New Zealand introduces ban on overseas speculators

WELLINGTON, Dec. 13 (Xinhua) -- Legislation to ban overseas speculators from buying New Zealand homes will be introduced into the parliament on Thursday, official said on Wednesday.

The New Zealand government welcomes foreign investment in houses to add to the housing supply, but purchases of homes by offshore speculators push first home-buyers and families out of the housing market, Housing and Urban Development Minister Phil Twyford said in a statement.

The legislative changes demonstrate the government's determination to make it easier for New Zealanders to buy their first home, Twyford said, adding that the law is expected to be passed early next year.

The government prioritizes home ownership and housing affordability for all New Zealanders, and this bill will ensure that house prices are set by New Zealand-based buyers, not international buyers, he said.

Land Information Minister Eugenie Sage said that the legislation brings residential land within the category of sensitive land in the Overseas Investment Act.

"It will mean, for practical purposes, that foreign buyers will not be able to buy residential property unless they are either increasing the number of residences and then selling them or converting the land to another use," Sage said, adding that New Zealand and Australian citizens will be exempt from the regime. Enditem