We have a dire shortage of rental accommodation in this state. Rents are sky high - and predicted to jump another thirty percent in the short term.
That would seem to be a good reason for a rush of investors to put their money into rental housing, given that stamp duty has been cut in half - and will not end on December 31 as planned - but will be extended until June next year.
Reduced stamp duty is part of the Housing Construction Acceleration Plan ( HCAP ) under which 1934 new dwellings have been built, worth $ 850 million - with a stamp duty saving of $ 14,8 million.
There is deep suspicion that most of these homes would have been built anyway, and that few were investments destined for the rental market. This is confirmed by the ever widening rental shortage - and the upward pressure on rents driving a home out of reach for many people.
The question is - why are investors shunning the rental market at a time when it is offering such golden returns ?
It could be that investors have long memories - and they are aware that we have socialist governments in power in both Sydney and Canberra.
Socialist governments have long held that those who own property for rent are capitalist enemies of the working class - to be treated accordingly.
Two phrases come to mind from the era of the second world war - " Protected tenant " - and " rent control ". Both were " temporary " measures that lingered - and both were aimed at " social engineering " to disadvantage owners of rental property.
If private wealth shuns the rental market the only alternative is public housing, and we already see the dead hand of socialism in that field, ignoring widely held housing standards to create twenty-first century slums with few amenities.
What we need is the creation of a legal charter that will protect the rights of both landlords and those renting - and ensure that both get a fair deal.
An old adage comes to mind. " Once bitten - twice shy " !
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