Auckland Conversations - Affordable Housing in Auckland - What About Renting?

A panel discussion with NZIER’s Shamubeel Equab, Deputy Mayor Penny Hulse and Auckland Property Investors Association’s David Whitburn

Most Aucklanders will need to rent accommodation at some stage of their lives, but a growing number are now likely to rent their entire lives.

The rental market needs to perform in a way that it has not done previously - that is, provide secure, long-term, quality rental housing on a much larger scale than in the past.

Rental affordability is a critical issue for low- to middle-income households in Auckland, and people who enter retirement renting are likely to face ongoing hardship.

The current provision of market rental properties in Auckland is overwhelmingly dominated by small-scale investors who own one or two properties and have full-time jobs in other fields.

Renter demand in Auckland is forecast to increase by 63 per cent over the next 20 years and it is unclear whether “mum and dad” investors will be able to meet this demand.

Research shows that private rental housing is in poorer condition than either social housing, or houses that are owner occupied.
In addition, unlike their counterparts in European countries, many NZ renters face the prospect of being kicked out of their accommodation at any time and are unable to make basic alterations to personalise their temporary homes.

An effective rental market is a critical component of the New Zealand housing market. How can we achieve this in Auckland?