To be honest rebel it's not negative gearing that's wrong it our whole complete tax system that makes it attractive. Really if we had a flat tax that made these sort of tax minimization schemes un attractive you would find no one would bother with negative gearing. You only have to look at the collapse of the tree and olive schemes and how much money was involved that needs a home to reduce tax.
After the collapse of these schemes a lot of money went back to what people feel safe with property. While a lot sit here and blame investors on affordability, I really think you need to overhaul the whole tax system not just one part . To blame negative gearing is a band aid at best when the aim of most in property investment is to reduce the tax burden and for the average person may not return the greatest but is for most safe as the can see it touch it and it's real and understand it.
We all get carried away sometimes but really unless there is a general overhaul I can not see any real change in the future.
