The Project host Waleed Aly said it’s time to shut down negative gearing

We’ve heard the words ‘negative gearing’ being thrown around for the last 15 years but only recently has it become

We’ve heard the words ‘negative gearing’ being thrown around for the last 15 years but only recently has it become such a big talking point in Australia. It’s costing our children and grandchildren dearly, meaning the Australia dream of owning your own home is further and further away thanks to investors who take advantage of the scheme.

But The Project host Waleed Aly is not having a bar of it, and after saying earlier this week he has to rent in Melbourne due to soaring house prices, the acclaimed journalist launched into an attack on negative gearing and its impact on everyday Aussies.

In his Something We Should Talk About segment last night, Aly said, ‘it’s time to shut this party down’ so houses can be less of an ‘investment for the rich, and a bit more of a, you know, a home’.

‘The cost of the average house is roughly 4.3 times household income,’ the host added. Which is amazing considering so many more houses have two incomes now. So good luck if you’re single.’

That’s in comparison to 1960, when the average house cost roughly 1.6 times a household income.

‘Economists agree, negative gearing pushes house prices up, [and] contributes to making our houses some of the most expensive in the world…’ Aly said.

Aly referenced modelling from the Australian National University’s Centre for Social Research and Methods, which called Labor’s policy ‘the biggest housing affordability policy the country has seen’.

It found Labor’s proposal would ‘slow the growth of house prices, increase new construction’ and ‘raise billions each year for the budget’.

Aly said Bill Shorten is “selling us common sense. Moderation. Tax reform. All really boring things, which is a problem”

“Bill’s saying shut the party down, and we all know, no real Aussie likes a party pooper.

“That’s until you realise that unless you’re a baby boomer, or apparently an actual baby, you’re not invited to this party.

“It’s time we shut the party down,’ he said.

Do you agree? Do you think negative gearing should be shown the door?

  1. Yes, I agree that negative gearing should be shown the door. It is a tood for concentrating wealth in one area of society and is destructive for the whole society in the long run.

  2. colin  

    I agree about getting rid of neg gearing. Australia alone does it. But as for Waleed Aly having to rent . maybe he and his wife need to lower their needs to be a little more realistic. I think it suits him to rent,

  3. Richard Crispin  

    So he is now an economist. Why do you even bother reporting anything he says? Opinionated goose full of his own self importance.
    ( and l don’t negative gear).

    • Kaye  

      Waleed is a lawyer, an academic, a writer, a musician and media presenter, well qualified to comment I would think. What qualifications do you have to argue the other side of the coin. I agree with him and I negative gear. With so many superannuation funds buying into property and foreign investment added to the mix, housing is rising to ridiculous levels.

  4. Maureen Le Scoul  

    Not everyone who negatively gears are rich, we have scrimped and scraped to afford the deposit on an investment property as we did not have Super when we first joined the workforce, in fact it was only in our forties that it became a compulsory contribution.

    When we eventually retire and sell the property we are hoping for a joint income of $30k instead of the $11k that our Super would have provided for us if we had not made this financial decision, that’s not making us rich in any sense of the equation, no party happening here I can assure you, in fact the complete opposite.

    Being a journalist I would have thought it was more circumspect to be unbiased regarding political parties, as Labor, it’s policies and it’s Ministers are often a focus of discussion.

    Don’t forget to include that Labor are also very well known for their willy nilly spending and squandering of Taxpayers hard earned cash.

    • You are correct Maureen , Labor sure do know how to squander money , look at their past records .

    • Jenny  

      You can still buy and rent out an investment property. People have been doing it for years. You can positively gear it rather than negatively gear it

  5. Kris  

    Like Maureen’s comment and Richards.

  6. liz tant  

    PLease get rid of negative gearing and please, please stop the André rieu ads

  7. Helga Collins  

    Maureen and Richard, so agree and Liz press the X to get rid of the advert.

  8. roy bridges  

    Rubbish , if not investors no property to rent , only place price high major city’s more to do with population and normal supply and demand Sydney high because of harbour ,mountains less land!
    Get stick of TV people pushing own agendas .
    I’m not an investor in property !,

  9. Joy Anne Bourke  

    Maureen maybe your too young to remember what Labor did to save Australia going into recession. Everyone got $900 to spend in Australia to keep the economy going not like the rest of world that went into a huge recession. Everyone forgets that but I bet you all did not say no to the money.
    Roy you are correct if no investors then no property for rent and that would mean more people living on the streets as Refugees and Asylums get the housing before any Australians. Especially public housing. Investors will pull out and the market will be flooded with houses for sale. Also Investors will not do repairs on the houses and that would mean living in sub standard houses. Young people today are renting and investing in property like my daughter and I rent the house. This also means that pensioners would be living way below poverty line even worse then now as family buy a house and rent to parents who cannot afford to pay the big rises in rents. There should be a system that Rates, Water, and major repairs to houses should be negative gearing. Some claim for things they are not entitled to which they get away with. I do not agree with Waleed. Butt out, just because you rent which I think you want to so u don’t have a mortgage. That advice was given to young people to buy a house and rent themselves and that would be the best thing to do in todays market.

  10. Grey Nomad  

    Who is Waheed Aly …. an Economist, an Accountant, an Investor, or just a Richard-head ABC reporter with a big mouth and zilch between the ears to support it?? A very high proportion of negative gearing supports housing and reduces the pull on the public purse via pension liability …. it is a form is slf supported Superannuation. It creates jobs via th building trade and related services.
    In this twit’s mind it’s better to have a Co2 Tax and increase the cost of living for the average working Australian, the average pensioner that doesn’t create jobs. This meathead needs to get a real job rather than one in the rarified atmosphere of a television studio filled with redneck greens ans Setka party supporters.

  11. Margaret Lyall  

    Who cares what Waleed Aly thinks! I agree with Maureen and Richard, Aly is just so full of himself and as the program he co-hosts shows, he gets pretty upset when others disagree with him. I’m sure he and his wife get pretty good money for being on tv and would be able to buy a house without too many problems. What some of the younger ones also forget is that a lot of people in our age group didn’t have the time to get a good superannuation behind us and purchasing a rental property is one way of funding a decent retirement. I get so tired of journos and tv presenters pushing their own opinions onto other people – what happened to unbiased reporting of the news and current affairs?

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