Reducing barriers to help buyers must be priority

BREEDING more confidence in the housing market and a big push to reduce costs should be key measures in the Federal Budget next month. 

Conveyancers from around the country were unanimous in their calls for the government to be more proactive when it comes to housing. 

AC canvassed the opinion of key conveyancing experts from around the country and found a consensus that the Budget needs to attack housing supply and affordability issues for all Australians. 

MATT DUNN
CEO Queensland Law Society

QUEENSLAND Law Society CEO Matt Dunn would like to see a more targeted approach to foreign sellers, saying current tax rules are creating a burden during property sales.

Capital gains tax rules for foreign residents changed in 2025, to reduce the risk of them failing to pay the tax when they sell property in Australia.

Before then, the tax withholding rules only applied to property valued over $750,000.

The broadening of the tax means all vendors – including Australian residents – must obtain a clearance certificate from the tax office proving they are not foreign, adding extra time and cost to all involved in property sales, according to Dunn.

“There’s an additional cost and time impost on everybody in order to help the tax office deal with foreign residents selling property,” he said. 

“It would be really good if they set a threshold for the Foreign Resident Capital Gains Withholding clearance certificates again, like they had done.”

Dunn also championed a more sophisticated approach to deal with inflation, saying the property sector was carrying an unfair share of the burden created by overspending in other parts of the economy.

SHAKILA MACLEAN
AIC Victoria President

WITH interest rates rising and investor costs increasing, AIC Victorian president Shakila Maclean hopes for Federal Budget measures to support confidence in the property market.

With two official interest rate hikes this year, and another possible in May, Maclean hopes cost-of-living pressures are addressed.

“There’s a lot of financial burden on homeowners, investors and purchasers trying to navigate the high interest rates and holding costs of property,” she said.

“A thoughtful support measure to maintain confidence within the property market and ensure people are able to make sustainable long-term housing decisions would be welcomed.

“From a Victorian standpoint, obviously new housing developments need a bit more support with transport and community services to create liveable, connected communities.”

Maclean said support for infrastructure will be critical to assist new housing, particularly given Victoria’s strong population growth.

Boosting housing supply is critical but it must be accompanied by targeted measures to improve affordability and support investors facing rising holding costs.

“Land tax is really a killer in Victoria at the moment for anyone that’s got property. It’d be great to see reforms around that but our state’s in too much debt to see any of it – that’s just a wish list.”

Maclean said any further reforms will need to be carefully balanced to avoid unintended pressure on transaction activity, as well as rents, which are “very high” in Victoria.

“They need to make thoughtful and measured reforms essential to a stable market in Victoria.”

Maclean said greater federal support for ARNECC (Australian Registrars’ National Electronic Conveyancing Council) is needed, so the regulator is properly equipped to remove interoperability barriers and enable real competition in e-conveyancing. 

CHRISTINE BRADBURY
AIC WA president

REDUCING housing costs, lifting supply and securing the workforce needed to build homes are on the Budget wish list for Christine Bradbury, Australian Institute of Conveyancers WA president. 

Bradbury said measures to cut red tape in the state planning system will lead to faster building approvals and help address housing supply.

She is also hoping the Budget tackles rising living costs and contains enticements for older generations to downsize, freeing up homes for young families.

“It costs so much to sell. If you’ve got a couple in their 60s coming to retirement age and they want to get out of their 4×2 home, they’re not going to do it,” Bradbury said.

“You’re looking at probably $80,000 in fees just to get from one house to another, which puts a lot of people off. But it’s not helping the supply of housing for new families.”

On the conveyancing front, Bradbury wants to see support for practitioners to deal with expanded Anti-Money Laundering and Counter-Terrorism Financing laws effective from July.

“We’re going through huge changes in the next 12 months with the AML coming out, which is going to cost us a lot more to manage,” she said.

“It’s not just conveyancers – all Tranche 2 eligible companies now need to do more work. 

“It’s not so much out-of-pocket costs, it’s a time cost. We’re just time-poor in our industry, having all these new requirements on us.”

Additionally, support for cybercrime prevention in e-conveyancing would be welcomed.

“Our state regulator says it’s our problem. It’d be nice for the government to take on some of this and maybe help out financially with some form of platform to assist with preventing email compromise.”

JENNIE TONNER
AIC NSW president

HOMEBUYERS must have strong legal protections amidst the push to meet the 1.2 million home target, according to Jennie Tonner.

Tonner is worried corners will be cut in the rush to meet the mid-2029 national housing deadline and wants stronger legislative protection for consumers.

“Our biggest concern is that this rush to build homes for people will attract the budget developer and corners will be cut to get them up and ready for people to occupy,” she said.

“We’re concerned we’re going to be left with a whole bunch of Opal Tower or Mascot building unit blocks where people are buying into strata and left with all the defects to fix themselves.

“We want to see real legislation at both federal and state level that protects the consumer because it’s still not there.”

Tonner is also concerned the Federal Budget will include potential changes to the capital gains tax discount. 

Currently, a 50 per cent CGT discount applies for residents who own an asset for at least 12 months.

“They’re being very short-sighted and very ignorant as to who the landlords are and who owns these investment properties,” she said.

“I think change the tax for those that own three or four investment properties – but most people own one investment property as part of their retirement plan, either in their own name or through a self-managed super fund.

“For those that own one or two investment properties, they’re your average Australian middle class, and they should not be penalised for trying to build wealth to be self-funded as a retiree.”

MATTHEW KELLY
AIC SA President

SOUTH Australian conveyancers want to see a Federal Budget that prioritises housing supply, affordability and supporting infrastructure.

Matthew Kelly said the Budget should prioritise measures that increase housing supply and reduce friction for developers. 

That means building more homes, better assistance for first-home buyers and low to middle income households and investment in enabling infrastructure including water, sewers and roads.

The Housing Accord target of 1.2 million homes is welcomed but the issue is now implementation, Kelly said.

“We need the Budget, with the State Government on the implementation of the Great Adelaide Regional Plan, to help unlock land, accelerate delivery and ensure housing projects are serviced so that conveyancers, developers and buyers are not dealing with delays caused by infrastructure bottlenecks,” he said.

The biggest priority is boosting supply of well-located homes across different price points, with more greenfield growth and infill sites with sufficient infrastructure.

“Housing cannot be delivered at scale unless the enabling infrastructure is there first or, at least, delivered alongside development,” Kelly said.

“There is land that cannot be unlocked due to infrastructure constraints, with existing landowners and developers bearing significant infrastructure development costs.”

More social and affordable housing, and diverse housing types, will also help people find the right house for their stage of life.

Kelly also called for measures to reduce cost pressures without inflating prices. 

This included targeted support for first-home buyers, assistance helping people into homes they can sustain, and investment that increases supply rather than just boosting demand.

The expansion of anti-money laundering and counter-terrorism financing laws will also significantly impact conveyancers – adding new compliance costs, particularly for small and medium practices, which will likely flow to consumers, Kelly said.

To ensure successful implementation, the federal government should fund practical support and guidance, alongside a national public education campaign.