Reasonable suggestions to penalise owners of multiple properties, but this would require legislative changes and the pollies are not likely to go along with this. The pollies in safe seats are able to carry considerable debt levels and gear into property investments while claiming allowances for work visits to Canberra typically renting properties in Canberra owned by a family member, effectively renting from themselves at government expense. Negative gearing plays an important role in these strategies which distort the market, a possible solution is to fine tune negative gearing back to an equilibrium level by restricting negative gearing to a percentage of costs under 100% of costs. Say 70% of costs being deductible and varying on the squeaky wheel principle of finding the point of pain, our PM could advise as a multiple property owner.
