Caravan becomes full time living option for more people nowadays

A video show-and-tell and interview with Corwin Mandel popped up on Youtube a day ago. Worth watching in itself, also of interest are the, over 200 comments it garnered in little over the first 24 hours. The following text is taken from my response to one of those comments.

Aaron H above has made some good points. About 60% of people have security of housing tenure, through our current system of mortgages and freehold ownership.

But alas that leaves 40% of us as land-beggars aka peasants aka tenants, and although self-built “tiny houses” could indeed be part of the solution to high housing costs in New Zealand and elsewhere there are still problems like finding the land for your tiny house or caravan etc, (cheapest land in the Christchurch or commutable Canterbury province area will cost you $150,000 minimum, and banks won’t lend on bare land or insurance write-off houses if you intend to live there) (unless of course you’re independently wealthy anyway. Yes I’ve been to the banks and had this conversation before).

Another complication can be if a local authority or council demands $20,000 for “consents” or “building permits” etc. Some charities do great work, as best they can with the resources available. Like “Habitat for Humanity” (God Bless them) but like other similar groups, their assistance is aimed almost solely at “families” (ie people with children) so single people go to the bottom of the list, yet again. Our “housing market” is seriously broken.

In the last 35 years the minimum wage has gone up about 4-fold but Christchurch/Canterbury’s cheapest house prices have gone up about 25-fold. To put housing affordability back even close to where it was, we’d need at least the cheaper houses, to fall in price by over 80% (or the minimum wage to go upĀ  nearly 6-fold ! ).

Our entire system of house and land ownership, and financing needs to change. Systems which artificially ration land availability and zonings, planning permissions and building permits, simply in order to drive up the prices need to change. In Auckland NZ, the situation is so bad, that often old houses are fully refurbished, just prior to demolition (because the seller wants the highest price, but the buyer only wants the land, for their new expensive house build).

We need to have entirely new systems which prevent property price speculators makingĀ  huge profits (often tax-free), we need a system where people (even those on the lowest wages) can affordably get the security of tenure that currently only comes by “owning” a place.

I’ve already suggested a new term be coined “Community Crofting” which could be that new system, a kind of lifetime lease, but with the security of tenure of freehold, without the ability to make a private profit. (Perhaps say, When someone leaves the community, or dies, their “croft” (land or house-on-land) simply goes back to the Community Crofting Association and is made available by ballot or some selection criteria to the next person on the list).

Here is a link to the item on Youtube

Advertisements

House auctions corrupted, highest bids refused on “no reserve” houses

Re-posted from my original blog. With additional stuff about a 2010 case added at the end.

Here’s something I wrote on my original blog November 16 2005. I wonder how it eventually turned out ? I never heard, so perhaps they hushed it all up !

SCUMBAGS SATTERLY’s REAL ESTATE agency Corrupts WA TELETHON house auction fund-raiser
This weekend, saw the WA state’s annual Telethon fundraiser for the children’s hospital in Perth, as televised on Ch 7 in Perth and GWN in WA state country areas.

Now I don’t watch this program generally, but did see the last half-hour or so, as I was watching for the program following to start.

A regular event is the Telethon House auction fund-raiser. Held live on air, and with statewide tv coverage, including substantial televised promotions before the auction, and the auction itself. A house is built each year, the land, materials and labour all being donated by various suppliers and companies. Therefore the house cost is “free” and all money raised at auction goes into the Telethon coffers

As such, the house is (or *could* be, and arguably *should* be) auctioned on a “No-Reserve” basis.

Now although I didn’t see the auction component of the Telethon itself, there seems to have been something seriously screwy about this most recent auction.

As the Telethon was concluding, they babbled and waffled and generally spewed shite from their mouths and pitifully announced that they could not tell the audience what price the house had ultimately been sold for, and how much it had benefited the Telethon appeal, because apparently the auctioneer had refused to allow the sale to be confirmed to the highest bidder……

Der, say what ! They went onto say that the auctioneer was negotiating with the 5 highest bidders.

Der again, say what again !

All I can say is that, my understanding of an auction-without-reserve, is that the highest bidder gets to buy it, at the price he bid. I feel sorry for the guy that made the winning bid and was then apparently denied the property, unless he was prepared to enter a further, extra-auction bidding war, with another 4 or 5 of the auctioneer’s Yobbo mates, whom he rapidly rounded up to drive the price up more !

Note that the highest price bid was somewhere in the region of $700,000 anyway, certainly putting the Telethon fundraiser home far and away out of the reach of normal people.

You know there’s something pretty scumbag about the whole principal, of auctioning of a luxury type house, which is a very “exclusive” event. A far more “inclusive” way would be to RAFFLE the house off in a lottery with tickets at say $10 each, that way many many more folks could have a chance of being involved in this major aspect of Telethon fundraising.

I have always been highly suspicious of the auction system as used for house and land sales, and this is only made worse by laws which allow owners to make *dummy* (pretend) bids on their own properties (even though they have zero intention of buying them off themself, etc)

This latest debacle re the Telethon fundraiser house……ggrrr …..all I can say is I hope the highest bidder gets the house at his original winning bid and if necessary he sues the real estate agent conducting the auction, to make him honour his original winning bid, at the winning bid price (not some higher price that the auctioneer plucked out of thin air, then somehow forced on him, later, after the event)

*IF* the house IS auctioned, but with a “reserve” then how can they possibly justify a reserve on a “free” house. They can’t claim there was a “poor turnout” or etc, as it’s always televised and always huge. Surely the highest price bid, is the property’s true, and maximum value…..on the day, and the place should goto that bidder, whatever that price might be…….even if it’s a bit less than what the Chardonnay sipping, Camargue driving auctioneer reckons he’d like it to sell for !

Ha, those bastards pulled the same scam again, in 2015, they refused to accept the highest bid at auction. Given that the house and land were donated, how can they justify setting such a huge “reserve” that even spirited bidding amongst several folks, and the bastards STILL failed to sell the house to the highest bidder on the day. It really is starting to look, as if EVERY SINGLE HOUSE AUCTION is an utter fit-up job !

A url below has been tested and working, as of 7 April 2017.

http://www.perthnow.com.au/news/telethon-home-auction-dalyellup-homebuyers-have-a-second-chance-to-buy/news-story/15d9327e40d5b9ac8b5a69c28f4ba0a1