Property investors fear forced sales under negative gearing changes
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Sydney architect Chirayu Shah says he and his wife could be to forced sell their home at a loss and unable to offer their children housing security down the track.
  • zurohkiEnglish
    24·
    3 months ago

    Without property investors in the market, there won’t be enough stock of rental properties

    People seem to have this weird idea that those houses will just be set on fire or something, instead of being bought at lower prices by people who want to live in them.

    • Taleya
      1·
      3 months ago

      They literally cannot comprehend other people owning houses to live in

  • MountaineerEnglish
    11·
    3 months ago

    Purnell Real Estate principal Nick Purnell, who bought an apartment in Canberra as an investment property in 2020, said people will stop investing in property if negative gearing is abolished.

    Don’t threaten me with a good time.
    Investors, with their ability to outbid potential owner-occupiers are a significant component in the current rise in housing prices.
    Those rising house prices are DIRECTLY related to the raising rent prices.

    Negative gearing was implemented to achieve a change in the market, a large thumb on the scale by the government.
    Now it’s time to step back and reassess the market and figure out what we need to do to achieve our desired outcomes.

    Million dollar plus shoe boxes, whole suburbs dominated by short term rentals, people using the 15% equity on their 4 investment property to back a 5th in a giant house of cards gamble are NOT HELPING.

  • jonne@infosec.pub
    7·
    3 months ago

    So this guy is paying $500/mo for this property over the income it generates and the only reason this works out is negative gearing? I have a hard time believing he’s not at least breaking even on rent charged over a mortgage, he’s not telling the whole story there, or he grossly overpaid for the property.

    • zero_gravitasOPEnglish
      4·
      3 months ago

      I’m wondering where on earth he’s getting the “$70,000 loss” figure from. House prices in Sydney are not down from 2017…

      • TheHolm
        1·
        3 months ago

        Look how much any maintenance/repairs costs now. It may be true.

  • kowcopEnglish
    6·
    3 months ago

    I will wait and see the policy… if they are grandfathering and limiting new investors to a single property, I don’t see who would be negatively impacted by any change

    • jonne@infosec.pub
      7·
      3 months ago

      Shorten’s plan included grandfathering in and the media just lied about that part, trotting out pensioners with one investment property etc.

    • zero_gravitasOPEnglish
      2·
      3 months ago

      Huh, I didn’t think the Wayback Machine de-paywalled, cheers! (EDIT: Ah, I see now that SMH just has a free-articles limit.) I’ve changed the link to the Wayback snapshot since I prefer it when possible.

      No security warning for the archive.is link for me, on Firefox or Chrome 🤷‍♀️ Was it flagged by an extension or something?

  • Taleya
    3·
    3 months ago

    Greedy pig boys can suck my balls. We’re in a castastrophic inequity crisis because of their actions

  • oahi
    31·
    3 months ago

    Oh, boo-hoo. His kids can inherit the home they grew up in and buy their own, by this time not over-priced, home once they’ve the income.