An AI image generated by The Urban Advisory which says there will need to be a range of housing types to serve the diverse needs of New Zealanders. Photo: The Urban Advisory / Google AI illustration
A national housing report indicates three-quarters of renters (75 percent) are dissatisfied with the housing choices available to them with more than half (53 percent) unable to afford to buy a home.
The Urban Advisory report indicates New Zealanders wanted more housing options and housing mobility, with co-housing a top choice, according to a peer-reviewed, cross-section of more than 2587 survey respondents over the age of 16.
Older adults were seeking to downsize, while financially stretched households, and those seeking culturally grounded housing had few options.
The following types of structures were supported by respondents:
- Co-housing (59 percent)
- Community land trusts (29 percent)
- Residential co-operatives (32 percent)
- Shared Ownership (23 percent)
- Rent to buy (34 percent)
- Built to rent (19 percent)
"There's a big gap between what people want and what sort of housing is being delivered," Urban Advisory managing director Dr Natalie Allen said.
"The gap is between the public housing sector and the private market, and to bridge it will require flexible support and more housing options."
She said the housing continuum encompassed public housing to market ownership, with an under supply of options for those in stuck in the middle with fewer options.
"This gap is a critical issue because secure tenure is foundational to positive social and economic outcomes for people.
"The lack of options poorly serves this 'missing middle' and they are key segments of the population that include our rapidly ageing population, Māori and Pacific Island peoples and the key workers that keep our towns and cities going."
The supply of quality townhouses close to amenities had not kept pace with the rapid increase in their popularity, with 59 percent of respondents willing to consider living in a townhouse though only 36 percent did, Allen said.
Neighbourhood features were also a key consideration for more than 40 percent, with the highest priorities being safety from crime and near services and amenities such as schools and public transport.
An AI generated illustration of a future neighbourhood supplied by The Urban Advisory. Photo: Google AI image / The Urban Advisory
The three most important features people looked for in a property were:
- Safety from natural hazards: Rated as "important" by 84 percent of respondents
- Energy efficiency: Rated as "important" by 68 percent of respondents
- Garden or outdoor space: Rated as "important" by 58 percent of respondents
The survey also found most renters expected their next move would be a choice, though nearly 20 percent anticipated being forced to move.
"For some, a lack of housing mobility means they're stuck in place, even when they want or need to move," Allen said.
"For many others, constant relocation is the norm, driven by the absence of affordable, suitable options. This instability has far-reaching consequences, directly affecting educational attendance, academic outcomes, and economic productivity."
Affordability was an issue for nearly 60 percent of the survey respondents, who said they had to make at least one compromise or sacrifice to meet the rising cost of living as follows:
- Delaying access to medical services (24 percent)
- Sacrificing family gatherings or holidays (24 percent)
- Not heating or cooling the home as much as needed (23 percent)
- Sacrificing recreational activities (22 percent)
- Economising on food, eg skipping a meal (21 percent).
The primary financial reasons renters gave for not planning to own their next home were:
- 53 percent said they could not afford to buy anywhere
- 41 percent said they could not afford to buy where they wanted to live
- 39 percent said houses were not worth the prices
- 30 percent said they were saving for a deposit, but that it was hard when living costs were so high.
Respondents aged 65+ were mostly satisfied with their current living situation and desired to age in place.
Those aged 75+ were most satisfied with their situation, with more than 91 percent saying their housing felt "stable and secure", and 64 percent saying they don't intend to ever move - a view also shared by 37 percent of those aged between 65-74.
"While this stability is positive for individuals, it means fewer homes are freed up for younger families - especially as many older homeowners choose to stay in larger homes rather than downsize," Allen said.
However, she said data suggested the desire to age in place was more about staying in their community.
"Many want to downsize and stay in the area, but finding suitable housing options is hard."
Those over 65 years of age want the right services and facilities nearby, and the data show the most important are:
- Medical care 94 percent
- Local food providers and supermarkets, both at 93 percent
- Community facilities, and parks and nature, both at 90 percent
- Public transport at 83 percent
Additional insights from the survey indicated homeowners (70 percent) strongly agreed their housing situation was safe and secure, compared with 30 percent of renters.
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