Government not only looking at changes to negative gearing at the moment but also looking at tax xhanges to wage brackets. This will make negative gearing a lot less appetising to property speculators. If they cant claim all their losses on interest then they are going to have a lot more money going out than coming back at tax time. This is going to cause a lot more selling in the real estate industry. Economy is running at 100%...rates are gonna go up or the economy is gonna have to slow down , wither way its going to be bad for property. Looking forward to the next 2 years...my guess is in 2007 will be some very good buying in the market
