The REIA has called on the government to increase the First Home Owners Grant.
In its pre-budget submission, the REIA has suggested a raft of measures it claims will increase housing affordability. In addition to increasing the First Home Owners Grant, the group has also called for a retention of negative gearing, a commitment by the government not to increase capital gains tax on property investment or institute the tax on owner-occupied homes, the removal of stamp duty and access to superannuation to purchase homes.
REIA president David Airey stated that the group's submission was focused on housing affordability, and claimed the measures would make home ownership more attainable. Along with an increase to the FHOG, Airey suggested the government introduce a new scheme to encourage young buyers to contribute to voluntary superannuation by allowing them to access the funds for a deposit on a first home.
“The scheme would be an adjunct to the First Home Savers Account but would allow flexibility for the saver to decide whether all or part of the voluntary superannuation payments was needed to augment the home purchase,” Airey said.
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