Highly-anticipated new Government data shows that 3% of New Zealand homes were bought by non-resident buyers in the last three months.
That amounted to 1089 homes which were sold to people who were not New Zealand citizens or a holder of a resident, student or work visa between January and March.
Chinese tax residents were the biggest buyers, snapping up 321 of those properties (29.5%), followed by Australians on 312 properties (28.6%).
In Auckland, the level of foreign investment was slightly higher than the national level, at 4%, or 474 properties. Nearly 60% of these properties went to Chinese tax residents.
The data was revealed this afternoon by Land Information New Zealand (LINZ) and is the first snapshot of the level of non-resident activity in the housing market.
Officials warned that there were some limitations to the data and it was not an authoritative guide to the level of foreign investment in New Zealand's residential property.
Land Information Minister Louise Upston said the figures were in line with the Government's expectations. Asked whether it could lead to any change in Government policy, she said that it was "early days" and a clear picture would not emerge until 12 months of data had been collected.
The data was not complete. Around 10% of sales across the country involved buyers who did not need to disclose tax information because their sale and purchase agreement was signed before the law came into force before October - when new disclosure requirements came into force.
Of the remaining house sales, 50% were bought by buyers with New Zealand tax residency.
Another 37% involved buyers who did not need to disclose tax information - mostly New Zealand citizens or residents who were buying their main home.
The data has been collected since October, but LINZ chief executive Peter Mersi said the organisation was not confident in the first three months of information.
At a press conference this afternoon, Mr Mersi stressed that the information was not a register of foreign ownership.
"That's because tax residency is not the same as nationality. For example, a New Zealander living and paying tax in the UK who bought a house in New Zealand would be included in this information as having overseas tax residency."
There were other limitations, he said, such as the buyers who were omitted from the results because their purchase contract was signed before October.
"We have no sight of what the composition of that 10% is," Mr Mersi said.
1089 homes sold to non-residents (Jan - March 2016)
Number of sales / tax residency of buyers:
• 321 - China (29.5%)
• 312 - Australia (28.6%)
• 162 - people with mixed tax residency (including at least one NZ buyer) (14.9%)
• 99 - United Kingdom (9.1%)
• 51 - USA (4.7%)
• 36 - Singapore (3.3%)
• 33 - Hong Kong (3%)
Auckland
474 homes sold to non-residents (Jan - March 2016)
Number of sales / tax residency of buyers:
• 276 - China (58.2%)
• 45 - Australia (9.5%)
• 36 - people with mixed tax residency (including at least one NZ buyer) (7.6%)
• 24 - United Kingdom (5.1%)
• 18 - USA (3.8%)
• 12 - Singapore (2.5%)
• 9 - Hong Kong
