This isn’t some tax lurk for the wealthy. Mum and Dad investors are overwhelmingly the ones who benefit most for the ability to negatively gear their property investments.
The major drivers of the housing bubble were low interest rates and easy access to finance, but the evidence of a housing bubble in the rest of Australia was not strong, says Treasury Head.
What the issues affecting the real estate industry the government did and didn't address in this year's budget.
REIA has long argued stamp duties are a highly inefficient tax that limits population mobility as highlighted in the Henry Tax Review.
With inflation under control combined with a slow down in housing finance, it’s reasonable to expect that the RBA Board will not be increasing interest rates in the medium term.
It's timely to clarify a few facts on foreign investment in Australia.
Australia has high home ownership levels and people often consider their home to be the foundation of their lifestyles. Given this, access to multiple transport options including active transport is a very real factor considered by potential home buyers.
In setting the fee level for Australia, REIA encourages the Government to consider the equivalent global rates and not discourage foreign investment that has been proven to increase the supply of new housing at a time of a severe shortage.
Adjusted figures do little to ease industry concerns that first home buyers are dropping out of the market.
A cut in the cash rate will be very important in boosting consumer and business confidence.