New Zealand is to ease a ban on foreigners buying homes to allow wealthy investors access to its housing market and boost the economy
Zealand New Zealand will relax a ban on foreigners buying homes in the country to allow some wealthy overseas business investors to buy a single high-value residential property, Prime Minister Christopher Luxon said Monday.
The move partially reverses a ban introduced in 2018 by previous government to cool a runaway housing market fueled by property speculation. Holders of a residency “golden visa” reintroduced by Luxon’s government in April will now be able to buy one home worth at least 5 million New Zealand dollars ($3 million).
Luxon said the move balanced a desire to attract wealthy investors to the country with allaying house price fears. The change stops well short of a full reversal of the policy and would apply only to a small number of wealthy foreigners and a limited number of houses, he added.
The visas, which were intended to draw overseas investors to the country’s businesses, give residency to people investing a minimum NZ $5 million in New Zealand businesses over three years, or NZ $10 million over five years if the money is deposited in less risky investments.
Some visa holders had been ineligible to buy property because they didn’t live in New Zealand for at least six months of the year. That requirement will now be waived.
