Queensland Land Tax Scrapped

Great news has occurred for investors that have investment properties in Queensland. Queenland Land Tax Scrapped. In other words, the Queensland government were going to add more tax to your land component because of owning properties in different states.

But the good news is it has been scrapped and has been confirmed by the Real Estate Institute Australia its massive! because proposing this during a rental crisis especially when vacancy rates are sitting at or below of 1% is silly and many people agree the impact it has had for renters.

The rental market has been tightening. This tightening of the rental market is irreversible, and that decision is not going turn around instantly and supply of new housing and investment properties to the market that will enable rates to stop going up. We are already seeing 10 to 15% rental growth in various parts of Brisbane were seeing varying rates but all markets especially in Brisbane are tight right now, that a huge burden on tenants but this will only increase investor profits!

We are going to see fewer housing builds because of the higher interest rates and higher construction costs, fewer apartment projects because of construction costs, and so within the next 12 to 24 months there will be fewer homes available. This will put upward pressure on the rental market.

Once the tightening cycle starts to ease, it is forecast to see positive capital growth again in first quarter 2023. Even though we are still seeing capital growth in some markets. The best returns will be seen in markets that are supported by first-home buyer grants, first-home loan guarantees or stamp duty exemptions for eligible buyers.

This is especially good news for investors who held on through this period instead of selling their properties.