Government policy ‘turbocharges’ gridlock market leaving buyers and sellers frozen

The government’s latest budget policies aimed at helping first-home buyers have instead turbocharged a “gridlock market” leaving both buyers and sellers frozen in place, while rental prices climb. Auctioneer and real estate veteran of 40 years, Tom Panos, has described the state of Australia’s property market as a “gridlock” where neither buyers nor sellers are able to make their next move. The real estate guru said the government’s approach has been fundamentally flawed, criticising the lack of focus on addressing housing shortages and instead manipulating tax reform. “It’s like (the government) has been moving the places on the monopoly board, it hasn’t created new homes, it hasn’t created new spots on the monopoly board. That’s what needs to be done to solve the issue.” MORE: Tax blow-up fuels record Aus landlord exodus Tom Panos speaking at the Geelong Advertiser Real Estate Roadshow. Picture: Alison Wynd MORE: Can you use superannuation to buy a house? He said the gridlock was a direct result of no public housing being built by the government in decades, who then shifted the responsibility to private investment by the Australian public through tax incentives like negative gear...