Three articles on home ownership this week put the blame for rising house prices on property investors. However, there is a considerable amount of misinformation and misunderstanding that has led the writers to their conclusions.
Before assigning blame we need to ask two questions. Are property investors really to blame and if they are, would the capital gains tax on rental property help the situation?
When considering misinformation, Tapu Misa made an excellent point when she discussed “those investment seminars … the kind that promise to show you how to make lots of money by using the equity in your home to buy a rental property”. (more…)