The Impact of the Federal Budget on the Property Market
The impact of the federal budget on the housing market was recently evaluated by Peter Chittenden, managing director for residential of Colliers International.
Chittenden wrote that closer examination of some of the key policy outlines is bound to have a deeper effect on the housing market overall than would appear at first glance.
Chittenden noted that out of a handful of key policy changes of substance that will have an impact on the housing market, it is the government’s decision to provide assistance to older Australians downsizing their home without affecting the Age Pension that he finds interesting.
This important and targeted policy aimed at Baby boomers will create generational change in the housing market for years to come, as Baby boomers currently hold much of the housing stock.
He pointed out that if they remain reluctant to move, the ramifications need to be fully debated.
Government policy around the baby bonus and paid maternity leave is another area that will have a significant impact on population growth, bringing about demographic change and reshaping housing demand.