Home­own­ers’ price qualms

Auckland City Harbour News - - YOUR PAPER, YOUR PLACE - ROB STOCK

New Zealand homes and the land they are on are now worth a stag­ger­ing one tril­lion dol­lars.

Those who have a share in it are gen­er­ally as­sumed to be pretty happy.

I can tell you now. Not all of them are.

Many home­own­ers don’t ap­prove of house prices hav­ing soared so high, even though it has en­riched them per­son­ally.

Their dis­taste that the me­dian house in Auck­land costs roughly ten times the me­dian house­hold in­come is be­cause in­flated prop­erty prices are in­ter­fer­ing with the or­di­nary lives of the peo­ple they love, mak­ing them far harder than they need to be.

I can il­lus­trate us­ing ex­am­ples from my per­sonal sphere of ac­quain­tance.

Don’t as­sume all home­own­ers like high prices

Many think in terms of ‘‘fam­ily’’ fi­nance

Chil­dren are re­main­ing fi­nan­cially de­pen­dent for longer

par­ents. That’s be­cause the par­ents have had to lend them money, or give a bank a guar­an­tee, just so they can buy a home.

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