Take a Paws, page-36794

How on earth does one think that curbing negative gearing and increasing CGT will help the housing shortage? Wheres the logic please? What am i missing?

To my mind...

These measures will increase the cost of housing and also reduce peoples investment in the sector thus slowing growth and making them more expensive to finance! .... taxes never increase activity they always slow it, regulations also slow activity, tobacco taxes are being increased all the time because they want to make it more expensive for people so more people quit and less take it up, it's the same with all industries and the housing industry, increasing taxes and curbing investor access negative gearing is only going to reduce housing supply for renters as some will sell up, renters rent because they can't afford to build a new home or buy one so they won't be buying any of the homes that come up for sale due to these destructive and delusional changes or thoughts of changes, investors with negative gearing actually add to the housing supply they don't reduce it.

The right thing to do to help increase housing supply is to decrease taxes and regulaltions, make negative gearing more attractive and maybe other borrowing angles and also instructing State governments and councils etc to quickly release more land, the last thing one wants is big business and government owning and building all the homes and pocketing the investment incomes they produce while forming policy that wipes out individual investors, real people investors, if the Labor government takes that away then people have even less ability and angles to earn more than a wage and grow their wealth, thus the people will get poorer again, the unequality gap will increase some more and big business and like the builders and superfunds this time will clean up and dominate the sector for themselves.

Why people think Labor are the workers party is beyond me, all they do is make life harder for the lower half, they increase barriers of entry through regulations that favour big business domination and now also thinking about wiping out or reducing average Joes ability to invest in safe assets like a second house to help out with their retirements, people are already forced to throw 13% or so into shares through super so to reduce risk having a house investment is quite a sensible thing to do, our gov should be encouraging this type thing for people not making it harder.