House prices in Hamilton are unaffordable for first home buyers, one councillor says. Photo / File
House prices in Hamilton are unaffordable for first home buyers, one councillor says. Photo / File
Hamilton City councillor Angela O'Leary has called the Kiwi dream the Kiwi impossible, after new property valuations put more pressure on house prices.
O'Leary posted on her Facebook page that in 2009 she bought her three bedroom home for $267,000, with a 10 per cent deposit. Her latest valuation is$510,000.
"If I was in the market today as a first home buyer, it would be out of reach," O'Leary said.
She took a swipe at the city's Special Housing Policy, with the affordability criteria being a hot topic since it was first brought in last year.
As part of special housing areas, at least 10 per cent of homes must be deemed "affordable" — that is, sold at no more than 90 per cent of the average Hamilton house price. That average house price is now $572,169.
"I have long held the view that the Kiwi dream for the family who earns an average wage and should be able to afford an average home, is gone.
Hamilton City Councillor Angela O'Leary outside her Dinsdale House. Photo / Supplied
"Too many things would have to change. Lower deposits, lower interest rates, increased wages, more homes built quickly, smaller houses, cheaper land, the list goes on."
That message echoed commentators on her Facebook page who said Hamilton is becoming increasingly more expensive to live in.
Albi Collier said the Kiwi dream has been a ridiculous idea for a while.
"Nobody put anything in place to protect the first home population but instead just got on board and hocked as many off as possible.
"It's a sad time to want the Kiwi dream but it was always going this way with no control of the wildfire market back when we had a chance," Collier said.
Former byelection candidate Deborah Fisher said the city needs more homes.
"Monetary gains from buying and selling property have turned many tenants into itinerant gypsies wondering where they will live as they are forced to relocate so new owners can install new tenants," Fisher said.
"The cost of relocating is high with re-connection to services, bonds etc and the cost of moving itself.
"Mostly I feel for the kids that are forced to change schools, make new friends and start over when their parents can't find accommodation in the same area. People need stable long term homes not just a roof over their heads."
Mark James said the valuations were out of control, and were putting average Kiwis out of the dream of buying a home.
"When we bought our unit four years ago it was valued at $215000, today it's worth $390,000 apparently. That's obscene.
"We'll never be able to afford a three bedroom place the way property values are outstripping wages. Well, unless we move to another city. Crazy times," James said.
