Because negative gearing and the CGT discount are being
retained for new builds,
there will predictably be a shift in investor
attention toward new construction - house and land packages, off-the-plan
apartments, purpose-built properties.
That's the government's stated intention. But investors
being pushed toward new builds is exactly the environment that property
spruikers thrive in.
When the tax incentive is primarily attached to a particular
type of product, unscrupulous promoters will market that product hard, often to
inexperienced investors.
The pitch doesn't change: get the tax benefit, get into
property, let us organise the finance and the paperwork.
What the inexperienced investor often discovers later is
that they've paid a premium price for a property in a location that doesn't
generate the kind of long-term capital growth that actually creates wealth.
I've always believed that the quality of the asset matters
more than the tax structure around it.
New builds in oversupplied locations with poor
owner-occupier appeal don't magically become good investments because they come
with a tax advantage attached.
With RealRenta, you can efficiently manage various types of
properties, including residential, commercial, share, and student
accommodations. Our platform makes property management accessible and
affordable, costing less than a cup of coffee per week.
We also offer a free version for you to explore. I encourage you
to check it out and see how RealRenta can simplify your property management
needs.
Jason Gwerder
Wednesday, 2 September 2026
