Election dialog on the housing crisis

In the early days in the run up to the election the major impact on property was expected to be a slow auction weekend, when traditionally fewer properties go to market on the day of the vote. That changed when Labor unveiled its key housing policy…and again when the PM, Scott Morrison, upped the stakes with the Coalition’s campaign launch – just one week before voters are due to hit polling booths.ARE INVESTORS SET TO REAP ANY REWARDS? On a positive note, no matter which party is elected (and here we are taking the liberty of assuming that either Labor or the Coalition will assume government), the Home Guarantee Scheme will continue with some additional sweeteners, assisting more buyers into their own homes in an increasingly expensive environment…and pushing up demand-side stimulus. And the good news for existing owners and investors is that any increase in demand – particularly at the low to mid end of the market – will have the knock on effect of increasing prices and shoring up a softening property market. This is especially comforting given the doubts surrounding inflationary pressure and the anticipated sustained period of interest rate hikes. An additional pieced of positive news for investors also sees rental vacancies at record lows, literally just as Australia has been re-opening borders shut since the COVID pandemic arose. And all of this is why the smart money is still out there purchasing property. So with a stable Australian government (regardless of who is in power), and both major parties committed to keeping the property market afloat, this is a great time to stick to your investment plan and get into property or grow your existing portfolio. If you’re interested in learning how to build long term wealth through Australian property – despite whatever noise is going on in the media and the marketplace – book in a discovery call with one of our mentors today.