Federal Election 2019 | What the election result means for the property market
Whether you are stunned or ecstatic, the Coalition is on track to secure a majority government following Saturday’s federal election. Property was a key factor in this year’s election campaign. So, what does this mean for the property market you ask?
- now that Labor’s proposed changes to negative gearing, capital gains tax and dividend imputations are removed, it is likely that investors and developers will have greater confidence in the market
- the Coalition has offered $500m to underwrite home loan deposits for first home buyers who have been able to save for a deposit of at least 5%, but who cannot reach the 20% deposit that most banks require
- if we get an interest rate cut in June or July (which is predicted), coupled with support for first home buyers, falling house prices may flatten off sooner rather than later
- supply and demand, along with the tightening regulation on banks will continue to be key influencers in the market.