20 Jan - 26 Jan
LOCALLY OWNED SINCE FOREVER
No 1034
LAKES WEEKLY BULLETIN
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The Fable of QT’s First Home Buyer It’s a new year, but already we’re seeing the same old problems for young people trying to buy in Queenstown. Going four ways on a block of land with friends, moving to a different city altogether or rentvesting a house outside Queenstown. These are a few options that peers of mine have considered as buying their first home here is proving to be increasingly unattainable. I recently had a conversation with someone who explained that ‘back in their day, it was still difficult.’ They purchased their first home on Hallenstein Street – a few bedrooms, a couple of bathrooms and a garage at a tidy $130,000. I’m not sure when they bought this house and I dare not ask someone’s age; but let’s assume right around 1990. Taking inflation into account, that $130,000 would be about $920,000 today. A house that matches the description this person gave me recently sold for $1.8 million – hardly comparable. Okay Jess, things have changed, get with the programme. Well, as a recent first home buyer I can tell you times are tough. Asking prices are a lie and the “RV” barely scrapes the surface of what many of these homes actually sell for. That’s not considering the single friends I have – it’s hard enough to buy a home in a partnership. My partner and I have been burned at auctions, put in many-an-unaccepted offer, and only managed to get our first home with the help of our amazing real estate agent, Kate Law. But not everyone has a Kate. Even if they do, not everyone manages to get a house. So, what are the options? The Queenstown Lakes Community Housing Trust (QLCHT) offer an assisted ownership programme. An opportunity to purchase your own decent, warm and dry home, at an affordable price. Their waitlist is out-of-this-world though. Someone I know had been on the waitlist for many years – they received the call to say a home is available for them – two bedrooms, no storage, and now not enough to accommodate their growing family’s needs. The home is through a leasehold ownership tenure – you pay an upfront payment (purchase price) for the home based on its construction costs only (no margins added). QLCHT registers a 100-year lease over the land in your name, giving you the right to occupy the home for your lifetime. If you need to move out, the QLCHT will buy it back for the same price you paid plus an inflation adjustment for the period of time you’ve owned the property, capped at 2% per annum. Another classic case of the rich get richer and the rest of us stay the same. Yes, living in Queenstown is a privilege, but why should it be so hard for those that want to settle here? Lower-to-moderate income earners make this place turn around – haven’t we all been there?
Queenstown Bike Festival kicked off on Friday with an array of events including the Slopestyle at Wynyard Jump Park
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Jessica Allen - Queenstown Media Group f r ie d e g g
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