Cairns Property View – July 2017

JULY 2017 CAIRNS PROPERTY VIEW

Hi again and Happy New Year!
So with this new Financial Year comes some changes relating to property – below are 9 that you should know about as they may affect you.

  1. Commencement of the Major Bank levies and anticipated flow on increases in home and commercial lending rates.
  2. Household electricity bills in Regional Queensland will rise by 3.3%, and 4.1% for small businesses.
  3. Council rates across Qld will rise, in Cairns it’s estimated increase of 1.75%.
  4. Water and sewerage charges will increase for example by 2.5 -3% on average.
  5. A 1.5% surcharge will be introduced for absentee payers of land tax, applying to land holdings of $350,000 or higher in addition to other land tax payable (whilst this does not apply to Queensland residents but it is anticipated to impact on property investment).
  6. Foreign tax residents will be subject to an increased Capital Gains Tax withholding rate of 12.5% and a reduced CGT withholding threshold down to $750,000.
  7. ATO is now disallowing deductions for travel expenses relating to inspecting, maintaining, or collecting rent for a residential rental property.
  8. Individuals looking to buy their first home will now be able to access specific voluntary contributions made in to superannuation after July 1, 2017. These contributions will be accessible from July 1, 2018. Limits apply to the amount that individuals can contribute under this measure to $15,000 per year and $30,000 in total.
  9. To assist first home buyers entering the housing market, the Queensland First Home Owners’ Grant temporary increase, from $15,000 to $20,000 for contracts on newly constructed homes will be extended to eligible transactions entered into between July 1, 2017 and December 31, 2017.

Cairns property EOY

Creating a highly livable city that is attractive to investors and visitors is the focus of Council’s 2017-18 Budget, they are are investing nearly $70 million in capital projects that contribute to the recreational, sporting and cultural landscape of our region.

The latest HTW Valuers Report analysis shows that median property price growth has flattened for houses and for land, but is showing some upward movement for units. With the end of school holidays now, the property market should get back some of it’s momentum it had in June.

Selling YOUR property soon? Let’s talk,

Daniel Sheehan
0409 265 326
I sell it properly for you