Green Party co-leader Metiria Turei has suggested that selling off Tauranga's state housing stock is the 'worst possible news” for vulnerable residents.

The government announced this week that Tauranga and Invercargill state houses are the first to be sold off – to as yet unknown buyers.

Tauranga's state houses are for sale. Photo: File.

'The Government is experimenting with vulnerable people's lives and putting them at further risk,” says Metiria.

'There is still so much about this state-house sell-off that is secret. Decisions that will hugely impact thousands of vulnerable Kiwis' lives are being made right now behind closed doors at the Beehive.

'(Social Housing Minister) Paula Bennett needs to unequivocally rule out that state houses could end up in the hands of private individuals or privately owned, profit-motivated companies.

'So far Paula Bennett has refused to name who's in line to buy these homes. All she's really said is that the houses will be put to the market and that the Government will ‘see where that lands'.

'State house residents deserve to know who their landlord will be and whether their tenancies are secure.

'What motivation would profit-driven individuals or companies have to maintain and improve their housing stock, let alone honour tenancy agreements?”

The Green party state that the government's announcement that Invercargill and Tauranga will be the first centres to experience the state housing sell off shows just how little they have disclosed about its privatisation scheme.

Putting people's lives in the hands of ‘the market' is reckless and negligent, says Metiria.

'So is not telling the truth about what's really happening with the sell-off of our state assets, and what impact that's going to have on our most vulnerable people.”

The government announced earlier this week that Tauranga and Invercargill state houses will be transferred to registered Community Housing Providers.

The announcement was made as senior officials from the Ministry of Social Development and the Treasury were in Tauranga talking with local stakeholders.

Tauranga and Invercargill are chosen because they have stable demand for social housing, and active community housing providers keen to consider the next steps, says Social Housing Minister Paula Bennett.

'This is a great opportunity for these areas to deliver services locally,” explains Paula.

'We know that vulnerable New Zealanders do better when services are delivered by local people for local people. Community ownership for social housing in Tauranga and Invercargill will make a significant difference.”

Existing tenants will continue to be housed for the duration of their need and their rights will not be affected if their landlord changes, says the housing and social housing ministers' joint statement.

They also say houses will not be transferred unless tenants get better services and taxpayers get fair and reasonable value.

And that transfer of houses will not affect the tenants' rent or their eligibility for subsidised housing, and properties transferred as social houses will also have to stay as social housing, unless the government agrees otherwise.