REIA acknowledges the work of the Federal Government and National Cabinet in protecting Australia from COVID-19 and the prompt economic and health measures that were put in place however the institute has identified 12 Priorities to assist Australia’s property customers (which includes tenants, first home buyers, owner occupiers and investors and agencies) in succeeding in a CovidNormal Australia.

REIA President, Adrian Kelly said that over 80% of agents surveyed in 2020 believed that ongoing solutions would be needed such as extended JobKeeper and rental support for Australians impacted by sectors unable to recover including tourism and international education.

“We’re also proposing Interest rates for first home buyers be made tax deductible.” 

“REIA estimates this would provide a benefit of around $4,000 per annum to Australia’s first home buyers (which NHFIC places at around 15% of the housing spectrum). At least six other OECD nations have a similar incentive.

“We are calling on allowing voluntary super contributions and earnings be used and accessed for all first home buyers and well as expanding the First Home Loan Deposit Scheme (FHLDS) into a long term program,” he said.

Mr Kelly said the REIA is also seeking to help real estate agents manage their cash flow in response to the disruptions from COVID-19.

“We’re proposing a kit that is a predictive tool to assess a business’s viability and whilst the kit can be used at any stage of the business lifecycle, it is particularly useful to prevent financial stress.

“Assistance from $2000 to $5000 per agency will allow for the individual advice from a trusted adviser to improve financial viability and productivity which will assist in the Government achieving a higher economic growth rate than would otherwise be the case.

“Cash flow problems continue to be a major issue for small businesses with 90% of small business failures due to poor cash flow management,” he said.

Mr Kelly concluded that there is a need for policies and investments that will continue to drive growth in the property. 

“Wherever you are in the housing market, an agent, tenant, buyer, investor or vendor, there should be support for you in the next Federal Budget to have confidence to succeed in a COVIDNormal Australia.” 

The REIA Budget Priorities for the 2021-2022 Federal Budget can be viewed here.

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