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How much longer can it last?



Paying three to four times the gross earnings of a farm when buying one used to be regarded as reasonable.

That’s probably where values are at the moment.

I don’t know what the reasonable ratio between urban house values and average wages is but when houses in low income suburbs are selling for more than a million dollars it is well below current prices.

Last month an unremarkable 1960s weatherboard house on less than a quarter acre section in Ōtara in South Auckland sold for $1.01 million.

Another – which 12 years ago sold for $340,000 – went for $1.1m, more than triple its last sale price in October.

Manukau Ward councillor Efeso Collins said more than 80 percent of Pacific people did not own their own homes, and rising house prices were a cause of pain for his constituents, as rents went up and incomes did not.

“That means…

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