By Connie Chan, RFi Group
The proportion of New Zealanders who own their own home has reached a 66-year low. Only 63.2% of New Zealanders currently own the property they are living in, according to Statistics New Zealand, which is the lowest rate of ownership since 1951. The low rate of home ownership in New Zealand may be the result legislation made by the Reserve Bank of New Zealand, which restricted the amount which owner occupiers and investors can borrow as well as increased the required deposited for a loan to 20%.
RFi Group data illustrates the impact of the legislation is increasing among borrowers. More than 21% of current borrowers who took out their most recent loan in the last 12 months identified as being restricted by borrowing legislation compared to only 8% of borrowers who took out their loan more than 6 years ago.