And then, when the increased grant even further inflates house prices, we can call for it to be raised again, and so on forever:
The residential housing market had changed significantly since 2000 and the $7000 grant was no longer adequate, [mortgage broking company] Loan Market said.
“The economics that drove the original payment are outdated and need to be reviewed as per any government grant,” said the broker’s chief operating officer Dean Rushton on Wednesday.
Fortunately the commenters on the piece have treated the self-interested, sociopathic lobbying by these corrupt parasites with the contempt it deserves.
The FHOG makes housing much less affordable and pushes young Australians further into debt. It should be abolished, not raised.
ELSEWHERE (16/6): Weird, what’s a banker doing questioning negative gearing? I mean, I agree it’s a terrible and destructive policy, but the banks have been profiting handsomely by it. What would make them stand against it? (Since “principle” is hardly a plausible explanation.)