• Thu. Feb 22nd, 2024

    REIQ CEO Proposes Radical Stamp Duty Overhaul to Boost Homeownership

    ByNuala Hafner

    Jan 29, 2024
    REIQ CEO Proposes Radical Stamp Duty Overhaul to Boost Homeownership

    In a bid to address the growing concerns among first home buyers in Queensland, the Real Estate Institute of Queensland (REIQ) CEO Antonia Mercorella has proposed a radical overhaul of stamp duty regulations. While the current threshold for stamp duty exemption sits at $500,000, Mercorella believes that this figure should be raised to at least $750,000 to reflect the current state of the property market.

    Mercorella argues that the affordability of housing in Queensland, in comparison to the southern states, should make homeownership more attainable. However, the low levels of homeownership in the Sunshine State indicate otherwise. With rising property prices and interest rates, many aspiring homeowners are finding it increasingly difficult to save for a deposit and cover the upfront costs of stamp duty.

    By raising the stamp duty concession threshold, Mercorella believes that confidence among first home buyers would be restored, as it would remove one of the major financial obstacles they face when entering the property market. The commitment from the State Opposition to consider this proposal has been welcomed by the REIQ as a hopeful sign for the future of home ownership in Queensland.

    While the current opposition has shown support for the idea, Mercorella emphasizes that a specific figure for the revised threshold needs to be provided to give the commitment substance. The REIQ ultimately advocates for comprehensive stamp duty reform, with the revision of the threshold serving as a sensible starting point.

    As the real estate landscape continues to evolve, it is necessary to consider innovative solutions that make homeownership more accessible for aspiring buyers. By undertaking a radical stamp duty overhaul, Queensland will take a step towards empowering a generation of Queenslanders to achieve their dream of owning a home.

    FAQ Section:

    Q: What is the proposal made by the Real Estate Institute of Queensland (REIQ) CEO Antonia Mercorella?
    A: The proposal suggests a radical overhaul of stamp duty regulations in Queensland, including raising the threshold for stamp duty exemption from $500,000 to at least $750,000.

    Q: Why does Mercorella believe the threshold should be raised?
    A: Mercorella believes that the affordability of housing in Queensland, compared to the southern states, should make homeownership more attainable. However, the low levels of homeownership in Queensland indicate otherwise.

    Q: What are the financial obstacles faced by first home buyers in Queensland?
    A: Rising property prices and interest rates make it increasingly difficult for aspiring homeowners to save for a deposit and cover the upfront costs of stamp duty.

    Q: What is the goal of raising the stamp duty concession threshold?
    A: By raising the threshold, it is believed that confidence among first home buyers would be restored, as it would remove one of the major financial obstacles they face when entering the property market.

    Q: Is there support for the proposal?
    A: Yes, the State Opposition has shown support for the idea, and the commitment to consider this proposal has been welcomed by the REIQ as a hopeful sign for the future of home ownership in Queensland.

    Definitions:

    – Stamp duty: A tax imposed on certain documents, such as property sales, payable to the government.
    – Threshold: The level at which something starts to be effective, applicable, or noticeable.
    – Homeownership: The state or condition of owning a home or property.

    Related links:
    REIQ official website
    Queensland Government First Home Grant
    Queensland Government Buying and Selling Property