"What can the government do to keep the investors happy and at same time make it possible for some to buy own home at a more affordable price ? Neg Gearing, or, more handouts to first home buyers , increase the centre link allowance to match the increase in rent ?"
People taking on mortgages that they can't afford isn't the responsibility of the Government to fix.
I'd say the government has had a big hand in making houses so unaffordable. At this stage, giving people more cash in order to buy houses or rent is only going to equate to further price increases.
