Nick is Principal of Property and Construction Analytics Australia.
What generally has been overlooked when considering the ATO Taxation statistics in previous years is the increasing value to the economy for the trades, cleaners, gardeners, plasterers, chippies, sparkies, plumbers and others that come from the property investor that pays out when things break, need repair or maintained.
With most industry economic indicators having stopped doing the heavy lifting some time ago, residential housing activity is driving the economy.
Removing CGT exemptions on the principal place of residence would penalise average families who will receive a significant CGT bill for any improvement in home values if they were to sell.
The Property Council said the fall in housing finance to investors is being picked up by owner occupiers.
Maintaining a steady supply of new housing is vital to keep up with population increases, household formation rates, and to avoid the price spikes that occur when demand outstrips supply. Residential construction also creates much-needed jobs.
Having the telecommunications infrastructure construction plan detailed provides greater certainty for developers.
The strong numbers of new homes coming through to completion are going to provide additional homes to improve affordability, which has been needed in regions such as Sydney for some time.
The figures underscore the important role residential construction work is playing right now in supporting the broader Australian economy.
What brings developments to market is a good mix of investors and owner occupiers who can ensure that pre-sale commitments are met and projects go from planning to construction.