News | Politics
23 Feb 2018 1:30
NZCity News
NZCity CalculatorReturn to NZCity

  • Start Page
  • Personalise
  • Sport
  • Weather
  • Finance
  • Shopping
  • Jobs
  • Horoscopes
  • Lotto Results
  • Photo Gallery
  • Site Gallery
  • TVNow
  • Dating
  • SearchNZ
  • NZSearch
  • Crime.co.nz
  • RugbyLeague
  • Make Home
  • About NZCity
  • Contact NZCity
  • Your Privacy
  • Advertising
  • Login
  • Join for Free

  •   Home > News > Politics

    Call to get rid of home deposit rule

    The 20 per cent deposit rule for home buyers is cutting first-home buyers out of the Auckland market and needs to go, a real estate agent says.


    First-home buyers in Auckland on good incomes can't get a house because of a 20 per cent deposit requirement, a real estate agent says.

    "We've got young couples in Auckland earning a quarter of a million dollars between them, who could easily service a mortgage - but because of high rents and living costs, they struggle to save a big deposit," Century 21 New Zealand national manager Geoff Barnett says.

    He wants the 20 per cent deposit requirement for first-home buyers scrapped for lower-valued properties, which he defines as anything up to $750,000 in Auckland.

    His comments follow similar calls from Barfoot and Thompson director Peter Thompson. On Friday REINZ also called for a review of loan-to-value restrictions imposed by the Reserve Bank of New Zealand two years ago.

    "It's over $200,000 in deposit just to buy the average Auckland home," Mr Barnett said.

    The Reserve Bank introduced lending restrictions to help cool Auckland's housing market, but the measures need to be reviewed as property prices normalise, according to Mr Barnett.

    "Many first-home buyers should be exempt from the blanket high deposit requirements. They should still pay a deposit and their savings history and ability to service the mortgage must still be heavily scrutinised, but it's time they got a fairer go."


    NZN




    © 2018 NZN, NZCity


     Other Politics News
     22 Feb: Kiwis want to engage with govt online
     21 Feb: Government turns to National to pass TPP
     21 Feb: CPTPP will add up to $4b to economy: MFAT
     21 Feb: Pressure mounts on Catholic-run family planning clinics in Papua New Guinea
     21 Feb: Emails from Australian accused of spying James Ricketson show no evidence of Cambodian plot
     20 Feb: Hunt continues in Ahipara firearm incident
     20 Feb: US partygoer angers Chinese authorities by stealing a 2,000yo terracotta warrior's thumb
     Top Stories

    RUGBY RUGBY
    Super Rugby week-two preview panel More...


    BUSINESS BUSINESS
    Shares gain as investors take a2 above $9b More...



     Today's News

    General:
    Winter Olympics: Russian mixed doubles curling team lose bronze medals after Alexander Krushelnitsky's positive test 22:15

    Skiing:
    Teenage Kiwi duo win Olympic bronze 21:55

    Technology:
    Russia-linked internet bots trying to make the world an angrier place 21:45

    International:
    Winter Olympics speed skaters and the athletes whose unusual bodies suit their sports 21:45

    Entertainment:
    Oscar Isaac knew he wanted to marry her after he saw his pregnant wife take care of his sick mother 21:35

    Rugby League:
    McLean faces NRL Storm front in NQld debut 21:15

    Entertainment:
    Matt LeBlac is “sure” Jennifer Aniston is “doing okay” following her split from Justin Theroux 21:05

    Entertainment:
    January Jones has insisted she is not dating Nick Viall 20:35

    Entertainment:
    George and Amal Clooney have donated $500,000 to the March For Our Lives movement 20:05

    Entertainment:
    Liam Gallagher has said the key to being a “rock star” is having “loud farts” 19:35


     News Search






    Power Search


    © 2018 New Zealand City Ltd