The Conversation
International · 1 hrs ago
✦ 72◉ Centre
Auction sales are sliding, banks are tightening loans. But is the budget really the only factor?
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Quality 72/100
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◉ Centre ✓ Fair headline
Australia's federal budget proposals to reform negative gearing and capital gains tax are being blamed for cooling property investment activity, though the article questions whether the budget is the sole factor driving observed declines in auction sales and bank lending tightening.
Auction sales are sliding, banks are tightening loans. But is the budget really the only factor?
To say this year’s federal budget has ruffled some feathers would be an understatement. The Albanese government announced major reforms to two tax breaks long seen as politically untouchable – negative gearing and the capital gains tax discount.
In response, some banks are reportedly tightening their lending to property investors. And there are early reports of lower attendance at open homes, suggesting buyer caution.
The government’s budget changes are not yet law. But two weeks on from budg
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