'Get ready for more landlord buying'

The RBNZ sees the potential for a spike in demand from landlords. Photo: Lynn Grieveson / The Kākā

Kia ora. Long stories short, here’s my top six things to note in Aotearoa’s political economy around housing, climate and poverty on Friday, November 1:

1. The RBNZ has warned the Government’s tax changes and its suspension of new housebuilding by Kāinga Ora is about to create the most toxic mix for house prices: more investor demand at a time housing supply is restrained. The only reason another boom is unlikely is the RBNZ has intervened to limit new lending to landlords.

2. Scoop of the day: Te Whatu Ora-Health New Zealand is yet to finalise its standard operating procedure for dealing with mental health callouts as police prepare to pull back from attending what they deem non-urgent requests from next Monday, Jenna Lynch reports for Stuff.

3. Deep-dive of the day: Rents listed on TradeMe have fallen in some places, but Melanie Early reports in depth for RNZ from Auckland how renters are paying more than half their weekly income for damp and mouldy homes.

4. Solutions news: Central North Island iwi Ngāti Rangi has built four homes to rent out at 20% below market rates in Ohakune to iwi members, Moana Ellis reports for LDR via RNZ.

5. Quote of the day: Sam Neill describes the Government’s downscaling of its Dunedin hospital rebuild plans as careless, hearless and ruthless.’ RNZ

6. Chart of the day: House prices have fallen, but remain near the limits of sustainability, the Reserve Bank says.

(There is more detail, analysis and links to documents below the paywall fold and in the podcast above for paying subscribers. If we get over 100 likes we’ll open it up for public reading, listening and sharing.)

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1. ‘Get ready for more landlord house-buying’

Also, RBNZ says, extra supply being limited by Govt’s housing cuts

Te Pūtea Matua-The Reserve Bank of New Zealand has warned the Government’s tax changes and its suspension of new housebuilding by Kāinga Ora is set to create the most toxic mix for house prices: more investor demand at a time housing supply is restrained. The only reason another boom is unlikely is the RBNZ intervened from July 1 to limit new lending to landlords through its new Debt to Income (DTI) multiple controls, which are effectively creating a ‘guard rail’ against another 2021-style spike in lending to investors.