We at the NZIPIF are constantly looking for the next hurdle to be presented to our sector. This year we've had RTA and LVR changes, implementation of the Healthy Homes standards, and the announcement of the staged removal of interest as a tax deductible expense.

What next? Through the media there has been mention of changes to the Accommodation Supplement. No details have been released so it’s a wait and see. But there are other developing policies to be aware of. One is the Government Policy Statement on Housing and Urban Development (GPS HUD). The other is the Significant Natural Areas (SNA) policy.

Govt Policy Statement

This will communicate the longterm vision for housing and urban development and how the Government will work with others to make it happen. It is intended to provide a shared vision and direction across HUD, and to guide and inform the actions of contributors.

It will set out how Government and other parts of the HUD system will work together to realise this vision and shape the future by Government policy, investment and programmes of work. This is the first GPS developed and will be implemented on October 1, 2021 and reviewed yearly. The primary outcomes proposed are:

• thriving communities
• partnering with Māori for housing and urban solutions
• wellbeing through housing
• an adaptive and responsive system.

We can all agree these would be excellent outcomes to achieve. More specific areas of focus are to:

• provide homes that meet people’s needs
• ensure that more affordable houses are being built
• support resilient, sustainable, inclusive and prosperous communities
• invest in Māori-driven housing and urban solutions
• prevent and reduce homelessness
• re-establish housing’s primary role as a home rather than a financial asset.

This is followed by another 78 pages of discussion available at haveyoursay. hud.govt.nz. The consultation finished at the end of July. I have concerns about this document as private rental property providers are hardly mentioned. It talks about Community Housing Providers (who lease houses from private rental providers) but there is little mention of private landlords. I don’t know whether this is a mistake, or if our sole responsibility is to be financial providers of houses with lease agreements in place. This may suit some people. However, many hands-on investors may find this problematic. This document also has minimal mention of tenants and what will happen to them if the policy outlined is implemented. If investors find there is a diminishing return on investment in housing and deposit rates go up, they may look at other options.

SNA Issues

The other area of concern is the policy of establishing SNAs. SNAs are areas containing significant indigenous vegetation or significant habitat of indigenous fauna that must be protected to ensure the ongoing biodiversity in a district. Each council has identified these areas in their region. In Wellington, the council has identified 18% of the city as SNA. These areas are privately and publicly owned. So far about 1,693 privately owned properties have been identified. This will have implications for the property rights of these property owners. It will be necessary for those owners to apply under the RMA before they can make basic changes on their property – building a shed, adding a room, planting a camellia or creating a lawn. Undertaking a subdivision or redevelopment will become impossible. It is expected that the loss of value for these properties will be considerable.

It's important to know what SNAs your local authority has identified. Consultation has ended, but look for any remaining opportunities to have your say.