Property sector welcomes stamp duty concessions

The Property Council of Australia has welcomed the State Government’s decision to extend stamp duty concessions for off-the-plan apartments.

SA Executive Director of the Property Council Daniel Gannon said the extension – and its statewide expansion – would continue to stimulate the property and construction sector.

“Extending stamp duty concessions for off-the-plan apartments and expanding it statewide will stimulate the property sector and those who work within it,” said Mr Gannon.

“Property is a vital part of our economy, and for every typical house that is built, it requires the use of 40 trades and sub trades.

“If construction takes a hit, then jobs in South Australia will be lost.

“Budget stimulus measures like extending stamp duty concessions for off-the-plan apartments are strongly welcomed by developers, investors and particularly first home buyers.

“Any assistance for first home buyers is a housing affordability measure at a time when affordability is becoming out of reach.

“The Property Council of Australia has fought long and hard for extending stamp duty concessions for off-the-plan apartments, but also to open it up along the urban growth corridors.

“While residential stamp duty abolition is the end game, this announcement is a positive step in the right direction for developers and buyers.

“After all, stamp duty on residential property transfers has increased by 537% since 1995, which makes it harder for young people to get into the market and discourages older South Australians from down-sizing.”

Please see below statistics about the importance of property to the South Australian economy:

  • Property is South Australia’s largest private sector employer and biggest industry
  • It accounts for 10.8% of the state’s economic activity (or $10.5 billion)
  • It builds prosperity by paying $4.4 billion in wages and salaries – one in six people draw their wage directly or indirectly from property
  • One million South Australians have a stake in property through their super funds
  • Property is the largest single industry contributor paying 56.6% of state taxes, local government rates, fees and charges

Media contact:  Daniel Gannon |E  dgannon@propertycouncil.com.au