The answer is no, according to new polling, which shows millions of Australians remain ignorant about how Labor’s proposed negative gearing changes will affect housing.
The Housing Industry of Australia commissioned research from JWS Research which showed only 34 per cent of Australians were aware of the proposed changes and understood them at some level, reports news.com.au.
So what do you need to know?
The Labor Party says it will limit negative gearing to new housing at a date yet-to-be-determined, and that all investments made before that date would not be affected by the change.
Labor leader Bill Shorten says it’s a policy which backs first home buyers over investors, and it would allow more money for schools and hospitals.
But the HIA managing director Graham Wolfe says the changes will see investors leave the market, and lead to rental hikes.
“If these changes are made, rents will rise as supply dries up due to a lack of investment in new housing. This will make renting a home less affordable,” Mr Wolfe said.
Two thirds of Australians surveyed claimed they did not fully understand the proposed changes, but those who did grasp the policy were more likely to be opposed to the reforms than support them.
So which side of the fence do you sit? It will depend on your situation, so do your own research and make up your own mind. An informed decision is the best kind of decision in any property transaction.
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