Latest News

REINSW says Premier Nathan Rees has the opportunity to make NSW the ‘state of choice’ for property investment by introducing a range of property tax incentives.

REINSW President Steve Martin says the proposal put forward by the REINSW could see government revenues from stamp duty actually increase over time, but only if the Premier shows real leadership on the issue.

“The plan we are putting to the government is a win/win for investors and for treasury coffers,” said REINSW President Steve Martin.

“Not only will it kick start investment in the property sector, it will also start to reverse the decline in state revenues as a result of the economic downturn.

“But the proposal can only happen if the Premier demonstrates he has the leadership to make the tough decisions in difficult times.

“The key elements of the proposal include:

1. A 50% reduction in stamp duty for 6 months; and/or
2. Introduction of installment payments for stamp duty over 3 years.

“Cutting stamp duty by 50% for six months will deliver the kick start that the NSW economy needs.

“This proposal would mirror the continuation of the First Home Buyer’s boost by the Federal Government and would encourage investors back into the market.

“This would go a long way to also improving the Treasury’s bottom line by reversing the declining trend in stamp duty revenue evidenced over the past 18 months.

“It’s far better for the Treasury to collect a smaller percentage of something than a higher percentage of nothing.

“Alternatively a new ‘Pay as you Go’ scheme which would allow stamp duty to be paid off over a period of 3 years would also provide badly needed stimulus for the property sector.

“These are simple initiatives which would give NSW the competitive edge over other states and make us the ‘state of choice’ for property investment, especially as we start to move towards economic recovery.

“The Rees Government must act now and grab the opportunity to put NSW ahead by changing a tax system which doesn’t work and actually discourages investment”.

“Tough times present opportunity for strong leaders with courage and vision. Mr Rees, the stage is set. New South Wales now awaits your response,” said Mr Martin.