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Jessica Darnbrough
The Prime Minister’s decision to announce the federal election so far in advance could have a negative impact on the housing market, RP Data’s research director Tim Lawless has claimed.
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Potential homebuyers are very nervous at the moment and the fact that a federal election is now approaching will more than likely add to their nervousness.
“There is always some uncertainty surrounding a federal election, and even a state election, and that will subdue activity – especially in certain markets such as Canberra,” he said.
“A lot of investors will be wondering, Are there going to be changes to the taxation regime if there is a change of government? Others will be wondering if there will be changes to the various homebuyer grants. Because of this, I think we can look forward to seeing a lot of potential homeowners sitting on their hands.”
Last week, Ms Gillard came under fire for her decision to announce the September 14 election date, with many arguing the Prime Minister had effectively launched the longest election campaign in the nation’s history.
But Ms Gillard defended her decision, claiming it was important for Australians to know the date well in advance so they could plan around it.
“It should be clear to all which are the days of governing and which are the days of campaigning,” Ms Gillard said.
“Announcing the election date now enables individuals and business, investors and consumers, to plan their year.
“But the benefit of fixing the date now is not just the end of speculation about election timing; it gives shape and order to the year and enables it to be one not of fevered campaigning, but of cool and reasoned deliberation.”
