Use of homes as commodities must be curbed, say economists

New Zealand must introduce policies that make housing a basic human right rather than an investment vehicle “for the well-off”, according to Massey University academics.

Housing market economists Bob Hargreaves and Graham Squires say that a trend known as ‘housing financialisation’ means that houses are increasingly seen as market commodities that “can be traded, borrowed against and used as a way of accumulating wealth”.

In an online editorial posted on the Massey website, they argue that financialisation has contributed to NZ’s housing problems by encouraging property speculators to enter the rental market.