Government ‘very confident’ in Treasury’s forecasts on rent prices
Mark Butler says the Labor is still confident of Treasury’s forecasts of the rental market, that showed rents would only increase around $2 per week due to the budget changes to negative gearing and capital gains tax.
Yesterday several media outlets reported NAB had warned rents could rise up to 30% (but the PM rejected it and told question time the bank had clarified its position that it didn’t provide rental forecasts). Today, the Australian newspaper is reporting that real estate agent Ray White is backing in that figure.
Speaking to ABC News Breakfast this morning, Butler is asked if Treasury got it wrong – nup, says the health minister:
double quotation markWe’re very confident in our forecast. As Jim Chalmers has said, it’s important to give these sorts of changes some time to settle down … But just think about it logically, James [Glenday]. Remember that the 2.5 million private rental properties in the market that are owned by investors, if they were owned already at budget night and were being negatively geared, that can continue.
