TODAY |

Economist says NZ needs to do more to deal with Chinese property buyers

A New Zealand economist based in Beijing says demand for property by wealthy Chinese is only set to grow.

Economist Rodney Jones says the Government needs to develop strategies to deal with the growth. Source: 1 NEWS

And Rodney Jones says the Government here needs to do more to deal with it.

"They go to NZ or Australia or Canada, they can buy freehold property that is theirs forever and that's a very powerful allure and that's not going to go away," Mr Jones told ONE News.

He says there could be a gift duty on money repatriated from offshore to be used to buy New Zealand property, or a stamp duty, and it's unlikely Asian buyers would be offended by the measure.

Prime Minister John Key isn't convinced that Chinese buyers are a big issue yet, saying it's unknown how many are already New Zealand residents.

He also said any measures would have to apply to both local and overseas buyers.