Labor is playing with fire and this will backfire badly - just like it did with Keating - and all Australia will get burnt badly from this.
Rent paid these days no where near covers the mortgage repayments. Are landlords going to keep forking out buckets of money to pay for people to live in their property and depreciate it if they can't get their money back when they sell it?
Of course not! So they got two choices - kick the renters out and sell it or put the rent up!
Grandfathering this labor policy and exempting new homes will make no difference. Because as soon as labor gets in or you buy a new property, it becomes a second hand property and can no longer be sold as an investment property.
So when you sell your investment property, only broke first home buyers will be bidding for it and you will be very lucky if you get back what you paid for it.
It all adds up to a massive property crash right at a time when there is record debt and everyone has their home mortgaged to the max.
