Investment Property Taxation | A Solution To All The Empty Homes?

Investment Property Taxation Can It Solve The Housing Crisis?

Investment property taxation is being suggested as a way of prompting owners to let their properties. The lights are out on a million Australian homes every night.

investment property taxation on empty homes

 

Taxing empty homes: a step towards affordable housing, but much more can be done

Across Australia on census night, 11.2% of housing was recorded as unoccupied – a total of 1,089,165 dwellings. With housing affordability stress also intensifying, the moment for a push on empty property taxes looks to have arrived. The 2016 Census showed empty property numbers up by 19% in Melbourne and 15% in Sydney over the past five years alone. Taxing empty homes: a step towards affordable housing, but much more can be done

Victoria Is Leading The Charge

The Victorian state government is the most advanced with plans to tax properties that are vacant for more than six months per year.

Taxing empty homes: a step towards affordable housing, but much more can be done

Against this backdrop, the Victorian state government has felt sufficiently emboldened to legislate an empty homes tax. Federally, the shadow treasurer, Chris Bowen, recently backed a standard vacant dwelling tax across all the nation’s major cities.

Emulating Vancouver, Victoria’s tax is a 1% capital value charge on homes vacant for at least six months in a year. Curiously, though, it applies only in Melbourne’s inner and middle suburbs. And there are exceptions – if the property is a grossly under-used second home you pay only if you’re a foreigner. Taxing empty homes: a step towards affordable housing, but much more can be done

Don’t Worry About Investment Property Taxation A MacH 10 Leased Property Is Never Vacant.

MAcH 10 properties are leased for periods between 10 and 25 years include full maintenance and property management and a “make good” of normal wear and tear at the end of the lease.

MAcH 10 system was designed to make living in their communities affordable housing for key workers. Police, Nurses, Teachers and their support staff. So your tenants are well employed, stable and at the same time you’re improving your community. The head lessee is a registered housing provider usually Tier One. It’s not unusual for them to have a balance sheet in the hundreds of millions of dollars, so your rental income is guaranteed.

Find out how a MAcH 10 leased property can assist you with investment property taxation and your retirement plans in general. There’s properties in most areas and they fit almost any budget.

Fill out the form below and we will contact you ASAP.

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