Govt's Progressive Home Ownership Scheme houses only 12 families

Property

Government funding to community housing providers sees only 12 families benefit from progressive home ownership thus far

24th Feb 21, 1:04pm by Jenée Tibshraeny

Megan Woods

No, Housing Minister Megan Woods isn’t joking, trumpeting the delivery of 12 homes via the Government’s Progressive Home Ownership Scheme as good progress.

Woods disclosed the figure to Parliament’s Social Services and Community Committee during questioning by National’s Nicola Willis on Tuesday.

Following the meeting, she tweeted a video on the Progressive Home Ownership Scheme, which prompted a barrage of criticism from people suggesting it must a joke or error. It isn’t.

Launched in July 2020, our Progressive Home Ownership Scheme has helped 12 families into their own new homes with more in the pipeline, & will get between 1,500 & 4,000 NZ families locked out of the housing market, into their own homes.#livestransformed @nzlabour pic.twitter.com/q4UX13Cxej
— Megan Woods (@Megan_Woods) February 23, 2021

While the Labour/Greens Confidence and Supply Agreement required the previous Coalition Government to deliver “innovative home ownership” like rent-to-buy or build-to-rent schemes, it took until a few months before the 2020 election for something to come into fruition.

In July 2020, Woods announced the Government was taking its first steps by loaning two community organisations a total of $23 million to upscale up their existing progressive home ownership offerings.

She said the Housing Foundation in Auckland would receive $17 million to deliver 78 homes mainly through its Shared Home Ownership Programme and Rent to Own offering.

And the Queenstown Lakes Community Housing Trust would be lent $6 million to deliver 25 homes through its Secure Home programme, which offers leasehold homes.

In October 2020, Woods announced Manawa Community Housing Trust - the housing arm of Ngā Pōtiki - would receive $7.2 million to construct 30 homes in Papamoa.

Each organisation can use its own criteria to determine eligibly for these homes.

Woods in July said work was underway to establish an initiative within Kāinga Ora for households to receive shared ownership support directly from the government.

She said this was expected to become available in “early 2021”. On Tuesday Woods confirmed the plan was still for this to occur this year, but didn’t say when.

The Government allocated $400 million to progressive home ownership when it did its KiwiBuild “reset” in September 2019.

As at January, 433 KiwiBuild homes had been sold in total. A further 296 were available to buy. The number of KiwiBuild houses sold each month rose in the latter half of 2020, as first-home buyer activity was up across the board.

Govt won't put a number on the housing shortage

Willis also put the pressure on Woods in the Committee meeting for not being able to put a figure on New Zealand’s housing shortage.

Woods argued it wasn’t helpful trying to pinpoint a number, with different economists’ and researchers’ forecasts on the matter varying wildly.

Woods noted the previous National-led Government didn’t put a figure on the shortage either.

Willis quizzed Woods on the matter in the House on Thursday too:

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85 Comments

by Fritz | 24th Feb 21, 1:08pm 1614125317

PATHETIC.

by Passerby | 24th Feb 21, 1:32pm 1614126767

Incredibly transformational indeed. What was Jacinda’s famous quote that her generation was being locked out of housing. Now that she has a cushy home in one of Auckland’s most expensive suburbs, suddenly housing is no longer a real issue just a symbolic issue with head slants and worried looking frowns.

by Tom Valen | 24th Feb 21, 1:42pm 1614127357

Hey, be kind. Virtue signallers are the 'good people' amongst us, so shes entitled to a river of unearned capital gains. Horrible 'capitalists' trying to run businesses and employ people just aren't virtuous enough I'm afraid.

by RickStrauss | 25th Feb 21, 12:03pm 1614207805

She has been transformational. She has transformed herself into John Key 2.0

by printer8 | 24th Feb 21, 1:11pm 1614125475

Sadly, the Government doesn’t seem to be a player in resolving the systemic housing issues.

by Squishy | 24th Feb 21, 1:18pm 1614125885

As a property investor I commend this governments commitment to doing nothing productive about affordable housing. Just one request, could they subsidise rents more so that we can charge more rent? Much appreciated.

by Li quid | 24th Feb 21, 1:39pm 1614127170

Absolutely, and well done to you sir.

Just remember to draw down profits and move to a high-gated community so when the pitchfork & lynch mob show up - your gains will be safe.

by Squishy | 24th Feb 21, 1:58pm 1614128336

The things I fell in love with about life in New Zealand like its beautiful landscapes, quiet country roads, unspoiled beaches etc. will probably be so degraded by our approach to immigration and overdevelopment at any cost that I doubt I'll retire here.

As for the pitch forks, New Zealand is only heading in one direction under the neoliberal goverments it continues electing. The only difference between Labour and National is the former is "woke" and the latter "folksy", policy-wise they are the same party. Neither will ever, ever be genuine about reform.

by Advisor | 24th Feb 21, 2:16pm 1614129413

Comment of the week. Good on you, Squishy!

by Hook | 24th Feb 21, 7:09pm 1614146982

So Squishy.. you're another victim of the PR machine then?? Heads up buddy - NZ has never been any of the things you listed, unless you look at DOC reserves and even that's debateable.
NZ embraced DDT, 245T, 1080, happily allowed/allows over-abstraction of water resources, etc, etc. The only thing that makes it look not too bad is there aren't many people here/Km2. NZ'rs are in fact some of the worst polluters per capita in the world. It's not the Govt's fault - the responsibility lies with the person looking back in the bathroom mirror

by linklater01 | 24th Feb 21, 7:40pm 1614148857

Hook,
I came here over 17 years ago from Scotland after I retired from business. I live very comfortably in Mount Maunganui and enjoy the life style, including tramping. We have a great network of huts. I am one of the lucky ones, but there's a nasty undebelly to life here.
Almost every apartment block here leaks and the standard of building is appalling. I have a brick and tile property, so have no issues,but why is this happening? The standard of driving is dreadful and the poor state of our infrastructure is increasingly self-evident.

by Fritz | 24th Feb 21, 8:36pm 1614152168

Glad someone else thinks Nz's driving is bad.
My latest bugbear is following distance, many drivers in Auckland seem to think 3-5 meters is fine when driving at 80-90 mph...uber drivers are particularly bad, I have never been much of an Uber user, but I certainly won't go near one if the journey involves motorway travel...

by Tom Valen | 24th Feb 21, 1:43pm 1614127430

They will be upping the accomodation supplement again shortly, just be patient!

by Pusheen | 25th Feb 21, 12:59am 1614167971

Sadly those will go to? in the end.. to the most feared bug bear of all in NZ economic scene, an OZ Banks cartel.
In the end those with good IQ/EQ quotient ended up owning more/extracting $ to the ones below them, and for OZ? for sure you can also dig further who is above them.. etc.

by Dan122 | 26th Feb 21, 5:52am 1614271960

We won't see a change until the politicians loose interest in their personal property investments. Do you think they are going to enact policy against their own interests? How many landlord just sold a property and brought BT?

by fortunr | 26th Feb 21, 10:09am 1614287365

Well said.

by GV 27 | 24th Feb 21, 1:18pm 1614125906

Transformational.

Meanwhile down the road... brrrrrrrrrr.

by Fantastic | 24th Feb 21, 1:18pm 1614125914

She seems quite pleased with herself.

by Fritz | 24th Feb 21, 1:20pm 1614126048

She comes across as really smug, but what is there to be smug about?
Perhaps an increase in the value of her property portfolio?

by FCM | 24th Feb 21, 2:35pm 1614130512

she is happy as, she was aiming for 10, she got 12. Double thumbs up Megan.

by Dan122 | 26th Feb 21, 5:53am 1614271996

Communism doesnt work!

by Nifty1 | 24th Feb 21, 1:19pm 1614125986

LOL where was the PR teams spin on this tweet, Woods must have written it herself...fail.

by Tom Valen | 24th Feb 21, 1:25pm 1614126345

This government replaced the lack-lustre Phil Twyford with Megan Woods. I'd read some glowing reports about Woods in the media, a heavy-hitter for this government apparently. I tend to look at results. I've also observed Woods when she fronts the media and she often has a 'possum in the headlights' look about her.
Maybe they were too hasty in replacing Twyford? He looks like a stellar performer next to Woods.

by Fritz | 24th Feb 21, 1:45pm 1614127514

At least Twyford had some ideas and vision, but certainly lacked on delivery.
Woods doesn't have ideas, vision OR delivery.

by Tom Valen | 24th Feb 21, 1:39pm 1614127156

You'd think she'd be trying to bury the fact this scheme has only housed 12 families since July 2020, instead she's crowing about it. Bizarre video.

by J.C. | 24th Feb 21, 1:42pm 1614127358

Yes. She seems confident that she's delivered and another goal can be ticked off. It is bizarre.

by dago | 24th Feb 21, 2:45pm 1614131110

Labour voters fall for that

by J.C. | 24th Feb 21, 1:40pm 1614127254

I was very young when the comedy TV show Gliding On was on the TV. For those who don't know, it was about the closeted, slippered, and unproductive lives of those working in the NZ public sector. In many ways, things never ever changed. Quite possibly got worse, except that they've got a more 'slick' PR person in the office.

by Li quid | 24th Feb 21, 2:03pm 1614128602

Thank you J.C.! Best find today, and a whole 5 seasons to have a laugh.

I have been looking for something to watch after "Yes, minister".

As someone who has worked in the public sector, these shows are far too kind to public servants.

by printer8 | 24th Feb 21, 3:28pm 1614133737

liquid
For those that worked in the Public Service at the time, "Gliding On" was considered a real-life documentary - not comedy. :)

by Fritz | 24th Feb 21, 1:42pm 1614127362

Seriously, is this some kind of sick joke????

by Tom Valen | 24th Feb 21, 1:45pm 1614127514

12 families housed since July 2020, that's transformational!

by ShoreThing | 24th Feb 21, 1:44pm 1614127473

Awesome to have the video from Parliament embedded in the article.

by kpnuts | 24th Feb 21, 1:45pm 1614127552

and at the same time increased house prices 19% so these lucky 10 people .... wait did we not create more lottery millionaires in the same period of time

by ShoreThing | 24th Feb 21, 2:09pm 1614128984

More than 200 millionaires made by Lotto since 2017. Pretty rough when you've got a better chance of winning the lottery than being housed by this scheme.

by xingmowang | 24th Feb 21, 1:50pm 1614127824

what do people expect when a countries' leader is elected based her/his popularity but not ability.

this political system guarantees mediocrity at the best.

by Tom Valen | 24th Feb 21, 2:00pm 1614128420

It just doesn't matter. Kindness, innit.

by Pusheen | 24th Feb 21, 11:58pm 1614164292

Now, be kind Xing - with recent upgraded FTA? the NZ dear leader is expecting a call to provide further 'discount' on Sinovac vaccine, kids vaccine bile (to be distributed by the Warehouse).
Meanwhile, I personally suspect she's not taking the jab straight away as Morrison - err, may be another baby is on the way? - Remember, Lab & her got majority even from the ex Nat voters not just for a bail out reason, but also subsidising the profit (aka. stimulus to jump start).

by kiwikeith | 24th Feb 21, 1:50pm 1614127850

Need a whole lot more just to house the refugees that are coming.

by stevell | 24th Feb 21, 1:53pm 1614128000

It is really unfortunate and embarrassing as a tax payer that this is who represents us, I'm feeling a little sadder today. It's not so great that the government think this is a "win" and thus worth promoting

by Cowpat | 24th Feb 21, 2:07pm 1614128860

New Zealand government provides 23 million for affordable housing for Kiwis , New Zealand's Reserve Bank provides 28 Billion in cheap funding to four Australian banks .

by Tom Valen | 24th Feb 21, 2:31pm 1614130298

And how dare greedy NZ savers expect a decent return on money in the bank! Far better than the Aussie banks should make out like bandits instead.

by Roger the dodger | 24th Feb 21, 2:18pm 1614129522

Beyond a joke. This bunch of complete muppets are history.

by youngdumbandbroke | 24th Feb 21, 2:20pm 1614129610

Labour's pipeline must be chocka by now

by dago | 24th Feb 21, 2:26pm 1614130005

what a stupid bird. she missed her calling as a hairdresser or kindy teacher

by dago | 24th Feb 21, 2:47pm 1614131256

actually that is a bit harsh, Kindy kids do understand "how many is 12?"

by Dale Smith | 24th Feb 21, 2:31pm 1614130260

There is only one thing worse than only 12 houses, that is trying to paint that number as an achievement.

Mind you, it does highlight that the asperations that Govt. has for us as a country.

Never mind that the largest homebuilder in the USA builds approx. 55,000 houses per annum.

by printer8 | 24th Feb 21, 3:18pm 1614133121

A synopsis to save you time watching Wood's Question Time response on critical issue of housing shortage:
Woods: "Ha, ha, ha. Nobody knows how many houses short we are . . .could be 28,000 or it could be 200,000 . . . ha, ha, ha . . . National doesn't even know how many houses short . . . . ha, ha, ha . . . you couldn't count them . . . so, ha, ha, ha . . . so, National this is your problem . . . . ha, ha, ha . . no one knows, so no problem". Sits down self-congratulating herself and smiling like a Cheshire Cat.

by xingmowang | 24th Feb 21, 3:25pm 1614133554

hahaha..

like a thug

by dago | 24th Feb 21, 5:49pm 1614142157

I kind of got the impression she was quoting numbers in an accusatory way, and she doesn't realise that shes actually the one in the hot seat and is meant to be answering a question. It's bizarre and I question her cognitive abilities. Why is Labour full of pea-brains?

by profile | 24th Feb 21, 4:00pm 1614135629

Media will be earning their $50 mill. bribe spinning this one.

by GV 27 | 24th Feb 21, 4:15pm 1614136538

Wonder if this will be a night-after-night feature like using hotels to house homeless people was on RNZ at one point.

by Tom Valen | 24th Feb 21, 4:53pm 1614138796

Reporting on the hapless victims of Labour's worsening housing calamity is verboten. This government is 'woke', it is 'kind', and there is no poverty when a government of this sort is in power. Enjoy the utopia everybody.

by dago | 24th Feb 21, 6:07pm 1614143229

The more poor people, the bigger the voter base. The younger gen is being violated in such a perverse, evil way by a fraudulant govt. At least with the Nats you know what you're getting.

by Theoracle | 24th Feb 21, 4:23pm 1614137037

I know someone working in this area at MHUD, their internal processes sound a bit of a shambles but one of the biggest challenges they have are the Iwi chips providers (community housing) not wanting to follow due process. They expect to be able to given a fast track to getting the funding rather than jump through all the regulatory hoops the non-iwi applicants have to. A reliable source on the inside tells me they have been told to turn a blind eye and rubber stamp iwi funding applications.

by CWBW | 24th Feb 21, 5:01pm 1614139318

Some people repeatedly claim Phil Twyford as the best housing minister in the history of this country. Bring him back then to promise you 300,000 houses this time round!

Anyone knows what happen to the new fuel taxes the government introduced? Where are the major transport and infrastructural projects? Where did the money go?

by Tom Valen | 24th Feb 21, 6:32pm 1614144728

The media are looking for lost bunnies and what not. No time available for holding this government to account. It's not very 'kind' to write negative stories about virtuous people. Now what are Harry and Meghan up to everyone....

by tooting | 24th Feb 21, 5:11pm 1614139918

Rebel Wilson shows off fit form in leather catsuit
.. Herald today. Not a whisper about our new glut of housing

by solardb | 24th Feb 21, 5:04pm 1614139487

A lot of criticism but not a lot of suggestions or answers. The govt has made the money available , but it seems the uptake is slow, implementation slow too. Why is this ? could it be that people don't actually want this path to home ownership? is the capacity to build not there?
I suspect , but have no proof , that the organisations involved are genuinely trying to offer this to the people they think need it most , but many of them would prefer to continue renting vs a longterm tie to ownership . .

by Flying high | 24th Feb 21, 5:25pm 1614140753

Cheaper to pay mortgage than pay rent ... probably theres the insurmountable deposit that stops many

by solardb | 24th Feb 21, 6:05pm 1614143114

As I understand it , it reduces the deposit required to 60 % of the full price , yes still insurmountable to many.
But my experience with communal living / ownership is that people who want to own something , want to own it outright. Those that don't would rather pay more rent etc and be free to move on. Its still alot of money to come up with , to feel you don't totally own or control your home. Probably explains why even leasehold vs freehold struggles in NZ.

by Flying high | 24th Feb 21, 5:23pm 1614140596

Watching the vid on mute without minister Woods nauseating voice is all the better. Well done for the family in their own home, but just 12 families since scheme announcement in 2019 is terrible. Woods should be ashamed and apologetic not trying to talk it up and lying like Trump

by Hook | 24th Feb 21, 6:46pm 1614145601

Woods and the rest of her dysfunctional amateurish cronies were voted in by 60% of the electorate. Gives new meaning to the refrain "God defend NZ" cos there isn't anyone else remotely qualified or capable

by Tom Valen | 24th Feb 21, 7:12pm 1614147174

You are counting the Greens and sundry other motley Left Wing elements in that 60%? Labour got just over 50% in the last election.

by Hook | 24th Feb 21, 7:22pm 1614147761

Fair call - Labour got 54.17% of registered voters. Add the Greens and you get 62%+

by Rosenstein | 24th Feb 21, 5:33pm 1614141224

Big numbers.
I mean calorific retention.

by Brock Landers | 24th Feb 21, 5:49pm 1614142162

One could reasonably assume that more pies were eaten for breakfast than families were helped.

by buyandhodl | 24th Feb 21, 6:36pm 1614144990

Lol. Why is she citing Ashley Church here? That's very concerning. Man has a high school level understanding of how the market works at best.

by Fritz | 24th Feb 21, 8:41pm 1614152519

Wtf?

by buyandhodl | 25th Feb 21, 5:05pm 1614225902

Fritz, put it this way: Ashley Church regularly says things that would result in him failing university level economics and finance courses. He often says things that would result in him failing statistics courses, philosophy or math courses (logical non-sequiturs) or anything involving hypothesis testing.

So yes, I would say he has a high school understanding of how markets work at best

by Hook | 24th Feb 21, 6:43pm 1614145404

Good to see the current pack of no hopers are consistent. 1/2 the "new" builds turn out to be new on paper only, the "Progressive Homeownership" is only progressing shiny arsed public servants salary and job security, and to top it off we now find a Mexican refugee needs priority access to MIQ on "National interest issues" after being refused as an "essential worker"
https://www.stuff.co.nz/national/politics/124347716/green-mp-ricardo-me….
Personally I'd lock the pillow-biting @rse bandit up for falsifying an MIQ application. Actually even better - I'd revoke his citizenship for just taking the P..s.
What a complete and utter joke.

by mikekirk29 | 25th Feb 21, 9:07am 1614197252

Er, editor? is this sort of homosexual insulting allowed under your criteria?
If so, then no one is reading stuff

by Hook | 25th Feb 21, 9:02pm 1614240137

Truth is in the eye of the beholder mikekirk29 - if the cap fits then best you wear it with pride.

by dago | 25th Feb 21, 9:42pm 1614242550

Editor why is nothing done about this homophobe?

by Dale Smith | 24th Feb 21, 6:44pm 1614145444

Hindsight is a wonderful thing.

Who would have guessed in firing Twyford, they got rid of their most capable Housing Minister.

by Hook | 24th Feb 21, 6:56pm 1614146182

Agreed, Twyford was the pick of the bunch as it turns out.. GGA.
Hope all the good folk who voted Labour and/or Greens are basking in the glow and feeling genuinely happy with the "transformational" Govt we now have to endure.. thanks Y'all!!

by Fritz | 24th Feb 21, 8:50pm 1614153059

Wow, it's eye opening watching that parliament video.

by Pusheen | 25th Feb 21, 12:06am 1614164793

She is being honest, if you want to compare to 9yrs of National trumpet noises.. crisis? what? no crisis, only 3% FB etc. - it is indeed easy to scream from the outside ring. Lab just continuing shadow boxing, Nat? actually dress up in Tutu to do ballerina dance in boxing ring.
C'mon guys - only 12, why? have you even consider the pricing? affordability? and compare it to OZ (anywhere but outside Syd & Mel, and off course not the top prime area). NZ is a dump place.

by nigelh | 25th Feb 21, 8:07am 1614193653

I'll will give Megan Woods some slack on this. If the money was only lent last year in Jul20 then to expect a lot more houses to be built in the time period is expecting too much. With the residential construction boom and Covids, nine months is probably the earliest one could expect a house to be built. A year is more likely. Add to that NGO's who claim to be able to supply housing and who may or may not have a reasonable knowledge of the building process and you've got another delay.
Wait for a full year and also see how many houses are in the pipeline then.
Currently here in NP there's around a four-six month delay in getting drawings from an architect or architectural designer ready for BC. That time scale is based on three enquiries. There are plenty of others. One is doing work for builders in Christchurch. It is one of those areas where remote working is feasible.

by mikekirk29 | 25th Feb 21, 9:05am 1614197123

Small potatoes much easier to present frequently, than a proper full meal that would house NZ pop

by mikekirk29 | 25th Feb 21, 9:11am 1614197482

Religion since 1986 states government cannot borrow for investment (but can to support wages to prevent economic collapse) And RBNZ is not allowed to be told what to do by government. Put those 2 together and you get total gridlock on DOING anything fast in NZ, let alone solving a 30 year old problem

by peter.may | 25th Feb 21, 10:34am 1614202459

Our small building company houses more people annually than this housing plan! What a joke!

by DaveRennie | 25th Feb 21, 2:51pm 1614217909

The bar is set very very low when looking back over exactly how little this government has achieved.

by Firstclass | 25th Feb 21, 5:43pm 1614228180

Shocking and humiliating video. 12 ! Not 12000 or 1200 just 12.

by pacifica | 26th Feb 21, 12:30am 1614252625

trangender birds would have more effect on the housing market given the same amount of cash which is why I am now a twitcher and think these politicians are all pigs in an animal farm. All that is left is the inevitable knackers for those too poor and ill and oh look the ineffectual health system has dropped another few balls as families beg for coroners reports.