Why Super for Housing is a bad Idea

[@Dylan-zg2jl]

Keep up the good work Purplepingers, I'm old AF but I reckon you're a legend and a great example for your generation!

[@Gazzz010]

Off the bat I thought this sounded like a decent idea (Headline reading only)!!! however your video is just another reason why you hit the nail on the head & give some of us simpletons a well explained argument for the opposite.... Thanks mate :)

[@RS-rj5sh]

Spot on with this. All allowing people to use a big lump sum of their super for a house deposit will do it push house prices up. Economics 101, throwing more dollars at an asset does NOT make it cheaper. The Land Rats "industry" (aka Real Estate Agents) have been pushing for this rubbish for years, and not out of their BMW driving benevolent hearts. Because they know that if a FHB has a big lump sum of money in their pockets, the vendor is going to ask for a higher sale price, simple. The exact same thing happened when the FHB Grants came in.....all that happened was vendors raised their sale price expectations by the amount of the taxpayer funded grant. No politicians of any persuasion want lower property prices for a variety of reasons, and the Liberals especially don't want them due to their vested interests and mates in Big Business and the Property Council. 😕

[@andrestand1]

Love your work mate

[@Beaut_Beau]

Excellent assessment as always Pingers!

[@charmayd]

this is plain as day I saw a poll on fb through abc about whether or not we should do this... and saw significant amount of people I know vote yes! I was so shocked, can people be this short sighted? its easy to prey on those in desperation:( thank you for sharing.

[@squeakyrabbit]

Thanks for your work Jordie. Appreciate you 👊

[@topher1976au]

Well said mate!

[@middlecovemotors2474]

How many investment properties does Albo have again?

[@myspace2001]

Ah yes, the whataboutism.

[@middlecovemotors2474]

Whatabout an answer to the question?

[@shanemaher5150]

You are on the Ball PP. It all cost’s us in the long run. 😮

[@myspace2001]

Just get rid of negative gearing and see what happens to the housing supply!

[@middlecovemotors2474]

Totally agree. But the pollies and their mates have too many investment properties themselves to ever remove negative gearing. The only solution would be to remove the current duopoly from our political system.

[@rcg1111]

NZ has had this in place for some time. Super is my money and quality of life would increase significantly if my family could finally stop renting. I don't see a time where I will ever be able to retire and I do not want to end up homeless. Everything costs the taxpayer. We send billions overseas and keep importing new citizens. That drives the price of housing up more than this proposal.

[@ix-Xafra]

If I had any super left, I reckon I'd gladly swap it for real estate as a safer bet. Super could evaporate in a second but real estate is gold whilst there's high immigration.

[@myspace2001]

20-30% of your super is probably invested in residential and commercial property anyway - check your fund PDS. You can also usually change your investment options to focus more heavily on property - lower returns but lower risk

[@rcg1111]

Amen to that 🙏

[@myspace2001]

FYI: There is already a mechanism for using super to buy your first home - the First Home Super Savers Scheme (FHSSS). It lets you save a bit on tax and earn some interest on your savings to buy your first house. Thing is, it can only be done with voluntary contributions, not just the compulsory ones. And there are a bunch of other caveats too, I think it can only be on new builds.

[@kindrayvette4573]

You can buy an existing home with FHSS. You cannot touch any of the super your employer has to pay for you (super guarantee) You only reduce your taxable income if you do pre tax contributions (either salary sacrifice or claim a deduction on post tax contributions) You must have never held interest in real property before (unless you can prove hardship, eg lost the home in divorce)

[@michaelwebber4033]

It's about the same in New Zealand. Although we lost the majority of our super way back in the late 70's and early 80's

[@jg5032]

Agreed, we should not have policies that excessively increase demand for housing... looking forward to your video on moderating immigration... 🤣

[@brendanmichaelwelsh6260]

Yeah but you've hit the LNP nail on the head. They as a party want a poor AF workforce that has to keep working till they drop. Suits them too a tee. Remind me again how exactly think they're the "better econimic managers?" or are they continuing to pray that the lie continues to stick ?

[@cathyjoy9214]

It's the whole ability to invest in property which has pushed up prices and all superannuation did was take away the ability to save up for a home deposit. Instead it's tied up till you are old.

[@aaronhogan2371]

It's not that it would be a $75k jump in prices overnight, its the effect of paying interest on that extra $75k compounded over a 30 year mortgage! if the liberals are serious about the "super is your money" line of argument then they could propose to use the Canadian Tax Free Savings Account as a model. The tfsa lets you contribute up to a certain amount yearly and invest it in whatever. All growth is tax free as the name implies. You may then draw down on it as required for things like your house deposit. This would have been a preferable thing to do when super was raised from 9% instead of locking even more of our income away in the super system.

[@mattwood8659]

Dutton isnt even relevant anymore I don't know why the media is asking him

[@falafelscobes6122]

The Federal Government is really good at creating problems and then saying “oh let us take over” we will fix it. Why do we need government involved in real estate ? Do Australians have too much borrowed and have run out of capital? Have families been torn apart and wealth is sold overseas and not inherited?

[@mj.l]

nice to see the sensible policy proposals we can look forward to when albo hands the next election to PM dutton

[@melbomartin]

It's a trash idea and it is not a solution.