Property experts are calling on the NSW government to give back to homebuyers after it was announced they had “wiped out” the state’s debt for the first time in 20 years.
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Last week treasurer Gladys Berejiklian proclaimed the Baird Government was “firmly in the black” in 2015-16.
The Total State Sector Accounts revealing a final surplus of $4.7 billion – an improvement of $1.3 billion since the June 2016 Budget forecast.
Experts believe there’s never been a better time to reduce stamp duty and reduce the tax burden on first homebuyers.
Property Council Illawarra Regional Manager Jancey Malins welcomed the news but said it should be the trigger to reduce the costs that drive up housing prices.
“The Government’s own figures show they will reap $8.9 billion in stamp duty revenue in 2016-17,” Ms Malins said.
“[They] collect almost $23,000 in stamp duty from a typical Wollongong property. Five years ago it collected $15,600 from the same property – that’s almost a 50 per cent increase.”
The Real Estate Institute of NSW has also joined the campaign, pushing to cut stamp duty by half for first homebuyers purchasing a residential property of less than $1 million.
“A budget surplus, which has been created by the property market is the opportune time for the NSW government to make a difference in the lives of those trying to get on the property ladder for the first time,” REINSW President John Cunningham said.
“The NSW government must recognise that it is payback time for the property industry and amendments to stamp duty can only benefit our great state.”