Home ownership dream
New Zealand has been in what is widely considered a housing bubble. The disproportionately large increases in residential house prices have placed the dream of owning their own home out of reach for many in the country. In 2022, around 30 percent of residential properties were sold for over a million New Zealand dollars. The majority of mortgage lending in the country went to owner occupiers. In general, only New Zealand residents and citizens can buy homes in the country to live in, with new regulations tightening investment activity in that market.
While new builds are subject to stricter building regulations and standards, the quality of existing homes have been criticized by those residing in them. In particular, many homes lack efficient insulation. Subsidies have been introduced by community trusts, local health boards, and the government to assist in improving the housing standard across the country. The funding is specifically designated for insulation and installation of energy-efficient heating.