How the recent Federal Budget announcements will effect real estate.

There is a major push to unlock more housing supply, with funding and tax incentives aimed at helping councils and utility providers to get more homes built sooner. In Queensland alone, approx. $2 billion is directed towards boosting housing. Therefore, the owners of land with development potential, new construction, duplex sites, townhouse projects and build-to-rent assets could become some of the biggest winners.

For buyers, this could create real opportunity. The proposed changes are designed to reduce investor competition for established homes and push more investment toward new builds. Many of the cheap established investment properties that landlords thrived off negative gearing in regional pockets may now face slower growth as investor appetite is encouraged to change.

For investors, the smarter move right now is to get prepared, and speak with people in the tax and finance industry who will give you honest, practical advice.

Something to keep in mind; NZ Labour Govt attacked negative gearing/investors in 2021. Massive rent rises and other issues followed, however NZ was forced to reverse that decision 3 years later.

More info