What should I do if I lose CGT discount and negative gearing?

CGT change doesn't matter unless you decide to sell.

Negative gearing changes won't prevent landlords from using expenses to offset rental income....

If you hold a property long enough, the rental income will end up exceeding your holding costs making the property positively geared (if it wasn't already).

So this legislation change will just mean property investors will just hold their properties indefinitely further reducing the number of properties for sale and increasing property prices.

Kind of the opposite of what first home buyers want... but they will vote for it anyway because they think it will somehow cause the property market to crash and make houses cheap for them to buy ‍♂️
 
Let’s focus on investments that bring in more cash . Negative gearing only helps if you’re losing money (not great). So, why not earn a dollar and keep 70c way better than losing a dollar and getting just 30c back!
 
I invested in lower valued properties without negative gearing, and it ended up keeping more first home buyers out of the market. That truth now fills me with deep regret because that's not what Labor and a colleague said would happen.
 
Hey, FA here. It's the same old thing landlords have been doing for years and years.

They raise rents and pass the costs down the line to make up the difference.

It doesn't fix the housing crisis. It just gives the ATO more tax revenue, and that cost ends up being paid by renters. Simple as that.
 
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