New Zealand, facing a shortage of affordable housing, scrapped its target to build 100,000 homes in 10 years as "overly ambitious" on Wednesday and reset some policies for grappling with what it calls a crisis.
Prime property prices in key cities around the word are continuing to moderate with the latest data showing they increased by 1.3% year on year, down from growth of 4.3% two years ago.
The affordable housing gap reached some $740 billion globally in 2018 with Amsterdam, Auckland and Hong Kong amongst the least affordable places to buy a home.
Property sales in New Zealand slowed down at the end of 2018 with December seeing the lowest number of transactions for the month for seven years, the latest index shows.
The national median house price in New Zealand reached a record high of $575,000 in November, up 6.5% from $540,000 at the same time last year, the latest index data shows.
Housing market dangers are “especially acute” in Australia, Hong Kong, Canada and Sweden, Oxford Economics said, noting this has historically posed a threat to economic activity.
Homebuyers hope new law will allow market to cool, helping those consigned to a life of insecurity
New Zealand's parliament has banned many foreigners from buying existing homes in the country - a move aimed at making properties more affordable.
The amended law would allow non-residents to own up to 60 percent of large, new apartment buildings. There is currently no ban on foreign ownership of land, houses or apartments
Quotable Value's (QV) residential property price index grew 7.6 % in the year to April, as the pace of recovery picked up from a lull towards the end of 2017
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