ship.”

About two-thirds of the ship’s hull remained on the seabed, he said.

“We think it’s one of the most complex wreck and recovery operations internationally.”

Read more »

New Science Fact: 10,000 volts kills all of cat’s nine lives in one go

Cats are evil and a waste of space and a pain in the butt, but at least this one went out in style – creating maximum inconvenience to human beings.

Nearly 10,000 homes and business in Tauranga lost their power for an hour after a cat was zapped at a substation.

The cat climbed on to outdoor electrical switchgear at the Otumoetai substation last night, lines company Powerco says.

Power was restored about an hour later at 8.25pm.

The cat did not survive.

Read more »

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Provinces benefiting from Auckland housing issues

I fielded a call yesterday from a mate in Taupo, Rick Cooper, he used to be the Mayor and is a real hard case.

He was telling me about what is going on in Taupo as a result of Auckland housing issues.

Basically his experience is that Taupo is booming and growing as Aucklanders cash up, release capital in their houses in Auckland and move out to places like Taupo. Anyone who advertises for jobs in Taupo is being inundated with people from Auckland applying. On top of that with their capital freed up they are buying nice houses in Taupo and then deploying the rest of the capital into new businesses and investments.

He doesn’t want the problem solved in Auckland anytime soon as Auckland spill over is Taupo’s gain.

TV3 covered a similar story last night:

Regardless of who is fuelling the Auckland property boom, it’s forcing many people to look further afield.

Whangarei is a couple of hours’ drive from Auckland, but sales of homes there have almost doubled in the past year.

Real estate agents say they’re being snapped up by people who can’t afford to buy in our biggest city.   Read more »

Do you want a home for $300,000 or less?

Screenshot-Whaleoil.co.nz

Screenshot-Whaleoil.co.nz

Are there any affordable homes in New Zealand for $300,000 or less? I let my fingers do the typing and searched Trademe for properties for sale for $300,000 or less. Previously I have blogged about houses for sale for $200,000 or less and $100,000 or less.

A 20% deposit on a $300,000 house is $60,000.

The fortnightly cost of paying off a 30 year table loan for $240,000 is $661.27

It turns out I am not the only person who has realised that it is possible to purchase a home if you lower your expectations.

While thousands of Aucklanders despair at their chances of owning a house, a determined 22-year-old student is proof it can be done.

University of Auckland under-graduate Brandon Lipman has just become a property investor and hopes to add a second house to his portfolio within 12 months.

“It’s not going to stop at one. There will be another purchase – it’s just a matter of when.”

He has always dreamed of being a homeowner. And on April 29 – his birthday – he bought a $300,000 Hamilton rental property after scraping together $45,000 through hard work and financial compromise.

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