The lowest blow of this election campaign may have come from a firm of real estate agents that abused its position of trust to scare renters about Labor’s proposed negative gearing changes.
If you are one of those renters, relax. You have nothing to fear from the changes. You might even benefit from them. The only interests the real estate firm is protecting is its own.Samantha Maiden, Twitter
Late last week Raine & Horne principal Graham Cockerill wrote to tenants saying Labor’s changes would be “devastating” and including material from the Real Estate Institue of Australia warning of what might happen if “the planned changes to negative gearing do go ahead”.
“The fall in property prices will decrease the value of 18 million Australian’s retirement nest eggs,” and “rents will rise” the material warns. “Further, government savings will be less than estimated, unemployment will rise and our whole economy will be in jeopardy.”
Other renters have received official looking material apparently sent by the Liberal Party reading “Final Notice: Rent Increase”.
- ^ Samantha Maiden, Twitter (twitter.com)
- ^ Apotheosical, Reddit, Tuesday May 14 (www.reddit.com)
- ^ in the range of 1% to 2% (theconversation.com)
- ^ end up paying less tax (grattan.edu.au)
- ^ The Game of Homes: how the vested interests lie about negative gearing (theconversation.com)
- ^ reductions in other taxes or increases in spending (theconversation.com)
- ^ Confirmation from NSW Treasury. Labor's negative gearing policy would barely move house prices (theconversation.com)
Authors: Danielle Wood, Program Director, Budget Policy and Institutional Reform, Grattan Institute