Foreign buyers \u2018investors\u2019 back in the property market<\/p>\n
On Monday, the Government announced that wealthy foreigners holding an Active Investor Plus residency visa \u2013 the so-called Golden Visa \u2013 would be able to buy homes in New Zealand. <\/p>\n
An investment of at least $5 million would be required, and only homes worth at least $5m, which amount to less than 1% of the market, would be eligible for purchase.<\/p>\n
It eases the foreign buyers\u2019 ban put in place in 2018 by Prime Minister Jacinda Ardern when Labour was in coalition with NZ First. Peters said at the time that it was a clear signal that \u201cNew Zealand is no longer for sale in the way it has been\u201d. <\/p>\n
That position persisted during 2023 coalition negotiations, leading to the demise of National\u2019s policy to tax foreign buyers of homes worth $2m or more. However, in the months leading to this week\u2019s announcement, Peters had signalled he was open to change if it accompanied economic investment, amid consistent pressure from Prime Minister Christopher Luxon.<\/p>\n
National leader Christopher Luxon and NZ First leader Winston Peters shaking hands after signing their coalition agreement. Photo \/ Mark Mitchell <\/p>\n
The delicate line Peters walks with his base in supporting the Government\u2019s decision is clear in the first line of his first public statement on the matter: \u201cThe foreign buyers ban on housing remains.\u201d <\/p>\n
Asked whether he risks being accused of backing down, Peters says: \u201cGive me the logic to what they\u2019re saying, I\u2019ll respond to them. They can\u2019t and I won\u2019t.\u201d <\/p>\n
He also bristles at the term \u201cforeign buyers\u201d, instead preferring \u201cforeign investors\u201d. <\/p>\n
Party member Craig Sinclair expects most members will accept the balance that has been struck, but he acknowledges it is a \u201ccompromise\u201d. <\/p>\n
\u201cAt the end of the day, New Zealand First is a party that [believes] production is important,\u201d he said.<\/p>\n
\u201cI think desperate times, sort of time for a compromise, isn\u2019t it?\u201d<\/p>\n
Sinclair remained fervently against \u201clax immigration\u201d and its potential impact on the housing market. <\/p>\n
\u201cThey come in with enough money for a lot of ordinary homes, or middle-class homes, they can pay a bit more and there\u2019s a ratcheting effect right throughout New Zealand.<\/p>\n
\u201cBut there are wealthy people who come and buy the house \u2026 they\u2019re going to be putting money into production.\u201d<\/p>\n
Election policies to be revealed<\/p>\n
Multiple policy announcements are expected to be made during the conference in areas including immigration and climate change. <\/p>\n
Any immigration policy could act as a counterweight to the foreign buyers announcement and provide reassurance to any uncertain members. <\/p>\n
Peters is likely to discuss the party\u2019s position on New Zealand\u2019s commitment to reach net-zero emissions by 2050 under the Paris climate agreement. <\/p>\n
Act said on Tuesday that it would campaign to leave the pact if more \u201crealistic targets\u201d weren\u2019t set. Peters, who has railed against climate policies forcing agricultural production to higher-emitting countries, was quick to respond, saying \u201cimitation is the most sincere form of flattery\u201d. <\/p>\n
Act leader David Seymour and MPs announcing they supported leaving the Paris climate change agreement if realistic targets weren’t set. Photo \/ Michael Craig <\/p>\n
Should the parties enter into negotiations again in 2026, they would likely find a roadblock in National and Luxon, who believe exiting the Paris deal would see Kiwi products pulled from the shelves. <\/p>\n
Similar to last year\u2019s conference, energy policy will be a central focus. Regional Development Minister Shane Jones, who announced plans last year to grow geothermal supply, will front a remit proposing that New Zealand should dip its toe into nuclear power. <\/p>\n
Again, National currently opposes any such moves. Luxon has said Kiwis are \u201cproud of our non-nuclear position\u201d and that he believed nuclear power presented a risk because of New Zealand\u2019s earthquakes. <\/p>\n
Peters, in an interview with the Herald two weeks ago, said he intended to announce policy designed to send a \u201cclear signal from NZ First as to what we think should happen to the economy, how we would handle it if we\u2019re running the show by ourselves\u201d. <\/p>\n
NZ First minister Shane Jones will be central to discussions of energy policy. Photo \/ Mike Scott <\/p>\n
The economy, and more specifically the cost of living, has plagued the coalition to the point at which Labour was considered most able to address high prices in the last two Ipsos Issues Monitor polls. <\/p>\n
Peters is also expected to make an announcement on the Government\u2019s behalf regarding a remaining item in the coalition agreement with National. <\/p>\n