New Zealand's parliament passed the Overseas Investment Amendment Bill banning most of foreigners from purchasing New Zealand's existing property, with 63 votes for and 57 against, local media said Wednesday.
MOSCOW (Pakistan Point News / Sputnik - 15th August, 2018) New Zealand's parliament passed the Overseas Investment Amendment Bill banning most of foreigners from purchasing New Zealand's existing property, with 63 votes for and 57 against, local media said Wednesday.
The bill envisages overseas residents' ban on purchasing existing dwellings without the consent of New Zealands Overseas Investment Office. To gain this consent, they will have to prove that the country will benefit from the purchase.
"This Government believes that New Zealanders should not be outbid by wealthier foreign buyers... Whether it's a beautiful lakeside or ocean-front estate, or a modest suburban house, this law ensures that the market for our homes is set in New Zealand not on the international market," Trade Minister David Parker said, as quoted by the stuff.co.nz news website.
Overseas residents will still be able to purchase new dwellings in apartment blocks, but only if the number of units owned by foreign residents in this block does not exceed 60 percent. There are no restrictions on overseas persons' investment in retirement villages, student accommodation and aged-care facilities. Citizens of Singapore and Australia will not have to comply with the new legislation due to free-trade agreements between their countries and New Zealand.
The bill follows New Zealand Prime Minister Jacinda Ardern's pledges she made this fall to ban foreigners from buying existing property in the country, as this would be a "simple" and "clean" solution to help the government "act in the interests of home buyers."
