luc, you say opening up land supply will make first home buying easier, but, where will the land come from?

Also, first home buyers are only a portion of the new housing market, as many new homes are purchased by upgraders. The problem is then going to be, who is going to buy the upgraders old home?

Hypothetically, if a used homes value falls say 20%, from $500K to $400K (a move that will plunge us into recession) rents will skyrocket as investors will want a 10% return, or $800 per week, otherwise they wont bother buying. Even if they settle for 8% that's still $615 per week, up from about $450 per week meaning renters will wear the brunt of this polices fallout.

To suggest this is a dumb policy is a gross understatement, its an absolute shocker and given Malcom is proving to be a real dud, we investors are becoming worried that labor will get back in by default.

More IR restrictions, more union thuggery and a massive downturn in business confidence.

Only if the Liberals stop lying first.

When will any political party stop lying. When are you people going to realise the purpose of the two party system is box us into making a choice they give us.

When are you going to realise the two makjor parties are just two wings of the same bird of prey.

I add this following quote in full for no other reason than to show what I mean by this. Note what this quote says in the 3rd paragraph.

Montagu Norman, Governor of The Bank Of England, addressing the United States Bankers' Association, NYC 1924. Said:

Capital must protect itself in every possible way, both by combination and legislation. Debts must be collected, mortgages foreclosed as rapidly as possible.

“When, through process of law [he meant “legal”], the common people lose their homes, they will become more docile and more easily governed through the strong arm of the government applied by a central power of wealth under leading financiers.

“These truths are well known among our principal men, who are now engaged in forming an imperialism to govern the world. By dividing the voter through the political party system, we can get them to expend their energies in fighting for questions of no importance.

“It is thus, by discrete action, we can secure for ourselves that which has been so well planned and so successfully accomplished.“

NB: This quotation was reprinted in the Idaho Leader, USA, on 26th August 1924, and has been read into the Australian Federal Hansard twice: by John Evans MP, in 1926, and by MD Cowan MP, in the session of 1930-31.