SINCE 2009 there has been much media reporting of the wealthy Baby Boomers living
in $MILLION Mansions enjoying their investments, collecting pensions while denying Millennials the opportunity of entering the First Home Buyers market let alone affordable rentals as they pay the taxes to benefit the Boomers …
BUT what happened in 2008, we put it to you, that the Developer Lobby – the Property Council of Australia and the Urban Taskforce went to the Australian Government and said: “We are going broke … you have to fix this! We have a plan for you … let’s build and sell up to 100 per cent of our new dwellings off the plan to foreign investors!”
THUS they succeeded in pulling off this “Sting” …. ouch! A giant PONZI Scheme!
WHAT this means is that the developer lobby are building new dwellings … homes for foreign buyers. Not only apartments but cottages, duplex, townhouses, rows of terraces, manor homes ….
HENCE the FIRB ruling change of 2008 was implemented in 2009.
THIS along with the negligence of the Turnbull Government to introduce the second tranche of the Anti-Money Laundering Legislation to be applied to the Real Estate Sector … having been shelved again early in 2018 … it appears to have been indefinitely deferred.
This allows the Proxy (the onshore buyers agent) to purchase not only “new” homes but established homes and to avoid the higher Stamp Duty, fees and surcharges for foreign buyers introduced by the Turnbull Government.
AS reported in the Australian Financial Review 70 PC of Chinese pay cash to buy Australian Homes Sparking Money Laundry Worry!
And by Credit Suisse … it has risen to 82 PC of Chinese pay cash to buy Australian Real Estate!
The Great Australian Dream Gone … thanks to Government policies …
A whole Cohort of Australians have been denied the opportunities of those who have gone before them!
Here in Australia we have the Elite Housing Class and the Renting Class made up of not only the “working class” but also the “middle class”!
WHAT we do not hear of …
-any mention of the ‘new’ housing market target 100% for foreign buyers esp. Asia
-no mention of the increased competition from overseas hiking up the price of housing
-the proof … developers have warned that without the Asian market prices will fall and construction will crash!
-what has been overlooked is the very limited capacity people have in securing jobs outside major centres
-sure cheaper housing can be found well beyond the major centres, reason being, not many people want to live there
-indeed some more remote locations have cheap housing, all the time, little or no capital growth, don’t recall reading that
-ok, buy small, less desirable location, get a toe in the door but it can be a nightmare too, from poor quality housing
-huge renovation costs, difficulty in getting repairs done, unknown past use, the list goes on
DO you get the impression that numerous articles are subtly asking the reader to get used to the idea that your aspirations are wrong?
-that it is ok to rent; they do it overseas so why not here?
HOWEVER in Australia there are no regulations to ensure Renters have the security of long tenure and quality affordable housing!
-the old hairy chestnut, it’s the regulations not keeping up with the times, we need to change the rules, but to suit who, developers?
THE NSW Baird Government enhanced this Ponzi with its “Plan for Growing Sydney” and with the subliminal messages of Sydney is Growing; the population growth; the construction boom especially in Sydney and Melbourne with high immigration and 1.3 million Visa holders all needing housing!
Followed by the formation of The Greater Sydney Commission to create three cities within Sydney, a second airport for the Sydney Basin, and yet another lucrative avenue for developers of the Medium Density Housing Code having rezoned our low-density suburbs for medium density of as many as 10 terraces on a 600M2 lot!
The Medium Density Housing Code too can be sold 100 PC to foreign buyers with less than 50 units in a development … (May 2017 Budget Regulation ).
ADD to the competition VISA Manipulation including the Guardian Visa from 1 July 2016 primary school students as young as 6 years of age can apply for student visas and their guardians can also apply for Guardian visas (subclass 580).
These visa-rule changes, which were announced during Prime Minister Malcolm Turnbull’s visit to China in Apri 2016 also mean non-residents can buy several new properties or one existing property.
HERE on this Website you will find CAAN Posts not only concerning how a whole Cohort have been locked out of home ownership and affordable rentals but related issues of the lowest wages growth; insecure tenure; the privatisation of our Public Services & Assets; the loss of Standards in building practices; compulsory acquisitions; the loss of our heritage; the loss and destruction of our environment, the pulling apart of all that we have valued …
Community Action Alliance for NSW (CAAN) Facebook:
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