“We have consistently said, including to the Greens, that the key to the solution for housing in this country is housing supply" - Albanese
If housing supply were raised to such a degree that house values in most areas dropped dramatically and rents stabilised back to where they used to be years ago, that would mean people with investment properties could lose out on hundreds of thousands of dollars that they otherwise would have eventually realised. If supply was aggressively dealt with and the bubble outside of inner and Harbourside Sydney popped for good then some investors could lose millions.
How many people here who own investment properties, or whose parents own some, are secretly scared of house prices being lowered sometime in the future and rents going way down? Do you feel your own wealth, or wealth you stand to inherit one day, is being attacked by talks from the PM and endless talk from the Greens about tackling housing supply and ending incentives for investment in existing properties?
Someone else pointed out that if you have children then even if you buy at the peak you should want them to fall sharply, otherwise all your kids will have to pay the inflated prices. You buy at two million and you have four kids. If prices stay where they are then your kids will have to pay eight million to get houses each. If prices halve then your kids will only have to pay four million, so even though your house lost a million in value you are still ahead as a family unit. Even if you're paying a mortgage for two million and the value is halved, you're still ahead because your kids will have four million in mortgage instead of eight million. Houses could become free and you're still far ahead as a family despite a two million dollar remortgage on a now monetarily worthless house.