Price of housing outstrips rent (12/03/07).
Remember that whilst rents haven’t kept pace with house prices , neither have wages. Landlords have many other advantages such as negative gearing (at around $2.4billion dollars p.a in subsidy to the property lobby, mainly coming from lower & middle class citizens who could never dream to afford a ‘Tax Minimising lawyer/ accountant’).
Landlords also have the ability to increase their borrowing capacity on an appreciating property. A 154% increase over 15 years and still they aren’t happy?
Don’t forget to see this MUST SEE videocast from the ABC’s MediaWatch on “Who is really raising the rent?”.
