A decade of knee-jerk policies around property investment have caused Australia’s rental crisis, according to speakers at a Property Investment Professionals of Australia (PIPA) seminar.
PIPA Chair Nicola McDougall says since 2014, investor lending has been targeted with APRA lending restrictions; negative gearing and Capital Gains Tax laws are continually on the chopping block; and emergency tenancy laws were enacted during the pandemic.
REIQ CEO Antonia Mercorella, says investors are becoming increasingly frustrated with legislative intervention that effectively limits what they can and can’t do.
“You only have to look at the number of properties that have been transferred from the long-term permanent rental market into short-term letting, as well as the volume that have been sold to see their frustration in action.”
CoreLogic Research director Tim Lawless says the short term rental supply outlook is “pretty glum” with approvals at their lowest levels in more than a decade and that governments should have a bigger stake in rental home ownership.