REIQ calls for major housing reforms ahead of Queensland state election

The Real Estate Institute of Queensland (REIQ) has released a comprehensive policy paper calling for bold housing reforms ahead of the upcoming Queensland state election in October 2024.

REIQ CEO Antonia Mercorella said: “The REIQ is advocating for an overall target of a home ownership rate of greater than 70% for Queensland by 2032.”

Key proposals from the REIQ’s ‘Levelling the playing field’ policy paper include:

1. Stamp duty reform and extended concessions for first home buyers and downsizers.
2. Three options to help close the deposit gap for first home buyers, including expanded loan schemes or government guarantees.
3. Extension of the First Homeowner Grant for established housing in regional Queensland and renovations of unliveable properties.
4. Reversing recent rental legislation changes and extending tax incentives to all property investors.
5. Setting building approval targets for local councils and streamlining planning processes.
6. Measures to address construction industry challenges, including apprenticeships and modern construction methods.

Mercorella highlighted the need to address key obstacles to home ownership, stating: “We know two of the key obstacles standing in the way are coming up with the 20% deposit to avoid lenders mortgage insurance, and stamp duty payable at the outset.”

The REIQ is calling on the state government to negotiate with the federal government for stamp duty reform in exchange for a better GST outcome.

The policy paper also addresses rental market concerns, with Mercorella noting: “Queensland’s high rental population is largely housed by small private investors, yet they’ve been subjected to five phases of increasingly complex changes to rental regulation.”

The REIQ argues that recent rental reforms have been unbalanced and impractical, potentially discouraging investment by everyday Queenslanders.

To boost housing supply, the REIQ proposes incentivizing local councils to meet building approval targets by linking these to state government infrastructure grant funds.

The institute plans to follow up its policy recommendations with each of the major parties in the lead-up to the October election.

The REIQ’s full policy paper is available for download on their website, outlining detailed proposals under six key pillars aimed at stabilizing the housing sector and promoting a balanced marketplace.