Saturday, May 15, 2021
Times of Georgia
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Robertson Must Rule Out Rent Control


“In a week when the property sector needs confidence to
build, Grant Robertson has dropped another bombshell on
property investors,” says ACT’s Housing Spokesperson
Brooke van Velden

“This morning Grant Robertson did
not rule out rent caps stating ‘that’s not on our agenda
at the moment, but we will keep an eye on what
happens.’

“Combined with this week’s shock
announcements, the Deputy Prime Minister’s welch on rent
control fuels a rocket of uncertainty.

“The
Government just announced interest on rentals won’t be
deductible, a move the Property Investors’ Federation
estimates will cost $6,000 on renting out a home with a
600,000 mortgage.

“Building housing supply is a
long-term activity. Building homes takes years, paying for
them takes decades. When he Government changes the rules of
the game at a whim, confidence suffers and less gets
built.

“Developers are already reporting that they
are pulling back while the market digests the latest policy
changes, this is the cost of uncertainty, a cost on top of
the actual policies announced.

“When the Deputy
Prime Minister says the Government might start regulating
rent on top of new taxes, it damages investor
confidence.

“This Government may have the best will
in the world, but everything they do has the opposite
effect. Their approach of attacking some groups such as
landlords is fundamentally divisive. The role of Government
should be to foster confidence so there is more investment.
This lot are doing the exact
opposite.

© Scoop Media

 



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