Rents set to soar as landowners slugged with land tax rise

From the Sydney Morning Herald


Rents set to soar as landowners slugged with land tax rise

Rents are set to skyrocket as landlords attempt to recoup hefty bills from the State Government's controversial land tax.

But it won't be residents in Sydney's affluent suburbs who will shoulder the burden, a comprehensive survey revealed to The Sun-Herald shows.

Some suburbs in the marginal south-west, home to thousands of families struggling to find affordable accommodation, will be hardest hit...[/url]

Click to expand...

Hi all.

Although it would be nice to pass on some of the land tax bill to the tenants, I still think that the market drives what a landlord can ask for in regards to rent.
It has to be a widespread thing, i.e a large percentage of landlords putting pressure on PM's to increase rent, otherwise tenants would vacate your I/P for a cheaper one and then you have the problem of a vacant I/P as well as your land tax bill.

Just my thoughts

Regards
Marty

Really where do these reporters come from ?
Well actually I guess it's not their intelligence rather their desire for a headline.

In the linked article they printed :
"A shortage of supply [of rental properties] has happened and this is putting the squeeze on rents."

This is the reason that there would be pressure on rents.
It is a market economy after all, it doesn't matter how much we want to put rents up. However if the land tax was to cause a reduction in rental properties then that would be a market condition.

Otherwise as Marty suggested let's make it market wide, c'mon everyone don't be weak hearted put rents up. Nobody cheating now ... we need everyone.