Home Property Australia West Australian landlords could be hit by changes to negative gearing

West Australian landlords could be hit by changes to negative gearing

  • August 29, 2017

241,600 landlords in Western Australia could be hit if the Turnbull Government makes changes to negative gearing in the May Federal Budget.

“241,600 own an investment property in Western Australia including 163,500 who use negative gearing”, said Joe Lenzo, Executive Director for the Property Council in Western Australia.

“Most people who buy and investment property are mums and dads who are trying to do the right thing and not be a burden on taxpayers.

“Across Australia, there are 840,000 people who negative gear and have incomes below $80,000 a year.

“These aren’t rich people but they are using property to secure their financial future.

“We don’t want investment properties to end up like superannuation where successive governments chop and change the rules all the time.

The top ten postcodes in Western Australia where investors use negative gearing are:

  1. 6155           Canning Vale                4,365
  2. 6065           Lansdale                        4,275
  3. 6210            Mandurah                     4,025
  4. 6164           Success                          3,855
  5. 6027           Joondalup                      3,695
  6. 6230           Bunbury                        2,835
  7. 6025           Hillarys                         2,730
  8. 6714           Karratha                        2,715
  9. 6163           Hilton                            2,693
  10. 6112           Armadale                       2,355

Joe Lenzo said this investment was underpinning the property sector investment and jobs in Western Australia.

“Property is a vital part of the economy. Last year we witnessed 29,700 dwelling commencements in Western Australia.

“It is estimated that one third of all new residential investment – in this case 9,900 is from investors.

“The construction of a typical house includes the use of 40 trades and sub trades – and Western Australia can’t thumb its nose to property investment.

“If construction takes a hit then jobs will be lost and renters will be squeezed.

“During a time when the economic outlook is uncertain, the government shouldn’t play with a sector that is vital to the economy.

Mr Lenzo said it was important for property investors to let their local MP know that the government shouldn’t play with an important part of the economy.

 

 

Media contact:  Joe Lenzo  |  M  0419 044 768  |   E  [email protected]