The possibility of New Zealand selling state-owned houses to an Australian company has NZ opposition political parties up in arms.

Australian not-for-profit Horizon Housing is interested in buying as many as 500 state-owned houses in New Zealand, TV3's The Nation program reported on Saturday.

NZ Finance Minister Bill English says the organisation would have to meet criteria but "we're interested in doing business with them".

NZ Labour's housing spokesman Phil Twyford said Mr English's admission that he would sell hundreds of New Zealand's state houses to Australians was the latest lurch in the government's stumbling, half-baked housing policy.

The Green Party in NZ is calling on the government to rule out selling state houses to Australian interests.

Greens co-leader Metiria Turei says the government is considering selling state houses to foreign investors because there's such a lack of interest from New Zealand buyers.

"There's a lot at stake here: Australian businesses and charities could potentially become some of the wealthiest and most powerful landlords in New Zealand, and they'll be overseeing the tenancies of our most vulnerable, needy people," she says.

Horizon Housing is a registered Australian company limited by shares, and has 11 not-for-profit and industry shareholders who elect nine voluntary directors, according to its website.

It provides both community housing programs and affordable housing projects.

Since 2007, chief executive Jason Cubit has grown the not-for-profit company into Queensland's largest community housing provider and one of the top five in Australia.

He has been recognised as one of the top 25 influential people in Australia in the not-for-profit sector, according to media reports.