Private landlords are asking the government to sell them unwanted state houses which have been on the shelf for a year without sale.
The Auckland Property Investors Association (APIA) is preparing to lobby the government for the right to buy and rent the homes after Bill English admitted attempts to sell off the state houses to community providers had failed.
Private landlords have been excluded from sale attempts on state houses as they are not registered community housing providers.
In July 2015, the Herald reported that Gold Coast company Horizon Housing had visited New Zealand with interest in purchasing at least 400 state houses.
At the time Labour's housing spokesperson Phil Tywford described English's admission as "the latest lurch in the Government's stumbling, half-baked housing policy".