The REIQ welcomes the Liberal Party’s tailored initiative to help first-home buyers get their foot on the property ladder.
REIQ CEO Antonia Mercorella said the highly targeted, tailored approach is exactly the right way to help specific sectors of buyers.
“We need positive policies that help the target group and don’t wreak wholesale damage on the entire property market and the broader community, as Labor’s proposed negative gearing reforms will do.
“The Liberal Party initiative offers help in a meaningful way to those seeking to get their foot in the door of their first home and doesn’t cause detriment to other sectors of the market. This is a policy that was drafted with the many moving parts of the property market in mind,” Ms Mercorella said.
“The rental market and the sales market don’t operate independently of each other. Everything works together and right now, the biggest threat to the health of Queensland’s housing market is the proposed negative gearing reforms.
“This is how Labor is hoping to help first-home buyers, by decimating the rental sector with a ham-fisted blunt swing at the market. They want to limit private investors so that first home buyers, theoretically, can buy without competition.
“Our concern is that limiting the number of investors in the market will decimate the rental market, pushing up rents and driving down the level of supply,” she said.
“More than 34 per cent of Queenslanders rent their home, among the highest levels of the most populous states. Our market relies on a steady supply of investors providing rental accommodation for our rental population and Labor’s proposed reforms will diminish that crucial activity,” Ms Mercorella said.
“Independent modelling from SQM shows that Labor’s negative gearing reforms will also de-value people’s homes, driving down the value of their biggest asset.
“We should help people get a leg up, but not at the expense of those who have already begun their home ownership journey.”