Due to recent negative gearing changes announced by the federal government, Sydney mortgage broker Maria Papa advises investors to concentrate on new builds and set their sights on areas that are still experiencing growth.
Key Points
- Negative gearing means your investment property costs more to run than it earns in rent. This net loss is subtracted from your salary, lowering your overall income tax.
- According to the Australian Tax Office (ATO), beginning 1 July 2027, negative gearing for residential property will be limited to new builds. Those who exchanged contracts on an established residential property before 12 May 2026, are exempt from these changes until they sell the property.
- Papa notes, there are early signs that the Australian real estate sector is beginning to cool – particularly in Sydney and Melbourne, which may pave the way for first home buyers to enter the market.
📢 Where to Catch SBS Filipino
🔊 On Air – Tune in to SBS Filipino on radio stations across Australia and website live stream, and TV Channel 302 from 10 AM to 11 AM AEST daily.
📲 Catch up episodes and stories – Visit sbs.com.au/filipino or stream on Spotify, Apple Podcasts, YouTube Podcasts, and SBS Audio app.
📣 Follow Us on Social Media – Stay updated by following us on Facebook, Instagram and YouTube.
Share
