7. Affordable Homes for All – How Unity Will Deliver

New Zealand’s housing crisis isn’t just about high prices—it’s about a system that keeps people stuck. Home ownership is out of reach, rent is unaffordable, and Kāinga Ora is bleeding taxpayer money without solving the problem.

In this episode of Piecing Together Unity, Nigel McFall breaks down why government-led housing solutions are failing and lays out Unity’s bold plan to make home ownership possible again. From modular homes under $150K to interest-free loans and rent-to-own pathways, this strategy shifts housing from a financial burden to a foundation for independence.

Nigel also explores how communal living models can lower costs, create jobs, and provide long-term solutions—while ensuring Māori land rights are respected and housing remains sustainable.

If you’re tired of the same broken system and want real solutions for affordable housing, this episode is for you.

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Transcript

Kia ora, hello and welcome to Piecing Together Unity. I'm Nigel McFall, the founder of the Unity Party, and today we're tackling one of the biggest challenges facing New Zealand—housing.

For far too long, home ownership has been out of reach for everyday New Zealanders. House prices have soared, rent is unaffordable, and social housing, while necessary, has become a financial burden rather than a pathway to independence.

Instead of lifting people up, the system is designed to keep them dependent. There is no clear route from government housing to home ownership, no real opportunities for families to move forward. The government is spending billions on housing, but instead of solving the problem, it's only getting worse.

Kāinga Ora, the agency responsible for social housing, was meant to provide secure and affordable homes. Instead, it has become a massive drain on taxpayers, [00:01:00] costing billions with no financial return. The number of people reliant on government housing keeps rising because we've created a system that keeps them in it rather than one that helps them out of it. The problem isn't that we lack the ability to build homes—the problem is that we keep building them in a way that simply doesn't make financial sense.

So, what if we stopped treating housing as a government handout? What if we built a system where people actually owned their homes? What if social housing wasn’t required? What if home ownership was finally affordable again?

This isn't just about fixing housing—it's about changing the way we think about housing altogether.

Unity's plan is built on two major foundations: transitioning social housing into home ownership and creating an affordable first-time buyer system that doesn't rely on taxpayer support.

Right now, the government is endlessly pouring billions into a broken system. We believe it's time to flip that—to make housing self-sustaining. Instead of relying on taxpayer subsidies, people will fund their own homes. The existing Kāinga Ora social housing stock will slowly transition into market rentals, generating revenue that helps recover costs for taxpayers.

New homeowners paying off their homes within five years means financial turnover will happen quickly, eliminating the need for long-term government funding. And most importantly, once people own their homes, they take full responsibility for them.

That means property repairs and maintenance are no longer a burden on taxpayers but fall on the homeowner. The government won't be sinking money into endless repairs for state houses because those homes will be privately owned. We're shifting from a system of permanent state dependency to a system of independent home ownership for all.

The current system is unsustainable. Kāinga Ora is bleeding taxpayer money, with homes being built at market rates—anywhere from $500,000 to $800,000 per house. But these homes are then rented out at subsidized rates that don’t even cover basic maintenance costs, let alone provide a financial return.

Right now, Kāinga Ora is running at a $520 million deficit per year, and if nothing changes, that number will skyrocket to over $1.1 billion by 2028.

To make matters worse, Kāinga Ora’s debt has exploded from $2.7 billion in 2018 to $12.3 billion in 2023. And if we continue down this path, it’ll hit $25.5 billion by 2028.

That means every year, more taxpayer money is spent propping up a system that only increases dependency rather than offering a way out.

When I first heard about Kāinga Ora building these new one-bedroom homes in Rotorua, I thought, finally, an innovative, cost-effective way to tackle the housing crisis. The idea of using modular, factory-built homes sounded like a practical solution—quick to build, cheaper than traditional homes, and perfect for getting people into housing faster.

Then I saw the price tag. $630,000 per unit for a one-bedroom home. And they built 12 of them.

The total cost? $7.6 million.

This isn’t innovation to make housing affordable—this is innovation to keep the same broken system going. Instead of being a low-cost, smart housing solution, they cost just as much as a full-sized house.

This is exactly why people have lost faith in government-led housing solutions. Every time we get excited about a new approach, it turns out to be the same old wasteful spending. The whole point of modular or prefabricated homes is that they should be cheaper and faster to build—not cost more than an actual house.

Yet here we are, with single-bedroom units priced at over half a million dollars each.

This is why our approach is different. We’re not just talking about affordability—we’re making sure every dollar actually reduces the cost of housing rather than inflating it.

Whether it’s modular, prefabricated builds, or communal living, each decision must be about real solutions—not just more expensive experiments. If we’re going to innovate, let’s do it properly. Because $630,000 for a one-bedroom unit isn’t a solution—it’s a scandal.

Unity is cutting through that with modular homes—high-quality, efficient, and cost-effective housing that makes home ownership possible [00:06:00] again.

Right now, a one-bedroom modular home can be built for around $77,000. A two-bedroom home starts at about $99,000. And a three-bedroom home can be built for under $150,000.

If you're looking at something even smaller, tiny homes start at just $23,000—a perfect solution for individuals or couples looking for independence without financial burden.

These homes aren't cheap, flimsy cabins—they’re durable, fully functional homes built to last.

To make this even more accessible, we’re offering interest-free loans up to $100,000 so that people can buy a home without needing to go through a bank.

For those who need larger homes, we’ll provide a rent-to-own pathway for anything over $100,000, so families aren’t locked out just because they need extra space.

If we’re serious about sustainability and green energy, we can’t just encourage it—we need to require it. That’s why all new housing developments, public and private, will be required to include a minimum level of solar power generation.

Solar panels shouldn’t be a luxury or an add-on for the wealthy—they should be a basic feature of every new home. By making solar energy compulsory for all new builds, we reduce electricity costs for homeowners, lower demand on the national grid, and create a more sustainable energy system for New Zealand.

It’s simple. If we want a greener future, we have to build one.

As more people move from renting to owning, demand for government-funded housing will decrease. This is how we move from an endless financial burden to a system that fuels independence, economic growth, and financial stability.

For those who aren’t in social housing, buying a home has become near impossible. And the biggest reason? The cost of land.

Right now, developers and investors are sitting on land, waiting for prices to rise. This forces everyday New Zealanders to pay more and more just for the right to put a house on it.

We’re changing that. Under our plan, the government will buy land and return it to Māori ownership.

Aligning with the Treaty of Waitangi, this approach upholds the Treaty’s principles of partnership and active protection, recognizing Māori authority over the lands and resources. By restoring land to Māori guardianship, we honor the Treaty’s commitment to Māori retaining chieftainship over their lands, villages, and treasures.

I know that some people might be unsure about this. Maybe you’re thinking, Why should the government return land this way? Let me tell you how this approach protects us all.

This isn’t just about righting past wrongs.

It’s about securing a stable future for everyone. If land stays in government hands, a future government could sell it off to developers or bulldoze our work to cater to big business.

But by placing the land under Māori guardianship, we ensure that it remains a long-term stable asset that continues to benefit all New Zealanders.

By working in partnership, we are creating a system where land is protected from speculative investment and remains available for housing, community development, and sustainable use—ensuring that future generations have access to the opportunities they need to thrive.

Now, when we talk about new ways of thinking around housing, we don’t have to start from scratch.

Māori have been living in communal environments for generations, building strong, connected communities where people look out for each other and share resources.

This isn’t just about history—it’s about real, working solutions that we can learn from today.

Unity will partner with Māori experts in communal living to shape the future of housing in a way that works for everyone. Their experience shows us how shared spaces, collective responsibility, and a focus on whānau—or family—can create stable, affordable, and sustainable communities.

The Treaty of Waitangi set out a relationship of mutual benefit between Māori and the Crown. And that means listening, learning, and working together.

By doing this, we’re not only creating better housing options, but we’re also upholding the Treaty’s principles of partnership, protection, and participation.

Māori communities have a deep understanding of what it means to live collectively while still maintaining independence. And their expertise will help shape how we build housing that actually works for people.

That brings us to the bigger picture—why communal living?

One of the biggest barriers to home ownership isn’t just the cost of a house—it’s the cost of everything that goes with it.

Land, infrastructure, utilities, and amenities—they all add up, making traditional standalone homes completely unaffordable for many.

That’s where structured communal living comes in.

For people on lower incomes, buying a traditional house—even at a reduced cost—may still be out of reach. But that doesn’t mean home ownership should be impossible.

Instead of being locked into expensive rents or forced to take on a mortgage they can’t afford, communal living provides an affordable way for people to own their own homes without overextending themselves financially.

With this model, someone might own a one-bedroom or two-bedroom home that doesn’t have a private bathroom, kitchen, or laundry. But the land the home is built on will have shared facilities—modern, well-maintained kitchens, bathrooms, laundry areas, and community spaces.

By removing these costly components from individual homes and placing them in shared spaces, the overall cost of home ownership drops dramatically.

For many, this will be a stepping stone to something bigger. They can own a small, affordable home first, save money, and build financial stability before moving on to a larger standalone home later.

Instead of feeling trapped in the cycle of renting, they will own something from day one—giving them security and a foundation for their future.

At Unity, we believe that home ownership should be available to everyone, no matter their income level.

That’s why we will ensure that there is a home for every price bracket, without forcing people into debt just to put a roof over their heads.

Whether someone wants a tiny home, a modular house in a communal setting, or a larger family home, we will provide pathways that are realistic, sustainable, and financially responsible.

A thriving community isn’t just about having a place to live.

It’s about creating opportunities for financial stability and support systems that help people succeed.

Unity’s communal living model isn’t just about providing affordable homes—it’s about building self-sufficient communities that generate their own income, create employment, and support vulnerable people within them.

One of the key aspects of structured communal living is collective resource management. Instead of every individual household struggling to cover expenses alone, communities can work together to lower costs and create sustainable income streams.

For example, in a rural community where people share a common interest in hunting and fishing, they could work together to build Airbnb-style ecotourism accommodation, providing outdoor adventure experiences to visitors.

This brings money into the community, creates jobs for locals, and ensures that everyone benefits financially from the land they live on.

Other communities might focus on cultural tourism, offering Māori cultural experiences, traditional arts and crafts, or food-based tourism that highlights local flavors.

Unity will partner with communities to build additional homes that bring in income while also ensuring a return to taxpayers.

This model provides opportunities for people to invest in themselves rather than relying on government support indefinitely.

Structured communities also create jobs within the community itself.

Instead of outsourcing work, communities can hire their own members to take on roles like maintenance, landscaping, cleaning, childcare, or cooking.

For example, if 30 residents each contributed a small weekly amount, that money could go toward paying a full-time maintenance worker—who ensures that communal spaces, facilities, and shared buildings are kept in top condition.

Another example could be a community cooking role, where a resident is employed to prepare meals for everyone.

This reduces the cost of food, minimizes waste, and ensures that everyone has access to nutritious meals.

By employing someone within the community as a full-time cook, not only does it provide a stable job, but it also makes life easier—especially for working families, elderly residents, and vulnerable individuals.

This approach reduces reliance on taxpayer-funded welfare programs while ensuring that people who need help aren’t left behind.

Instead of forcing individuals into government-funded emergency housing, we’re providing long-term, stable solutions that allow people to recover, rebuild, and move forward with dignity.

With Unity’s plan, no one will be left behind, and no one will be forced into financial hardship just to keep a roof over their head.

We’re not just proposing a housing policy.

We’re proposing a complete transformation of the way New Zealanders live, work, and build their futures.

If you believe in this vision, then join us.

Together, we will piece it all together—one idea, one story, and one conversation at a time.

Until next time, take care.