Applying for first home loans in Queensland could soon become a more attractive prospect, especially if reforms proposed by one group are brought into force. The Real Estate Institute of Queensland (REIQ) has put forward a number of suggestions that may open up the market to anyone who is yet to buy their first home.
One of its ideas is that first-time buyers should be given a hand with their initial deposit, which could be achieved by enabling them to access their superannuation. However, there would have to be strict conditions to ensure the money is repaid within a given time frame.
The REIQ has also indicated that abolishing stamp duty may be just what is needed to stimulate the sector.
“Stamp duty on property transactions should be abolished and replaced by a more efficient source of revenue,” said CEO of the REIQ Antonia Mercorella.
“It’s a regressive tax which imposes additional costs on property transactions, thereby discouraging turnover of housing and distorting choices between renting and buying.”
Eliminating this additional charge may make the prospect of owning real estate more appealing, especially for anyone who might have affordability concerns. At the moment, the main problem is that stamp duty is reducing investment in the sector, the REIQ claims.
Finally, the group has called for first home owner grants to be brought back into force in Queensland. This would offer some extra financial assistance to those who need it most, while also helping stimulate the wider economy.
Earlier this month, the REIQ indicated that all real estate practitioners should be required to undertake compulsory professional development. This would add greater consumer protection, while also ensuring that all property transactions are carried out in the most legally sound way.
This would be achieved by giving real estate experts access to all the latest information on law changes, as well as anything else that might impact the advice they provide.
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