The longest election campaign in Australian history is almost over. Tomorrow (the 2nd of July 2016) it is up to the Australian public to go to polling booths around the country and have their say on who they want to govern the country.
You would be forgiven if you are only just starting to think about who you will vote for on Saturday. It has been a rather boring campaign. Our co-founders have been fighting hard over the last 6 weeks for both major parties to improve their housing affordability policies. Unfortunately, while Daniel Cohen & Taj Singh have had plenty of media exposure, neither the Coalition or Labor party have changed their housing affordability policies during the election campaign period.
Below is a ‘quick n easy’ guide to who you may want to vote for on Saturday if housing is the most important election issue to you (like it is to so many other younger Australians). It highlights the key housing affordability points some of the parties stand for.
- The Coalition has decided that they want to leave existing tax policies (in relation to property) intact.
- The Coalition has repeatedly said that to address housing affordability housing supply should be increased. However, they have failed to detail how they will actually release more supply.
- For our full analysis on the Coalition’s proposal please check out our blog discussing the issues of the Coalition supply plans.
- For more on the Coalition plan visit: https://www.liberal.org.au/
- A Labor elected government will introduce policies to remove negative gearing (the ability for investors to offset losses on an investment against other taxable income, to lower their overall tax) on established housing from July 2017. Existing investors arrangements will remain intact. Negative gearing will still be available for any investors purchasing new housing.
- Labor have also promoised to reduce the Capital Gains Tax Discount (a discount in the taxable value an investor receives when they sell an invested asset after 12 months of ownership) from 50% to 25%.
- For our full anlysis of Labor’s proposal please check out this blog from earlier in the year: https://fhba.com.au/will-first-home-buyers-be-better-off-with-labors-early-election-promise/
- For more on the Labor plan visit: http://www.alp.org.au/
- The Greens party want to see a plan where superannuation funds are used to fund more affordable housing through non for profit housing organisations
- The Greens want a review of negative gearing (but haven’t outlined any specific alterations)
- For more on the Greens housing affordability vision visit: http://greens.org.au/policies/housing
Sustainable Australia (Senate Only)
- Want to see both negative gearing and the Capital Gains Tax Discount abolished
- Want the First Home Owners Grant removed
- For more on Sustainable Australia and their housing affordability vision visit: http://www.votesustainable.org.au/housing_affordability/
Australian Christians (Senate Only)
- Want increase supply through increased land release
- Want to retain existing tax arrangements (in relation to property)
- For more info on Australian Christians Party visit: http://australianchristians.com.au/values/
- The Science Party want loosened height / density laws to increase supply and density;
- Remove Capital Gains Tax Discount, but retain negative gearing arrangements;
- Replace stamp duty & council rates with land tax
- For more on the Science Party and their housing affordability plan visit: http://www.scienceparty.org.au/tax_superannuation_and_welfare_policy
- Throughout the election period we have had many of our supporters suggest that we should run for Parliament. Unforunately we will not be running tomorrow, but we appreciate the love & support!
- Hypothetically, this is what an FHBA government would do in relation to housing affordability: FHBA 5 step housing affordability plan
We believe that the hardest part about buying your first home is putting a deposit together. Unfortunately we don’t believe that any of the above policies fully address this issue. However, the party that best address’s this issue is the Science Party thanks to their call for the removal of Stamp Duty (a high property transaction cost that a first home buyer must cover in addition to the deposit).
Have your own opinion
At the end of the day voting is a right. You have a right to vote for who you want based on whatever justification you have for voting that way. Regardless of the vote FHBA will continue to fight for more support for first home buyers. Happy voting (& don’t forget the sausage sizzle)!