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Real Estate Business Awards 2021

The REB Awards is the benchmark of success in the Australian real estate industry. It reflects not only the business astuteness of the country’s leading real estate operators and networks..

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top 10 agents

Alexander Phillips

Top 1

Year of Experience: 21

Support Staff: 3

Residential Property Listings Secured: 241

Total Value of Residential Properties Sold: $ 706,737,500

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1/10
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top suburbs

12 month growth
Manyana
70.61%
Tamarama
70.55%
Box Hill
64.95%
Goodwood
64.38%
Bawley Point
63.64%
Lennox Head
62.11%
Casuarina
62.08%
Queenstown
61.31%
Warana
60%
Cooroibah
59.43%
SEE AREA REPORTS ON SMART PROPERTY INVESTMENT WEBSITE
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Ending negative gearing will hurt rental stock

By Staff Reporter
27 October 2014 | 1 minute read

Limiting negative gearing tax breaks for investors would pose serious risks to the stock of rental properties available, warns a large property group.

The RBA warned again this week about the risks, as investors stoke soaring housing prices, and continued to flag that it would join with financial regulators to take “modest” action.

According to Mirvac Group chief executive Susan Lloyd-­Hurwitz, tightening Foreign Investment Review Board regulation of offshore buyers and an additional stamp duty levied on foreign investors would slow superheated parts of the market.

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“[But] as a society, we would have to think long and hard about the removal of negative gearing because it has very far-reaching implications,” she told The Australian.

“We need rental stock and it’s currently owned by mum and dad investors, negatively geared.

“Where [will] the housing stock come from for the rental market?” she added.

Foreign developers, who have forged into the Sydney, Melbourne and Brisbane markets, are selling their new projects offshore and a proportion may not be rented locally, reported The Australian.

“It’s hard to visualise how that plays out. I don’t think they permanently replace the mum-and-dad investors who negatively gear their investment flat,” Ms Lloyd-Hurwitz said.

She said years of chronic under-building in Sydney and to a lesser extent Melbourne would underpin the cities’ housing prices for another two years. But the days of soaring price growth in the two capitals were numbered.

“We believe that is unsustainable,” she said.

“We would expect house prices to increase in the mid to single digits for the next couple of years.”

Ending negative gearing will hurt rental stock
Gearing
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Listen to other installment of the Real Estate Business Podcast
top 10 agents

Alexander Phillips

Top 1

Year of Experience: 21

Support Staff: 3

Residential Property Listings Secured: 241

Total Value of Residential Properties Sold: $ 706,737,500

VIEW COMPLETE REPORT
1/10
Do you have an industry update?

top suburbs

12 month growth
Manyana
70.61%
Tamarama
70.55%
Box Hill
64.95%
Goodwood
64.38%
Bawley Point
63.64%
Lennox Head
62.11%
Casuarina
62.08%
Queenstown
61.31%
Warana
60%
Cooroibah
59.43%
SEE AREA REPORTS ON SMART PROPERTY INVESTMENT WEBSITE
Subscribe to Newsletter

Ensure you never miss an issue of the Real Estate Business Bulletin.
Enter your email to receive the latest real estate advice and tools to help you sell.