The rules have changed — and new-build property came out the clear winner.
We flagged this shift a few months back. Now that the detail has settled, it’s worth spelling out exactly why we’ve been steering our clients toward new stock.
- New builds keep both concessions in full, with no expiry date attached
- Established properties purchased after 12 May 2026 lose full negative gearing from 1 July 2027 — losses can only offset other property income, not your salary
- The 50% CGT discount on those properties is also replaced with cost-base indexation and a 30% minimum tax
In South East Queensland alone, this policy shift is already redirecting investor demand into new-build stock in a market with a 10,000-dwelling undersupply. The same pattern is playing out in South Western Sydney, where the Liverpool LGA alone is forecast to add 100,000 residents by 2036 — demand the region’s current housing stock simply isn’t built for yet.
The bottom line: the tax advantages of new builds aren’t just stronger today — they’re likely to remain more favourable over the long term. Investors who act early can secure the best available properties before increased demand puts further pressure on stock and pricing.
At Love Property Australia, new-build sourcing isn’t a side offering — it’s where we saw this heading before the Budget confirmed it.
Want to know what this means for your specific situation? We’re a message, call or email away.
