New Zealand Property Investors' Federation

The NZPIF is the umbrella body for 17 local Property Investors' Associations throughout New Zealand.

(027) 357 9243


Background information

On 23 March, the Government announced that deductions for interest expenses on rental properties will be restricted from 1 October 2021. The Ministers of Finance and Revenue today released a public consultation document seeking feedback on a range of design issues for implementing that proposal, including:

  • Interest on a mortgage on a residential investment property (acquired before 27 March 2021) will be gradually phased out between 1 October 2021 and 31 March 2025. Other interest would immediately cease to be deductible from 1 October 2021.
  • Land outside New Zealand would be excluded from the new rule as would a number of other types of properties.
  • Exemptions are proposed for property developers and for owners of new builds. In addition, initial or early owners of new builds would be subject to a five year bright-line test, rather than the ten year test.

The proposals do not affect a person's main home. For more information, see:

Also available are summary sheets briefly outlining specific topics covered in the discussion document:



How to write a submssion

Property investors are encouraged to provide feedback on the removal of mortgage interest as a deductibility expense and the extension of the bright line.  Some guidance is provided here