Gold Coast property: the winners and losers of the federal election
TENANTS are among those who appear to have come out on top following the Coalition’s shock victory in the federal election.
This time last week they were bracing for fewer housing options and rental price hikes under the Labor Opposition’s plan to axe negative gearing.
But the surprising outcome has offered tenants hope of a more level playing field, and is expected to restore confidence in the rest of the market.
Ray White Surfers Paradise Group chief executive Andrew Bell said tenants and homeowners in suburbs with a large number of rental properties, such as Southport, were the biggest winners.
He said they would have been impacted most by investors fleeing the market because of the elimination of negative gearing.
However, he said everyone would benefit in some way.
“There are really no losers,” he said.
“We’re very real estate oriented here so we’re happy the Opposition didn’t come in.
“That’s why the market has got a bit of spring in its step this week.
“The mood has lifted. It’s definitely made people feel far more optimistic.”
REIQ director and Professionals Surfers Paradise director John Newlands backed Mr Bell’s comments.
He said a large portion of the Coast’s market was investors so if they fled following dumping of negative gearing, property values would plummet.
“It would be a completely different place,” he said.
“(The market) wouldn’t be as solid as it had been with that element.”
Mr Newlands said first-home buyers also stood to benefit under the Coalition Government, based on its election promise to lower the amount needed for a deposit, but it was not clear what the scheme would look like yet.
He believed renewed confidence in the market would make it much more stable and better positioned for growth.
“I don’t think prices will go up dramatically. It will be a steady increase,” he said.
“There’s still great affordability on the Gold Coast.”
John Henderson Professionals Real Estate director Luke Henderson said house hunters instantly felt more confident about the market.
“I had a high volume of buyer inquiry on Sunday,” he said.
“I haven’t heard anything negative from a buyer or seller about Saturday night’s result.”
He believed sellers would benefit most because property values would gradually begin to rise again.
“I also think buyers who act quickly will benefit,” he said.
Mr Henderson said many buyers would wait for signs the market was lifting but said they might end up paying more.