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

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

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

27
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PATHETIC.

38
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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.

18
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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.

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

27
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Sadly, the Government doesn’t seem to be a player in resolving the systemic housing issues.

45
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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.

17
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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.

38
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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.

Comment of the week. Good on you, Squishy!

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

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.

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...

11
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They will be upping the accomodation supplement again shortly, just be patient!

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.

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?

Well said.

Transformational.

Meanwhile down the road... brrrrrrrrrr.

18
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She seems quite pleased with herself.

15
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She comes across as really smug, but what is there to be smug about?
Perhaps an increase in the value of her property portfolio?

18
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she is happy as, she was aiming for 10, she got 12. Double thumbs up Megan.

Communism doesnt work!

10
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LOL where was the PR teams spin on this tweet, Woods must have written it herself...fail.

12
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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.

21
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At least Twyford had some ideas and vision, but certainly lacked on delivery.
Woods doesn't have ideas, vision OR delivery.

26
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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.

15
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Yes. She seems confident that she's delivered and another goal can be ticked off. It is bizarre.

Labour voters fall for that

13
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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.

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.

14
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liquid
For those that worked in the Public Service at the time, "Gliding On" was considered a real-life documentary - not comedy. :)

14
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Seriously, is this some kind of sick joke????

17
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12 families housed since July 2020, that's transformational!

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

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

25
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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.

12
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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.

It just doesn't matter. Kindness, innit.

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).

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

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

21
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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 .

11
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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.

10
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Beyond a joke. This bunch of complete muppets are history.

Labour's pipeline must be chocka by now

17
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what a stupid bird. she missed her calling as a hairdresser or kindy teacher

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

19
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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.

14
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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.

hahaha..

like a thug

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?

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

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

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.

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.

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.

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?

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....

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

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 . .

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

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.

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

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

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

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

Big numbers.
I mean calorific retention.

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

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.

Wtf?

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

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-men....
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.

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

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

Editor why is nothing done about this homophobe?

Hindsight is a wonderful thing.

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

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!!

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

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.

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.

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

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

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

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

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

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.