According to a new report from Industry Super Australia, the government is “dishing out” $14 billion in individual tax concessions each year, and the money would be better spent on affordable housing projects for those who are unable to purchase their own home or enter the rental market.
While the Assisting Housing Affordability report says that incentives like negative gearing fuel “unsustainable growth in property markets”, many Australians rely on these tax incentives as a way to turn short-term profit-loss pain into long-term gain.
Statistically, Australia has one of the lowest proportions of social housing (4.2 per cent) in the Organisation for Economic Co-operation and Development (OECD), which is made up of 35 countries including the United States, the United Kingdom, Canada, New Zealand, South Korea and Greece.
As a result of our lack of social housing, many are being “locked out” of the property game.
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