Property investment important to Western Australians
Contact
Jun 10, 2016
Property investment important to Western Australians
Negative gearing encourages property investment, and helps people retire with confidence, reducing the burden on the federal government, says REIWA president, Hayden Groves.
-
Image: Travelbusy.com via FlickrCreativeCommons.The city of Perth.
A recent survey by the REIWA showed property investment is important to 87% of Western Australians.
The 481 survey respondents said the reasons property investment are important to them are:
- 29% said they wanted to build equity and investment
- 26% said they wanted to set themselves up for retirement
- 14% said they were securing their future
- 10% said tax and superannuation were important
- 21% did not give a reason
REIWA President Hayden Groves said that in the lead up to the Federal Election, it was important that REIWA, as an industry body, gave the Western Australian community a chance to be part of the conversation on negative gearing and property investment.
“What the WA community told us is that property ownership and investment are crucial to them,” Groves said.
When asked where they were in their property journey, respondents were allowed to select more than one option. A total of 60% said they were investors or a home owner, and of those, 33% said they were both a home owner and investor.
The findings show that home ownership and investment are integral to securing the future of Western Australians, said Groves.
The respondents were also asked if they understood negative gearing, and 92% said they were aware of the tax policy.
Respondents were also asked if negative gearing had helped them. A total of 300 respondents, or 62% answered ‘yes’, 142 (30%) said ‘no’, and 39 (8%) did not respond to the question.
The respondents said the reasons negative gearing had helped them were:
- 42% said claiming back expenses to hold the property made investment possible
- 26% said it made it more affordable to become a property investor
- 7% said it improved their financial standing
- 3% used it as a means of securing their retirement
- 1% used it to reduce the rent their tenants paid, and
- 21% did not respond to the question.
“It is obvious that negative gearing is not just about a tax grab, it actually encourages property investment, helps people to retire with confidence and does not burden the Federal Government's aged pension scheme,” Groves said.
Read more:
Contact Details:
