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I like this approach. Try the obvious and simple approach first. If not working, revise. Instead of trying to balance between too many factors, slumping in de

I like this approach. Try the obvious and simple approach first. If not working, revise. Instead of trying to balance between too many factors, slumping in decision making and consensus gathering, and in the process, all the smart people already exploited or even corrupted the system.

elyobo 9y ago
The main obvious thing is to make property speculation neutral with regards to tax, rather than the tax avoidance hole that it currently is. Hopefully they'll address that too, but given that Adern has been quoted as saying they're not looking to push down prices in AUckland I'm not all that hopeful that they'll actually take the steps that need to be done.
- xupybd 9y ago
  The tax loop hole in housing is something that needs to be addressed. If we have income tax we really need to tax all profit, including capital gains.
  - elyobo 9y ago
    TOP's policies with regards to taxation were very interesting; no change in overall rate of taxation but broadening the tax base in such a way that would have significantly increased the tax on assets and decreased it on income. Too painful for the National base to take on and too radical for Labour to consider (even though it would significantly benefit their base) though.
    - xupybd 9y ago
      Yes TOP made a lot of sense. But did not do well enough to get in. Politics is often more of a popularity contest than a way of selecting the best party based on policy.
      - elyobo 9y ago
        The 5% threshold has a lot to answer for; needs to be either removed entirely (minimum threshold to be whatever the % is required at the time to get a single list MP into parliament) or, to appease those terrified of small parties, at least to have a transferable vote so that in the situation where your first preference fails to cross the line at least your vote transfers to your next preference. Both would improve support for minor parties, the first directly and the second by reducing the risk that your vote gets "wasted". Implementing both would be ideal (and, to add to that, adding an STV system for the electorate vote as well).
RowanH 9y ago
Actually this hasn't been the first approach, there's been a gradual tightening of access to mortgages via what's called the LVR, by upping the deposit amount required for mortgages to buy a house and differentiating between the family home and investment properties. Arguably this has slowed down the rampant price rises in the past 6-12 months without crashing the market. Currently LVR rates are 20% owner occupied and 40% for investment properties (ie rentals). There's some exemptions and some other tax rules that have been put in place also. Anecdotally we're not seeing the craziness of 24mths ago. Auction pass rates have increased and the number of for sale signs have dropped dramatically. This new policy is probably more politically motivated than will actually have an effect.

elyobo 9y ago

The main obvious thing is to make property speculation neutral with regards to tax, rather than the tax avoidance hole that it currently is. Hopefully they'll address that too, but given that Adern has been quoted as saying they're not looking to push down prices in AUckland I'm not all that hopeful that they'll actually take the steps that need to be done.

xupybd 9y ago
The tax loop hole in housing is something that needs to be addressed. If we have income tax we really need to tax all profit, including capital gains.
- elyobo 9y ago
  TOP's policies with regards to taxation were very interesting; no change in overall rate of taxation but broadening the tax base in such a way that would have significantly increased the tax on assets and decreased it on income. Too painful for the National base to take on and too radical for Labour to consider (even though it would significantly benefit their base) though.
  - xupybd 9y ago
    Yes TOP made a lot of sense. But did not do well enough to get in. Politics is often more of a popularity contest than a way of selecting the best party based on policy.
    - elyobo 9y ago
      The 5% threshold has a lot to answer for; needs to be either removed entirely (minimum threshold to be whatever the % is required at the time to get a single list MP into parliament) or, to appease those terrified of small parties, at least to have a transferable vote so that in the situation where your first preference fails to cross the line at least your vote transfers to your next preference. Both would improve support for minor parties, the first directly and the second by reducing the risk that your vote gets "wasted". Implementing both would be ideal (and, to add to that, adding an STV system for the electorate vote as well).

RowanH 9y ago

Actually this hasn't been the first approach, there's been a gradual tightening of access to mortgages via what's called the LVR, by upping the deposit amount required for mortgages to buy a house and differentiating between the family home and investment properties. Arguably this has slowed down the rampant price rises in the past 6-12 months without crashing the market. Currently LVR rates are 20% owner occupied and 40% for investment properties (ie rentals). There's some exemptions and some other tax rules that have been put in place also. Anecdotally we're not seeing the craziness of 24mths ago. Auction pass rates have increased and the number of for sale signs have dropped dramatically. This new policy is probably more politically motivated than will actually have an effect.