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John Campbell slams Poto Williams for lack of progress on home affordability
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#33
Ok my last word on the matter - although some of those policies you mentioned may have contributed to a landlords costs, that is only half a miniscule influence compared to the real problem...

Not enough houses equals shortage of supply
Shortage of supply tends to push up prices given the same amount of demand
In New Zealand we also had an ever increasing demand due to population growth over 30/40 years
So supply is restricted, demand is increasing, price goes up, lots...

If there was an oversupply, landlords would be forced to lower their rents because there would be too many houses available and they will sit empty - too much choice for tenants. 

The only effect of increasing landlord's costs (all those policies you mention) is the landlord needs to decide whether they can still  make the numbers add up and hopefully make a profit.  It has very little influence on what rate they can rent their property in the market, that is set by the market itself... 

It is basic supply and demand problem.  Read up, it explains a lot about the way markets work
https://www.investopedia.com/terms/l/law...demand.asp

You can blame labour policies for it all you like but they were only tinkering around the edges.  
The bigger crime is National denying there was a housing crisis for a full nine years
The world would be a perfect place, if it wasn't for the humans.

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RE: John Campbell slams Poto Williams for lack of progress on home affordability - by king1 - 06-02-2022, 10:21 AM

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