Mr. Nalder questions the Treasurer on the potential impact of federal Labor's negative gearing policy on house prices and affordability. The Treasurer downplays the impact of the federal policy and criticises past state Liberal Party land tax policies.

AnsweredQoN 900Legislative Assembly
Asked
7 November 2018
Portfolio
Treasurer

QuestionView source ↗

NEGATIVE GEARING —
FEDERAL LABOR POLICY
900. Mr D.C. NALDER to the Treasurer:
I have a supplementary question.
Just to seek clarity on this, is the Treasurer saying that there will not be a fall
in house prices as a result of federal Labor Party policies but, therefore, is
he also saying that it will not make houses more affordable? Which is it? Will
the Labor Party make housing more affordable or will there not be a fall in
house prices because of these federal policies?

AnswerView source ↗

I am sorry but the shadow Treasurer
lost me at hello. I am not entirely sure what his supplementary was, but I will
re-emphasise the first point I made. I am not expecting the change to negative
gearing, as outlined by the federal Labor Party, to have a dramatic impact on
property prices nationally. That has been highlighted by people much more
learned than I in respect of the property market. What does worry me are things
around what I can do as a state Treasurer to influence the property market, and
that will not be increasing land tax three times over the next couple of years,
which is exactly what the Liberal Party did. To be honest, the investment
property market has not recovered from that since.

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