Prime Minister Jacinda Ardern, with Finance Minister Grant Robertson, Housing Minister Megan Woods and Revenue Minister David Parker, outlining the housing package. Photo / Mark Mitchell
Last month, my 11-year-old granddaughter inadvertently snagged an oystercatcher in her line while fishing for kahawai.
In its tranche of measures to quell the "rampant speculation" in our housing market, our well-meaning Government has inadvertently snagged genuine, long-term landlords. Taking away the tax deductibility of legitimate business
expenses will drive them away. But that's good right? It increases the supply of houses for sale for first home buyers.
Yeah, nah. The only people who can afford a deposit in this era of inflated house prices are the speculators. So this policy may end up having the opposite effect to what was intended, with fewer rentals available – just when we need them most.
It seems to me that if you want to slow speculation, you need to target the speculators. Limit their ability to borrow, and make the tax on profits so unattractive that they will invest elsewhere. Seems simple to me.
Eric Wolters, Tauranga.
Regarding Labour's recent attempt at housing "reform", it seems like our politicians need a few more ideas.
It is more than time to: ban auctions for residential property; cap real estate agents fees; and require all properties for sale to be advertised with a price, like rental properties are required to do under the Residential Tenancies Amendment Act 2020. Some people may like to offer more than the advertised price, and are free to pay more if they wish.
Wow, that would make things less of a seller's market, wouldn't it? Happy house hunting everyone.
Natalie O'Rourke, Sunnynook.
The housing market will be cooled only by increasing supply or reducing demand, preferably both. Extending the bright-line test and other financial strictures is just pussy-footing around and will achieve little.
To increase supply, the government must build more affordable houses (and is doing this), because private enterprise won't.
It would be no bad thing if the government was required by law to own a certain proportion of the nation's housing stock, maybe 5 per cent. It would keep the government's eye on the ball and ensure a continuing supply of accommodation commensurate with the nation's population. Linking immigration to the availability of housing would be an obvious next step.
Dampening demand is more difficult, especially when interest rates are at historical lows.
It is unfortunate that most Kiwis regard property as the only safe repository for their retirement nest eggs. Compare this with the US, where the majority of household savings is funnelled into productive assets (shares).
If rental-owning boomers, of whom there are many, followed the US example and got out of the property market, demand would reduce, and would-be first-home owners would have a better chance of a foot in the door. And the sharemarket would benefit.
C Brian Smith, Kelburn.
Part of the Government's new housing policies include the provision that if I buy a second house and sell it within 10 years I will be taxed on the difference. Elsewhere in the world this is known as a capital gains tax.
However Grant Robertson, interviewed on precisely this point this morning said: "This is not a capital gains tax."
Clearly, the minister has been reading too much Lewis Carroll:
"When I use a word," Humpty Dumpty said, in rather a scornful tone, "it means just what I choose it to mean - neither more nor less."
John L R Allum, Thames.
Regardless of whether one agrees with the announcement by the Government that interest paid on mortgages on residential property investments can no longer be deducted from rental income, it is important to dispel the notion that such a deduction is a loophole that is being closed.
Until now, this was a perfectly legitimate business expense, explicitly provided for in the Income Tax Act.
No special creative accounting was required.
John Deyell, Ellerslie.
Two current situations are connected. Our society's gatekeepers face daily defiance, biting, spitting, obscene language, etc. We are once again reminded of the increasing plight of our schoolteachers with disrespectful, undisciplined, untrained kids.
The older versions of these children go on to treat our police similarly. They can then appear on the Police Ten-7 TV programme, which the PC brigade want to ban because it portrays stereotypes, when most people know this is simply real representation of what is actually happening on the streets.
Both situations can be linked to years of worsening parenting. Liberal societal changes since around the 1970s, absentee biological mother and/or father, and the crazy legislative ones like shaming corrective smacking, have all exacerbated the problems we now have. Addictive social media has not helped.
Legislation in any civil society should firstly reflect that we (taxpaying) people support these heroic front-liners, not the individuals' so called rights. Parents must also be held to account.
Simon Guinness, Greenlane.
Claire Trevett writes (NZ Herald, March 23) that the transtasman bubble will work by treating New Zealand as the seventh state of Australia.
If Australia has a Covid outbreak, the Australian economy can still operate efficiently with one of its states closed, while the rest of it's states remain open.
Unfortunately, when New Zealand has an outbreak it's usually Auckland, the gateway to our country, that has to go into lockdown, with disastrous economic consequences for the whole of New Zealand.
Australia would not bail us out, as it would if one of its own states needed financial assistance.
There is so much at risk to New Zealand if there is another outbreak. Australia can afford to carry that risk, we can't.
Claire Bradley, Torbay.
I am a first-generation New Zealander. My father, grandfather, great-grandfather, and his father were all Australians. I am proud of my Australian heritage.
But, as I see the shameful way Australia is treating its Anzac partner, and the negative impact 501 is having on those offloaded here, their families in Australia, and on New Zealand, I am appalled.
Disgusted that so-called decent dignified Australian political leaders can lower themselves to maintain and defend such a policy.
On what basis can anyone justify the 501 policy which leaves human beings alone, in a foreign land, tearing families apart, inducing self-harm, and harm to innocent Kiwis?
Is Australian leadership so bereft of responsibility towards these people who have learned and practised their unsavoury ways in Australia? Do Australia's policymakers have any compassion, and do they have any respect for New Zealand? It appears not.
If Australia is to continue this crude behaviour, they should at least foot the bill. I know my father and grandfather would have been very upset at their country's treatment of New Zealand. They were Australians of good conscience and a sense of fair play. Where are the Australian leaders of that character?
Bruce Reynolds, Chatswood.
The country is suffering due to the Covid-19 pandemic. Businesses are closing down and unemployment is on the rise. House prices are going up and the rent is also going to be unaffordable.
Elected Hamilton City Councillors, who do the part-time job, are getting a remuneration increase. In total, they will get a total remuneration of about six times the unemployment benefit.
Last week, some councillors got together and approved a further $6000 each for childcare. No wonder our rates are going up each year.
Mano Manoharan, Hillcrest.
May I commend your back page. I look forward to Sideswipe, some welcome humour after the serious news, and the captions are very clever.
A favourite too is "My Story" as told to Elizabeth Easther - always interesting and insightful.
I also particularly commend Teuila Fuatai for sharing her personal struggle with the "black dog" of depression (NZ Herald, March 24).
John Billing, New Plymouth.
Is it just me or does anyone else find those ads for One Choice insurance on TV - during the day mostly, I think - dodgy to the point of being offensive?
They're the ones where a bearded man in a furry old-school green tracksuit (or is it a onesie?) appears out of nowhere; in people's homes; in the backseat of their cars; and from behind bushes but quickly eases any alarm by talking common-sense insurance policy.
The ads make me change the channel and definitely put me off.
Francis Malley, Kaitaia.
On Foon
Is "conciliation" no longer part of the Race Relations Commissioner's role? Mike Wagg, Freemans Bay.
On libraries
The idea to waive library fines sounds fine, but where is the incentive to return items? Chris Kiwi, Mt Albert.
On Skypath
Cyclists on the North Shore simply have to get used to the idea that a biking lane between the north and south sides of the harbour is not a reasonable expectation, any more than Waiheke or Great Barrier Islands would expect such a facility. It does not, in a word, go with the territory. David Morris, Hillsborough.
On housing
To returning New Zealanders and immigrants: "Sorry full up, no houses available. We'll put you on a waiting list and you will get first priority when we catch up." Gary Hollis, Mellons Bay.
What has been announced will not make one iota of difference to the house prices. We will be talking about it in years to come whether it is Labour or National on the government benches. It the supply, stupid, to paraphrase Bill Clinton's strategist James Carville. Mahendra Kumar, Otahuhu.
Housing is affordable in other places which all have the same facilities for families and with work-at-home abilities. It is time to rethink the market. B Easterbrook, Whakatane.
Fortunately it is not a capital gains tax as some commentators are trying to convince us, because it does not apply to shares and all the more productive investments. Bill Gibson, Kawerau.
Norm Rose, who is now based in Napier, is not surprised by Wood's stellar EPL form.