New Zealand will loosen its ban on foreigners buying houses, opening the door for wealthy investors to purchase luxury properties as part of a push to revive its sluggish economy.
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The coalition government on Monday said it would allow holders of so-called golden visas to buy houses worth at least NZ$5 million (US$3 million), carving out an exemption to restrictions that have largely kept overseas buyers out of the market since 2018.
The change will not take effect until the end of the year, when reforms to the Overseas Investment Act are passed into law, according to Prime Minister Christopher Luxon’s office.
“Globally, New Zealand has a deserved reputation as a great place to live and we want to grow our economy,” Luxon said in a statement. “By opening our door just a little to allow significant investors to own a home, we will help attract more of those who want to contribute to the community and country.”
The move underscores Luxon’s bid to lure more foreign capital to the South Pacific nation and comes five months after the relaunch of New Zealand’s golden visa. Designed to attract high-net-worth individuals, the Active Investor Plus visa offers residency in exchange for significant investment.
“If you are a major international investor, New Zealand is just one of 195 countries all competing for your money and your ideas,” Luxon told reporters at a press conference in Auckland.