Well here we go - hold onto your seats investors we're in the line of fire yet again.
This time however, we have at least one journo on our side.
The Gov't clearly feel they're backed into the corner and now it's time to strike out in a way they believe will appeal to their voters and thus get the popularity vote. Only this time, it may just backfire.
Grant Robinson says extending the bright-line test may be the way to go as one measure to 'control' house prices. The bright-line test is currently 5 years, and it was increased to it by National. Previously it was 2 years and this essentially caught all the house-flippers, speculators etc as they typically buy and sell within 2 years.
Heather says the extension of it to 5 years has done next to nothing to dampen house prices and she's not wrong.
The evidence is there for all to see - house prices rising, and we've also discussed the lack of 'real' action to increase supply' in many discussions (so I have added 'tags' so you can click on a tag and it will show you search results for that word or phase).
Questions for you....
So what do you think the bright-line test will rise to? My guess is 10 year but it could be as much as 14 years!
Will it be applied retrospectively? i.e. backdated to the beginning of this financial year - and this action legal?
cheers,
Donna
This time however, we have at least one journo on our side.
The Gov't clearly feel they're backed into the corner and now it's time to strike out in a way they believe will appeal to their voters and thus get the popularity vote. Only this time, it may just backfire.
Grant Robinson says extending the bright-line test may be the way to go as one measure to 'control' house prices. The bright-line test is currently 5 years, and it was increased to it by National. Previously it was 2 years and this essentially caught all the house-flippers, speculators etc as they typically buy and sell within 2 years.
Heather says the extension of it to 5 years has done next to nothing to dampen house prices and she's not wrong.
The evidence is there for all to see - house prices rising, and we've also discussed the lack of 'real' action to increase supply' in many discussions (so I have added 'tags' so you can click on a tag and it will show you search results for that word or phase).
Questions for you....
So what do you think the bright-line test will rise to? My guess is 10 year but it could be as much as 14 years!
Will it be applied retrospectively? i.e. backdated to the beginning of this financial year - and this action legal?
cheers,
Donna
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