HOME OWNERSHIP – GOVERNMENT POLICY – AUSTRALIA

Housing prices up: insurers go to war

roymorgansocial Leave a comment

Original article by Greg Brown, Jack Quail
The Australian – Page: 1 & 4 : 26-Aug-25

Modelling produced by Lateral Economics suggests that the federal government’s proposed expansion of the home guarantee scheme will adversely affect the first-home buyers it aims to help. The government will allow such people to buy a home with a deposit of just five per cent, and without the need for lenders mortgage insurance. The report, which was produced on behalf of the Insurance Council of Australia, concludes that the policy will result in house prices rising by between 3.5 per cent and 6.6 per cent nationally within its first year. ICA CEO Andrew Hall says house prices will rise by more than the cost of lenders mortgage insurance.

CORPORATES
LATERAL ECONOMICS, INSURANCE COUNCIL OF AUSTRALIA LIMITED

Housing crisis puts even safest seats at risk

roymorgansocial Leave a comment

Original article by Ronald Mizen, Nila Sweeney, Tom Rabe
The Australian Financial Review – Page: 4 : 23-Apr-25

Analysis of data from Cotality suggests that the housing affordability crisis could potentially undermine support for the Coalition and Labor in traditionally safe seats at the election on 3 May. The analysis shows that a number of such seats have recorded the biggest decline in housing affordability since the previous federal election in 2022. They include the Labor seats of Watson, Blaxland and Kingsford Smith, and Coalition-held seats such as Banks and Moncrieff. Both major parties have announced new initiatives aimed at helping people to buy their own home.

CORPORATES
COTALITY, AUSTRALIAN LABOR PARTY, LIBERAL PARTY OF AUSTRALIA, NATIONAL PARTY OF AUSTRALIA

Labor’s housing plan panned as a trivial side issue

roymorgansocial Leave a comment

Original article by Tom McIlroy
The Australian Financial Review – Page: 8 : 6-Mar-24

The Centre for Independent Studies’ chief economist Peter Tulip appeared before a Senate committee on Tuesday. He expressed support for the federal government’s target of building 1.2 million homes in five years. However, Tulip contended that the government’s Help to Buy shared equity scheme is a "trivial distraction" from real solutions to address the housing affordability crisis; he warned that the scheme will only benefit 40,000 home buyers, while increasing house prices and rents for all Australians. The Coalition opposes the scheme, while the Greens are demanding a number of concessions to gain their support.

CORPORATES
THE CENTRE FOR INDEPENDENT STUDIES LIMITED, AUSTRALIAN GREENS

Negative gearing change can win support: Greens

roymorgansocial Leave a comment

Original article by Tom McIlroy
The Australian Financial Review – Page: 4 : 28-Feb-24

Prime Minister Anthony Albanese has told a meeting of Labor’s caucus that legislation to establish the Help to Buy shared equity scheme for home buyers is expected to be passed by the lower house this week. However, the said the bill is likely to be blocked in the Senate by the Liberal Party and the Greens. Meanwhile, the Greens have signalled that they are open to a compromise on negative gearing in return for supporting the Help to Buy scheme. The party has proposed restricting negative gearing to existing investment properties, and progressively scrapping the regime for people who buy additional properties.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIAN GREENS, LIBERAL PARTY OF AUSTRALIA

Albanese slaps down Greens over juvenile negative gearing demand

roymorgansocial Leave a comment

Original article by Phillip Coorey
The Australian Financial Review – Page: 4 : 13-Feb-24

Prime Minister Anthony Albanese has ruled out making changes to the negative gearing regime and the capital gains tax discount in order to secure the Greens’ support for its Help To Buy shared equity scheme for first-home buyers. Albanese says the federal government will not be open to negotiation, and he has criticised the Greens’ "juvenile approach" to the issue of negative gearing. The government was previously forced to make concessions in 2023 to secure the Greens’ support for its Housing Australia Future Fund. The Opposition intends to vote against the shared equity scheme.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIAN GREENS

Buyers told to chance the market

roymorgansocial Leave a comment

Original article by Rosie Lewis
The Australian – Page: 1 & 4 : 18-Jul-19

The federal government’s First Home Loan Deposit Scheme is slated to commence on 1 January, and it will initially be restricted to 10,000 borrowers. Housing Minister Michael Sukkar says the government may be open to expanding the scheme if it is popular. He adds that if possible, prospective buyers should step into the housing market now rather than waiting for the scheme to begin, as there are signs that the market is improving. Sukkar is confident that unlike first-home buyers’ grants, the scheme will not have a distortionary impact on the housing market.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. NATIONAL HOUSING FINANCE AND INVESTMENT CORPORATION, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA

Turnbull to face clash on housing

roymorgansocial Leave a comment

Original article by Simon Benson, David Uren, Rachel Baxendale, David Crowe
The Australian – Page: 1 & 4 : 13-Apr-17

A number of federal cabinet ministers and backbenchers support a proposal to allow first-home buyers to access their superannuation. They will lobby Prime Minister Malcolm Turnbull to consider adopting the initiative as part of the May 2017 Budget’s policy on housing affordability. However, Turnbull has reiterated his view that super should be solely used to provide an income stream in retirement. Chris Richardson of Deloitte Access Economics has expressed a similar opinion.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, DELOITTE ACCESS ECONOMICS PTY LTD, AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIA. DEPT OF INDUSTRY, INNOVATION AND SCIENCE, AUSTRALIAN LABOR PARTY, LIBERAL PARTY OF AUSTRALIA, NATIONAL PRESS CLUB (AUSTRALIA)

Cabinet split on flexible super plan

roymorgansocial Leave a comment

Original article by Fleur Anderson, James Eyers
The Australian Financial Review – Page: 1 & 12 : 12-Mar-15

Communications Minister Malcolm Turnbull is among the federal MPs who have criticised a proposal to allow Australian to use their superannuation savings to buy a home. Shadow treasurer Chris Bowen also opposes any push by Treasurer Joe Hockey to permit super to be used in this way, while financial system inquiry panel member Craig Dunn argues that super should be used solely to finance retirement. Hockey has suggested that super should be available throughout a person’s life due to increasing longevity

CORPORATES
AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIA. DEPT OF COMMUNICATIONS, AMP LIMITED – ASX AMP, AUSTRALIAN LABOR PARTY, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, CENTRE FOR INTERNATIONAL FINANCE AND REGULATION, ABC RADIO, BRISBANE CLUB

Murray shoots down Hockey’s super kite

roymorgansocial Leave a comment

Original article by Fleur Anderson, Ruth Liew
The Australian Financial Review – Page: 1 & 10 : 11-Mar-15

Business leaders have expressed reservations about the Australian Government’s proposal for superannuation to be used to finance home ownership. Financial system inquiry chairman David Murray and AMP CEO Craig Meller are among those who oppose the plan due to its potential effects on the nation’s retirement system. Finance Minister Mathias Cormann also spoke out against such a proposal in October 2014

CORPORATES
AMP LIMITED – ASX AMP, AUSTRALIA. DEPT OF FINANCE, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF THE TREASURY, LIBERAL PARTY OF AUSTRALIA, MONASH UNIVERSITY, GEM CAPITAL FINANCIAL ADVICE, COMMITTEE FOR ECONOMIC DEVELOPMENT OF AUSTRALIA

Keating: don’t kill super

roymorgansocial Leave a comment

Original article by Jacob Greber, Joanna Mather
The Australian Financial Review – Page: 1 & 6 : 10-Mar-15

Former prime minister Paul Keating says it would be irresponsible to allow young Australians to use their superannuation savings to buy their first home. Such a move, in his view, would destroy the superannuation system. Both Prime Minister Tony Abbott and Treasurer Joe Hockey believe that the idea of using super to finance the purchase of one’s first home is worth considering

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. DEPT OF THE TREASURY, LIBERAL PARTY OF AUSTRALIA, THE CENTRE FOR INDEPENDENT STUDIES LIMITED, ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT, AUSTRALIAN COUNCIL OF SOCIAL SERVICE, FAIRFAX MEDIA LIMITED – ASX FXJ