Urban Development Institute of Australia president Michael Corcoran said negative gearing makes it viable for investors to purchase low yield housing and the Labour Party’s plan to remove the benefit on all but newly built properties would concentrate investors into one part of the market. “First home buyers who see building a new home as their path to home ownership will be outbid for their new home by investors who have been forced into this one segment,” Mr Corcoran said.

Source: Daily Telegraph.

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