Council partnership to help Aucklanders buy homes

From City Scene, published on 16 September, 2007

New homes - An artist's impression of a development planned for Denny Avenue in Mt Roskill, which the council's innovative new assisted home ownership programme will help residents to be able to afford to buy.

Auckland City Council has become the first local authority in the region to introduce an innovative assisted home ownership programme to help residents buy their own homes.

A partnership has been formalised between the council and the New Zealand Housing Foundation (NZHF) to construct affordable houses, beginning with a seven-home development in Mt Roskill's Denny Avenue.

Under the agreement, the council will pay NZHF regular contributions in return for the development of about 100 affordable homes. These will be made available to working households on low-to-moderate incomes through assisted home ownership models.

Community Development and Equity Committee chairperson Councillor Cathy Casey says escalating house prices in Auckland mean many working families are unable to afford their own homes. "This partnership demonstrates what local authorities can achieve, working with others, to help people realise dreams of home ownership." She says the scheme will not address all of the city's housing affordability problems, but demonstrates a new approach that could be used more in the future.

NZHF chairperson Ken Stevenson says his organisation is excited to be joining forces with the council to pilot this scheme in a city that has faced severe house price increases in recent years. The council will provide NZHF with up to $9 million over the next five years, and ensure the foundation's projects address affordability, urban design and sustainability needs. Property developers McConnell Property Ltd will be involved in larger developments.

The homes provided through the programme will be available through a shared ownership scheme. Prospective householders must meet several criteria, including income threshold, credit history and work location. Visit www.housingfoundation.co.nz to register your interest.