New Zealand is undergoing incredible change for a small country of 4.65 million people. Immigration is annually 70,000 people. In nearly 25 years since 1991, our country has seen incredible demographic changes. Technology has advanced towards virtual realities. Smart phones are commonplace.
We also have a National debt of $493 Billion (half a trillion) consisting mainly household debt at $232.9 Billion. One of the highest debt ratios per capita in the world according to NZ Herald Insights June 2016. A flash point in New Zealand is the Auckland Housing Market. The impact of this rising bubble has seen house prices increase in last 5 years by over 100% where the median house price in Auckland is now $1million dollars. Within 4 years, this bubble will have burst. Like a boiling kettle. There is a phase change as heated water becomes steam. Expect houses to have deflated in value by 50%. Probabilities of reaching boiling point increase daily. Wildcard events loom. What could burst the Auckland Housing Bubble? Hit boiling point. There are many possible wildcards both globally and regionally.
- US elections in November 2016. Trump or Hillary?
- USA/Nato declares war on Russia and Syria
- South China Sea Conflict flares up between US Allies and China
- Queen Elizabeth II dies. Brexit II.
- US Fed Reserve raises interest rates.
- Global Financial Crisis triggered as Deutsche Bank fined $14Billion.
- New Zealand 2017 elections cause backlash against foreign homebuyers and Maori special treatment policies.
NZ Herald July 2016
NZ-born Chinese teen’s letter to Kiwis –
‘I no longer feel welcome’
Lost Chinese-Kiwi Generation
China is one of the oldest civilisations in the world giving us names such as Confucius, Tao Te Ching, Feng Shui and much more. I recently asked three Chinese students down Lower Queen Street Auckland if they knew about I-Ching or Feng Shui. They smiled politely and shook their heads. Later at a bus-stop, I asked a young Chinese mother with a pram who replied,
“No, I Ching is old China from my parents. I born in New Zealand. I am a Kiwi.”
“Have you visited a Marae? No.
“Do you know what Wairua is? No.
“Do you know about Haka”? Yes All Blacks”.
I smiled. A New Zealand born Chinese women who calls herself a Kiwi yet neither knows her Chinese roots nor the Maori origins of her New Zealand identity. Fragile yet sincere in her beliefs. Her baby smiles at me.
Chinese Realtor Example
I walked into the Harford Real Estate Agency in downtown CBD Auckland. A Chinese Realtor standing at reception. He asked if I was interested in buying a house? I picked up a brochure and looked at some houses. He had cotton wool in his right ear – a sore ear perhaps. I picked out an older house with traditional facade and verandah. Probably built during World War 2. 1940s.
“What do you know about this house?
“A house has a story. It was a home to someone. Like you and me, it has memories. Who lived there, who died there? The families of the past?”
He looked confused. I don’t blame him. I carried on,
”A house is energy. Made from the elemental elders. Wood. Earth. Mineral, Fire. Water. Wind. Each family leaves a memory. Children grew up in that old house. Acknowledge it. Give thanks to the old house. Then it will welcome the new family. New Chi, or Mauri as we Maori call it.”
His face was blank…still looking uncomfortable.
“Good chi creates good energy. Add extra 10% to the selling price of the house. $100,000 dollars. Maybe $200,000 when auctioneer tell a good story and sell good chi to interested buyers..”
His face lit up. Suddenly he interested.
I said, “Your ear not so sore. You heard the money.”
Maori Marae Using Renewable Energy and Energy Efficient Housing
Two years ago, I was Manager of Iwi Energy Projects, NZ Energy Efficiency & Conservation Authority where I was responsible for integrating maori values, brokering iwi partnerships and facilitating Maori energy efficiency programmes across the country. One particular project involved Marae Energy Hubs incorporating marae infrastructure, renewable energy supply and energy efficient iwi houses. Here is a Marae in Eastern Bay of Plenty with a 5KW grid connected Solar PV system. Surrounding houses insulated and audited for energy efficiencies. Smart integration of renewable energy supply and energy efficiencies can save annual costs from 20%-40%.
Building The New Infrastructure of New Zealand
Here are my thoughts regarding current Auckland housing market.
“Capitalism and Speculation is destroying the egalitarian NZ Society I grew up in. Investors have bought nearly half of all sold houses in Auckland. Old houses getting demolished for new apartments. Streets full of empty houses while the homeless sleep in cars with their children. Investors treating houses like poker chips waiting for sell signals while homeless beggars grow more prevalent. When the Crash happens and it will..house prices will crash 50% or more in value. New Zealand Private Household Debt is around $233 Billion according Reserve Bank of NZ. Our small economy will tank when the Crash happens. A Recession even Depression as reality bites. Welcome to New Zealand 2017.”
New Zealand is in a state of transition. Immigration, housing prices, disruptive technologies and global social changes are all converging. The impending Housing crash is but one symptom. This fundamental problem cannot be solved alone using financial engineering by The Reserve Bank of New Zealand nor legislative controls by NZ Parliament.
We need a shift in consciousness. It starts at the root. Energy. Matter. Mind. Man. It all starts with our beliefs. This is why I am creating innovative training such as Maori Feng Shui under Aio Koa Temple to build more sustainable, energy conscious teachings for future generations.