2 Dec 2022

Fale mo Aiga plan aims to deliver homeownership for hundreds of Pasifika

5:55 pm on 2 December 2022

Photo: Ministry for Pacific Peoples

The New Zealand Government has launched its Pacific Housing Strategy and Action Plan 2030 known as Fale mo Aiga, which is Samoan for "house and family".

The plan aims to improve housing conditions and increase homeownership for Pasifika. Its target is achieving homeownership for 500-700 Pasifika households by 2030, and seeks to achieve this through a number of initiatives including improving financial literacy and facilitating access to home loans.

"This strategy is about ensuring that we achieve economic prosperity and well-being, so that our Pacific peoples are confident, thriving and resilient," said the Minister for Pacific Peoples, Aupito William Sio.

"Making sure our people have warm dry homes to live in, and ensuring our Pacific communities have a pathway towards owning their own homes."

According to Statistics New Zealand, Pasifika have the lowest homeownership rates among recorded ethnicities. In 2018, Pasifika homeownership rates were 21 percent compared to 52 percent overall.

The decline correlates with New Zealand's ongoing housing crisis, which has seen real house prices increase by more than 80 percent since 2002. The predominantly middle income demographics of Pasifika, Māori and millennials are the worst hit by the crisis.

"Over the last two or three decades we've witnessed a decline in homeownership rates, and more and more living on rental properties," said Sio.

"In 2017, Pasifika homeownership rates were at their lowest ever."

Aupito William Sio.

Aupito William Sio. Photo: RNZ / Dom Thomas

The action plan of Fale mo Aiga

MPP is targeting at least 2400 participants with the 18 providers under the Pacific Financial Capability Development programme.

The Pacific Peoples' Pathways to Home Ownership Financial Literacy Programme is delivered by one provider and will reach at least 1200 participants.

"I want to make sure that this strategy provides that increased capacity and capability across the Pacific housing sector but specifically giving our people the opportunity and choices to empower them with the tools," said Sio.

It will also establish dedicated Pacific roles across housing authorities, as well as supporting six Pacific providers to achieve registration as Community Housing Providers (providers of long term community rental housing, regulated to ensure housing provision is up to standard)."

"The government will support and increase the number of Pacific housing providers, supporting work towards homeownership," he said.

"The key objective is about influencing and strengthening the housing system to improve housing outcomes for Pacific peoples."

Photo: Rafael Ben-Ari/Chameleons Eye