Landlords could be hit by negative gearing changes
480,000 landlords in Victoria could be hit if the Federal Government makes changes to negative gearing in the May Federal Budget.
“480,000 people own an investment property in Victoria including 304,000 who use negative gearing”, said Jennifer Cunich, Executive Director for the Property Council in Victoria.
“Most people who buy an investment property are mums and dads who are trying to do the right thing and not be a burden on taxpayers.
“Across Australia, there are 840,000 people who negatively gear and have incomes below $80,000 a year. These aren’t rich people but they are using property to secure their financial future.
“We don’t want investment properties to end up like superannuation where successive governments chop and change the rules all the time.”
The top ten suburbs and towns across Victoria where investors use negative gearing are:
Jennifer Cunich said this investment was underpinning the property sector investment and jobs in Victoria.
“Property is a vital part of the economy. Last year we witnessed 65,700 dwelling commencements in Victoria,” said Ms Cunich. “It is estimated that one third of all new residential investment – in this case 21,900 dwellings – is from investors.”
“During a time when the economic outlook is uncertain, the Government shouldn’t play with a sector that is vital to the economy.
“It was important for property investors to let their local Federal MP know that the government shouldn’t play with an important part of the economy.”
Media contact: Asher Judah | M 0499 841 715 | E [email protected]