What is affordable housing and how do we achieve it?
The international definition of Affordable Housing is where the cost of mortgage or rent is no more than 1/3 of your income.
For the person on New Zealand's average income of $56,000 that is $326.00 per week.
Assuming that person has saved a 10% deposit, and interest at 5% your Affordable House is $400,000 or less.
An Auckland development just lifted their Affordable House price from $550,000 to $650,000. Really????
So how do we supply $400,000 homes to the market? We need game-changing shifts on multiple fronts .... solutions coming soon.