One of the country's leading economists is warning there's no single solution to the housing crisis.
Prime Minister John Key is considering a land tax on foreign property speculators if there's evidence one is required.
Business and Economic Research (BERL) chief economist Dr Ganesh Nana told the Paul Henry programme house prices have been out of kilter with incomes for some time and something needs to be done.
"You have to look at a whole suite of solutions rather than looking for the one problem and the one issue and the one solution, because unfortunately economics is not a simple thing.
"Looking for simple solutions is quite simplistic and it's quite naïve."
However, Dr Nana says the issue also lies with Government and whether it's ready to change its political stance on housing.
"We need somebody to stand up and say there is a serious problem with housing in New Zealand and that means some people are going to lose and some people are going to win. That's the political position and the political will we see missing to date."
He says Mr Key's proposed land tax is essentially a smoke and mirrors tactic to make it seem as though something is being done to combat housing issues.
"I think that it [the land tax] is more of the same. It is a little bit of tinkering -- it's more making ourselves believe that we are trying to do something without actually really doing anything."
Newshub.
