REIV Unveils Its Policy Priorities Ahead Of 2018 State Election

The REIV today released its 2018 Victorian Election wish list on behalf of the 2300 real estate agencies and 5000 individual members that it represents. REIV CEO Gil King said the industry manages $76 billion in transactions which represent 20 per cent of Gross State Product.

“Property has underpinned Victoria’s economic productivity over the past decade: we need a sound legislative, policy, infrastructure and funding structure if we want that to continue,” Mr King said.

“Property taxes make up 47 per cent of the Victorian Government’s tax income.

“The REIV will be vocal in presenting our election priorities to all sides of politics. We want to see the tax burden eased, improved investment in training, slashing of red tape, an urgent review of CBD planning controls and better outcomes for Regional Victoria.”

Mr King said the REIV facilitates further education and training for more than 1000 real estate professionals annually.

“It is critical that training and ongoing professional development keeps up with the increasingly complex, highly regulated and changing environment in which the real estate industry operates,” Mr King said.

“Real estate agencies are often significant employers in regional towns and centres where employment levels may be low and this has major flow-on effects for these communities.

“The next Government must collaborate with the REIV to bolster traineeships and other employment opportunities for young people in the real estate industry. This may include further incentivising real estate businesses in the country by reintroducing payroll tax exemptions.”

The REIV’s policy platform calls for a Parliamentary Inquiry to identify how Melbourne’s growing reputation as a global elite city can benefit Regional Victoria.

“The REIV will highlight the need for an urgent review into CBD planning controls, the depoliticisation of planning decisions and prioritising development along transport corridors,” Mr King said.

“The REIV will advocate for the creation of a Property Services Commissioner to oversee all aspects of the property market.

“Victoria’s taxation regime is fundamental to our productivity and the ability to attract and retain business and we’d like to see the Government reduce its reliance on land tax and payroll tax.

“Property is the biggest source of revenue for the Victorian Government with 14 new property taxes introduced in the last three years including Vacant Residential Land Tax, absentee owner surcharge, removal of off the plan stamp duty concessions and foreign owner stamp duty.”

Land tax and stamp duty are forecast to continue increasing at rates well above CPI. The tax thresholds have not been adjusted since 2008-09 when property prices were much lower. Revenue from these taxes has been driven by a combination of increasing property prices, bracket creep and increased activity.