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Young British people are so desperate to get on the property ladder they are considering moving to New Zealand for a "cheap" house with the aim of saving enough to then buy a house back in Britain.
A new survey by Britain's National Savings and Investments (NS&I) has found a quarter of Britons trying to buy their first house would consider moving overseas to do so -- and a third of those had their eye on New Zealand or Australia.
NS&I spokesman Mark Brooks said a property boom in Britain had caused average house prices to double over the past six years.
Told that New Zealand's own property boom had pushed the national median in this country to about $330,000 or 119,000 pounds, Mr Brooks said that was unlikely to deter British househunters.
"Ours is 200,000 pounds ($563,539)."
NS&I surveyed 1000 people who did not own their own home for its latest Quarterly Savings Survey.
Mr Brooks said it was surprising to find so many people would consider immigrating to New Zealand or elsewhere to buy property but with more households in Britain than houses available, people were looking for a solution.
"It's harder and harder for people when they're looking for new homes to actually get on the housing ladder and first time buyers especially.
"Instead of either staying at home longer, living with their parents, or alternatively renting, which is also expensive, the survey shows that people are looking for alternative ways to get on the UK housing ladder."
New Zealand's "cheaper" prices appealed, as did the weather, and a strong affinity with New Zealanders, many of whom had lived in Britain, Mr Brooks said.
Also, many young British people had travelled to New Zealand on extended holidays.
"They see New Zealand and think 'what a great place to live' -- that's why it's higher on the agenda than it would have been previously."
Mr Brooks doubted British people would be aware New Zealand had had its own property boom.
He said property ownership was part of British culture and moving to New Zealand was just one way of fulfilling that "normal" dream.
"Getting on the housing ladder is very important."
Other destinations considered by British people looking to move abroad to buy a house were Spain (43 per cent), America (22 per cent) and Eastern Europe (20 per cent).
New Zealand's national median property price eased in January to $327,000 from $330,000 in December.
Auckland's median was $415,000, Wellington $351,868, and Canterbury/Westland stayed the same at $290,000.
In Waikato/Bay of Plenty, the median was $307,875 while Southland, the fastest growing region, had 25.6 per cent growth from from $124,250 in January 2006 to $156,000 this January.
Other median prices for January included Manawatu/Wanganui $215,000, Taranaki $272,500, Northland $305,000, Hawke's Bay $280,000, Wanganui $215,000, Nelson/Marlborough $307,000, Central Otago Lakes $432,200, Otago $221,750.
Reserve Bank Governor Alan Bollard last week raised the official cash rate from 7.25 per cent to 7.5 per cent in a bid to cut household spending, citing the booming housing market as a main reason.
- NZPA
