New Zealand to ban foreigners from buying homes  8/11/2018 1:13:15 AM  3

Wellington: Foreigners face a ban on buying homes in New Zealand after a spending splurge by millionaires seeking doomsday bolt-holes crowded out local buyers and pushed up property prices.

Home purchases by tycoons such as tech billionaire Peter Thiel, the PayPal founder, and Matt Lauer, the former NBC host who lost his job after allegations of sexual misconduct, have led the New Zealand government to crack down on the trend.

Buildings stand illuminated at dawn in Wellington, New Zealand.

Buildings stand illuminated at dawn in Wellington, New Zealand.

Photo: Bloomberg

The country's allure for the mega-rich planning a safe space to ride out the apocalypse has become almost a cliché in recent years. Reid Hoffman, LinkedIn co-founder, told The New Yorker last year: "Saying you're buying a house in New Zealand is kind of a wink, wink, say no more".

But the country's centre-Left government, led by prime minister Jacinda Ardern, is blaming the apocalypse preppers for a major housing crisis, with rates of homelessness among the highest in the developed world.

Ms Ardern's Labour Party is adamant that a law change banning foreigners from buying most types of homes in the country - due to pass through parliament next week - will help damp down property prices. It also plans to build 100,000 affordable properties in a decade, resolve New Zealand's zoning and infrastructure woes, and bolster its ailing construction industry.

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