A radio station in Singapore is advertising investment in Auckland’s housing market, asking “how would you like people in New Zealand to give you around half their weekly wages?”
The commercial, which was recorded from Singapore's Gold 90.5FM and posted online, calls Auckland an “investor’s dream".
Citing the country’s lack of land and capital gains tax, the ad tells listeners to call and invest if they like the idea of “people in New Zealand going to work for you, giving you hundreds of dollars a week, paying for your apartment.”
All Property Solutions Singapore, a subsidiary of Australian Property Solutions, confirmed that their ad had been playing since Monday.
Company director, Lyndon Fairbairn, said investment in New Zealand property is “growing in popularity” and doesn’t believe ads of this kind are contributing to Auckland so-called housing crisis.
LISTEN: Morning Report's interview with Lyndon Fairbairn
“It’s the exact opposite actually. Our clients only buy new off-plan apartments and we do not sell existing established property,” he says.
“When someone buys an off-plan, yet to be built, property they are adding to the supply of property in that location and also its helps the building industry and creating NZ jobs, by employing people to build the property.”
Fairbairn, who is originally from New Zealand, says Auckland needs more new properties to counter the strong population growth.
“The country is seen as a good investment location as it has strong rental yields, no stamp duties or property purchasing taxes compared to other international locations.”
There are currently five Auckland properties listed on the Singapore website.
The commercial is about a minute long and voiced by a man with a recognisably Kiwi accent.
“If you happen to own an apartment in Auckland New Zealand, the high rent returns, other people’s money – about half a week’s pay for most people – could be paid to you as rent every week.”
“It’s an investors dream and very affordable.”
LISTEN: Nine To Noon talks a panel of property industry insiders about targetting offshore investors
On Monday, John Key said the hot Auckland housing market is not over-valued but Opposition parties continued to criticise his Government for failing to prevent overseas buyers bidding up property prices.
The Green Party said the advertisement highlighted weaknesses in the country's overseas investment laws.
Its housing spokesperson Kevin Hague told Radio New Zealand offshore investors would view New Zealand as an easy mark and young property owners would miss out.
"Young New Zealanders are having to pay those rapidly-rising rents, and they're being completely priced out of ever owning their own homes," he said.
"Everyday New Zealanders aren't suckers - they know this situation is wrong and unfair."