One in four Kiwis skip meals or care as housing costs bite
One in four New Zealanders have skipped meals or delayed medical care in the past year because of housing costs, according to new survey findings that underscore rising hardship risks for borrowers.
The second annual Housing Survey by The Urban Advisory (TUA), based on responses from 5232 people between August 2024 and January 2026, paints a stark picture.
RNZ reports that “the cost of housing is making it difficult for people to pay their bills, with one-in-four delaying medical care and/or skipping meals in the past year.” That sits alongside high levels of anxiety about the future: half of respondents worry they will not be able to afford housing down the track, and more than nine in 10 say housing costs too much relative to income.
Renters bear the brunt
The survey confirms that homeowners and renters are experiencing the housing market very differently. Around 90% of homeowners feel stable and secure in their housing, compared with just 57% of renters. Tenants also report colder, damper, less energy‑efficient homes, and less control over their living conditions.
Separate analysis has highlighted that renters are already spending around 40% of an average individual’s income on rent each month, well above the 30% threshold often used to define unaffordable housing. That leaves very limited room to absorb further increases.
TUA co‑founder and director Natalie Allen says the findings reflect a deeper structural problem.
“The sacrifices revealed in this data are not a cost-of-living story,” Allen said. “They are an ongoing story about housing system failure.”
She notes the patterns have remained stubborn over the past two years of surveying, rather than easing as some pandemic‑era pressures faded.
The research also shows broad dissatisfaction with available housing options and strong concern about quality, security, and resilience, not just price. Allen warns that “renters are paying more for less,” calling it “a structural failure with nationwide implications, not a set of unfortunate individual circumstances.”
Implications for brokers and their clients
For mortgage advisers, the survey is a reminder that housing decisions are directly shaping clients’ health and day‑to‑day wellbeing. A quarter of respondents skipping meals or care to keep a roof over their heads points to very thin financial buffers – a clear warning sign for future mortgage stress and arrears risk.
Centrix’s March 2026 Credit Indicator Report shows this pressure is already coming through in the data, with around 10.9% of consumer accounts behind on repayments and more than 430,000 people in arrears. Overall mortgage arrears are described as “elevated but stable”, but the broader rise in missed payments underlines how thin many households’ buffers have become.
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