Dutton’s tax-deductible interest for first homebuyers is a breakthrough

First homebuyers will benefit from tax deductible mortgage interest under Mr Dutton's policy. 

Like many conservatives, I have been waiting for something original from the Coalition that will differentiate them from the socialists. Labor has proven time and again that socialist approaches to housing affordability do not work. Today, I am pleased to report that Peter Dutton has announced an Australian first: First homebuyers will be eligible for tax deductions on their mortgage interest for new builds for the first five years of their mortgage.

This is great news, and the policy echoes my argument in the Speccie from this time last year: How about tax deductions for your home loan interest?

Writing in the Unfiltered newsletter, Alexandra Marshall had this to say:

Michael de Percy also watched the launch and picked out policies directed at homebuyers as the most important. ‘I am pleased to report that Peter Dutton has announced an Australian first: First homebuyers will be eligible for tax deductions on their mortgage interest for new builds for the first five years of their mortgage.’

Writing in the Morning Double Shot newsletter, Terry Barnes had this to say:

Michael de Percy watched the Coalition launch, and was highly impressed with Dutton’s commitment to provide tax deductibility on mortgage interest to low- and middle-income first home buyers. Provided it’s offset, it’s sound and targeted policy, incentivising both buyers and sellers but not necessarily inflating home prices, and it’s a real difference from Labor’s foolish promise to build 100,000 new homes and guarantee $1,000 tax deductions for all. Marketed well, the mortgage interest deduction policy could have been the blockbuster barbeque-stopper the Coalition badly needed in the first week or even before the election was called: why they held it back until well into the campaign is a mystery. As for the Coalition’s tactics, today’s Newspoll tells the story, as the Coalition’s primary vote falls for the third week running. The only bright spot is that Labor’s primary vote is still historically low, and the minor parties and independents are the beneficiaries.

My latest in The Spectator Australia, Dutton’s tax-deductible interest for first homebuyers is a breakthrough.

Comments

Post a Comment