Property

  • Written by Helen Hull



The key to housing supply is unlocking property held by retirees and upgraders who are choosing to stay put due to the cost of stamp duty
, according to the Real Estate Institute of New South Wales.

REINSW President John Cunningham said comments made by NSW Premier Gladys Berejiklian that she is open to tax changes to improve supply and housing affordability are a step in the right direction.

“Premier Berejiklian has stated that the key to housing affordability is supply. However, supply is not just about new homes. The key to housing supply is unlocking existing properties held by retirees.


“Buyers are now forking out over four per cent of the value of a property on stamp duty and this is stopping the supply of established homes flowing into the market.

 

“This problem has been caused by successive governments who failed to address stamp duty bracket creep for over 30 years.

“By providing stamp duty incentives to older Australians to downsize we will see many more properties coming onto the market.

“There would be a chain reaction. One transaction can set off a chain reaction that leads to 10 sales. If we get the supply of existing properties flowing then the price pressure will be eased.

“In order to set this in motion we call on the NSW government to provide retirees with a 50 per cent reduction in stamp duty for a residential property purchased to replace an existing residential property up to the value of $1 million.

“In combination with this strategy there needs to be genuine and compelling incentives for all buyers, including retirees, to relocate to regional areas in order to ease the pressure on the Sydney market,” Mr Cunningham said.

The Viw Magazine

Sick and Tired of Your Dead End Job? Try Teaching!

Tired of the same old grind at the office? Want an opportunity to impact lives both in your community and around the world? Do you love to travel and have new experiences? Teaching English is the perf...

News Company - avatar News Company

LifeStyle

How to Spice Up Your Relationship

If you’ve been with your partner for a long time, the flame of your love life may slowly be si...

4 Perfect Locations for your Destination Wedding in France

France is probably one of the few locations in the world that we synonymise with love so what bett...

Questions to ask yourself before buying your watch

There are more and more watches on the market. And more and more brands are trying to seduce consu...

How to Thoroughly Prepare Children for a Professional Photoshoot at a Studio

Children are only young for a moment, which is why, for a lot of parents, it's essential to take a...