
Nearly every day now I read in the NZ Herald stories about the "housing crisis" in NZ. (The Herald has a series entitled "Housing Crisis".)
What exactly is the crisis? Are houses mysteriously spontaneously combusting - no. Are houses myteriously shrinking by 5m2 per day, before disappearing in a puff of smoke - no. Are there people sleeping on the streets because we have run out of houses for them to sleep in - no!!!
The so called "housing crisis" is, we are told, an affordability crisis. People can't afford houses because house prices are rising faster than wages. This is coupled withhigh consumer debt, whereby people have too much consumer debt to be able to also service a loan.
My question: Why is this called a "housing crisis"? By calling it a housing crisis, it is all to easy to point the finger at those who already own houses, especially those who own more than one. "Tax the greedy buggers", cry some. "Limit the number of houses the capitalist pigs can buy" screech others.
Why not rather call the problem of housing affordability a "wages crisis" (wages are too low) or a "lifestyle crisis" (people's spending habits are preventing them from entering the property market)?
There is no housing crisis!!!!
Rant over.
Paul.
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