515 | The Truth About Negative Gearing & Capital Gains Tax (LIVE)

Hey Folks! Today’s Episode is Extra Special – We Went LIVE on the Couch for the First Time in Almost 10 Years! 🎉

And trust us, this is not an episode you want to miss and we strongly recommend you to download the slide deck here (www.thepropertycouch.com.au/negativegearing) to follow along at home.

We’re diving into one of the most debated topics in property investment: Negative Gearing and Capital Gains Tax (CGT).

We start by breaking down the agenda and explaining who will get the most value from this jam-packed discussion. Then, we journey through the history of negative gearing, bust a few myths, and share real-life examples to show you how it actually works.

 

Here’s what you can look forward to:

• The history of negative gearing and its impact on rents and property supply
• Fact Check: Does negative gearing truly benefit “greedy investors”? Who really gains the most from this policy?
• The often-overlooked consequences of eliminating negative gearing
• Expert insights from our special guest, Antonia Mercorella (CEO of Real Estate Institute of Queensland)

We’ve got fact checks, real-world examples, and expert conclusions to help you see the full picture. Plus, grab the slides from today’s episode here >>

Folks, no matter your views on this topic, we think it’s important to get the conversation going…so share this with a friend or someone you think who will be interested!

 

Free Stuff  

• Send us your questions on negative gearing & CGT!
  We’re going LIVE again next week (Wed 16th Oct @1.30pm AEDT), and this time Bryce & Ben will be answering all your questions. Keep them coming in on YouTube and Facebook folks!

• Negative Gearing Video Series + slides from this episode
  Want to know more about negative gearing or view the slides from today’s episode? Fill out the form here >>

• State of the Housing System 2024 report
  This is the first annual report of the National Housing Supply and Affordability Council and goes into extensive detail about the current state of the housing system.

• 2024 Australian Podcast Awards
  It’s the very last day to vote! If we’ve provided value in any way, we’d appreciate a vote for The Property Couch here >>

• Guests & Episodes Mentioned: 
  • RBA September 2024 | Can We Expect a Rate Cut This Side of Christmas?
  • Ep 280 | QLD Govt Shocker: Why the Renter Protection Package Doesn’t Protect Everyone – Chat with Antonia Mercorella
  • UPDATE: Shocker Revoked!! Why Property Owners Can Rest a Little Easier in QLD Now
  • Ep 382 | “Property Investors are Tired of Being the ATMs for the State!” – Chat with Antonia Mercorella

 

Timestamps  

• 0:33 – What we’re covering today & who this episode is for!
• 05:39 – The history of negative gearing
• 9:53 – Fact Check #1: Did rents increase?
• 14:22 – Fact Check #2: Did supply decrease?
• 18:18 – Negative gearing in the 2000s
• 20:02 – Fact Check #3: Greedy property investors
• 25:02 – Fact Check #4: Negative gearing doesn’t work
• 28:57 – Fact Check #5: Who benefits the most?
• 37:56 – Fact Check #6: Foregone revenue
• 42:30 – Fact Check #7: Investors don’t pay their fair share of tax
• 46:08 – The Capital Gains Tax (CGT) story
• 49:04 – Fact Check #8: Prices “took off” after this?
• 51:05 – How negative gearing really works – real-life example via Moorr
• 57:28 – Who are the Australians investing in property & why?
• 1:02:50 – Welcome Antonia Mercorella!
• 1:04:38 – What will happen if we get rid of negative gearing?
• 1:06:59 – Property investors are not ATMs for the states
• 1:13:46 – Advice for policymakers
• 1:16:21 – Housing supply challenges
• 1:23:53 – Housing demand
• 1:27:40 – Buyer intelligence/behaviour
• 1:29:03 – Technical ability to buy (true demand)
• 1:32:40 – Investor behaviour
• 1:35:05 – The cost to governments
• 1:37:21 – Consequences #1 and #2: Impact on rental supply & prices
• 1:39:01 – Consequence #3: Who actually benefits?
• 1:42:30 – Consequence #4: Risk of new & unaffordable stock
• 1:44:26 – Consequence #5: Risk of under resourcing
• 1:46:17 – Access the slides from today’s episode here >>
• 1:46:35 – Get the conversation going and share this with someone!
• 1:48:45 – After all is said and done, what’s our conclusion?
• 1:51:03 – Keep your questions & comments coming! We’ll answer them LIVE next week.