Govt gives wealthy business buyers a fast-track to residency - but they can’t buy a house, yet
Wednesday, 27 August 2025
As the country waits for news on a repeal or loosening of the foreign buyers’ ban on housing, new categories of investor visa have been created for those with cash to spend on buying businesses.
On Wednesday the Government said it would allow foreign investors who put a million dollars or more into local firms a fast-track to residency. But under current rules, these investors are not be able to buy a house until they receive residency, Only citizens, tax residents and nationals from Australia and Singapore are able to freely buy houses.
The Government has said a decision about what to do with the foreign buyers’ ban will be made in the next few weeks. Meanwhile, it has introduced a new Business Investor Visa, opening up to applicants in November, says those with $1 million to spend on an existing business will gain a three-year work-to-residence pathway, while those spending $2 million investment in an existing business, will be given a 12-month fast-track to residence pathway.
It is thought there are about 150 families that could take up the new visa each year, and about 180 companies valued at more than $1 million that are on the market to buy.
There are conditions attached to that transaction - business experience, health and character tests must be met, while English proficiency will also be tested. Meanwhile, the purchase of businesses including fast-food outlets and convenience stores will not apply under this category.
The Business Investor Visa “will provide a pathway to residence for business migrants who are ready to invest in, operate and grow established businesses here,” Immigration Minister Erica Stanford said.
Immigration and property law expert Marcus Beveridge, who is also the managing director of Queen City Law, said what was being proposed sounded great in terms of an injection of cash into the country, even if it was likely to be on a very small scale.
But he said it was important the house buying rules changed to keep pace.
“For those who are willing to come here and invest in NZ companies and employ Kiwis, not to be able to buy a house for three years is going to be tough. We will hopefully know more about changes to the foreign buyers’ ban in a few weeks and see what is being proposed.”
New visa settings
The new visa forms part of a broader refresh of business visa settings, alongside the revamped Active Investor Plus visa.
In April, the Active Investor Plus visa gained two new categories - “Growth”, focused on higher-risk investments, including direct investments in local businesses, with a minimum investment of $5 million for a minimum period of three years.
The second, “Balanced” category, focused on mixed investments including the option of those with lower risk, and attracted a minimum investment of $10 million over five years.
All new categories contain enhanced English language requirements, the level of which which has attracted criticisms. The revamped Active Investor Visas, dubbed the “golden visas” were generally applauded, although some questioned if the local business ecosystem would be able to absorb the amount of money forecast to flood as a result.
Wednesday’s introduction of the Business Investor Visa sees the retirement of the entrepreneur category of visa, which the Government says had low application volumes, high rates of decline and didn’t deliver strong economic impacts.
Stanford said work was under way on a refreshed visa pathway for startup-entrepreneurs with scalable, innovative business ideas, “designed to complement existing settings and complete the suite.”
BusinessNZ Chief Executive Katherine Rich applauded the shift away from the previous entrepreneur visa model.