Housing tax reforms may affect Australian property investors unevenly, e61 analysis finds
New e61 Institute research uses 920,000 individual housing investments held between 2008 and 2025 to model the effect of Australia’s housing tax reforms. The analysis estimates taxes would rise for about half of historical investments, while capital gains tax would have been lower for most. It also finds highly leveraged investors and investors with close to zero taxable income are more likely to pay more tax. The results highlight that the impact can vary materially with leverage, income, investment performance and holding outcomes, rather than affecting every property investor in the same way.
Sydney-wide rent figures are useful context, but they are not a rental appraisal for an individual Lower North Shore property. Domain’s June-quarter 2026 data, reported by ABC News, showed Sydney house asking rents rising 6.3% over the quarter to $850 per week and unit rents rising 4.0% to $780. Yet the same dataset showed materially different local movements, including an annual fall of about 13% for Artarmon houses and about 6.3% for Northbridge units. That divergence is the point: Lower North Shore landlords should price from the property outward, not from the Sydney headline inward.
For a property in Artarmon, Northbridge, Chatswood, Lane Cove, Willoughby, Neutral Bay, Crows Nest or St Leonards, the useful evidence is recent comparable leased properties of the same type and bedroom count, the competing stock tenants can inspect now, condition and presentation, parking and other features, and the depth of tenant demand at the proposed price. Even neighbouring suburbs — and houses versus apartments within the same suburb — can move differently.
A realistic asking rent is also a vacancy decision. Suppose a property is realistically worth $800 per week. Holding out for $820 and losing one extra week of rent costs $800 in vacancy; the extra $20 per week then takes 40 occupied weeks to recover that loss. Holding out for $830 takes about 26.7 occupied weeks to recover one $800 vacancy week. That does not mean landlords should automatically accept a lower rent. It means the expected uplift should be weighed against days on market, enquiry quality and the probability of securing the higher figure.
What this means for landlords
A Lower North Shore Rental Appraisal should be property-specific and current. Start with genuinely comparable recent leases, then check today’s competing rental stock and how quickly similar homes are moving. Adjust for property type, condition, renovation quality, parking, outdoor space, aspect and other features tenants actually value. Watch enquiry and inspection feedback early: weak response can be evidence that the market is rejecting the asking rent, while strong qualified demand may support holding the price. The objective is not the highest advertised number; it is the strongest sustainable rental outcome after vacancy risk is considered.
For Lower North Shore landlords, active Property Management should review rental pricing as live market evidence changes rather than relying on a broad Sydney statistic or an old appraisal. Owners considering a change of agent can also review when and how to Switch Property Manager.
ANZ now expects the Reserve Bank of Australia to raise the cash rate by 25 basis points in September and again by 25 basis points in November. The revised call follows elevated inflation expectations, higher oil and petrol prices and renewed concern that inflation may remain persistent. ANZ’s latest consumer-confidence release shows confidence fell 1.9 points to 72.0, while weekly inflation expectations rose to 6.1%. For Sydney mortgage holders, buyers and investors, the practical implication is that borrowing costs could rise further over the next two RBA meetings, making current-rate serviceability and cash-flow buffers especially important.
The Australian Treasury’s 2026 Intergenerational Report, released on 21 September, identifies housing as a central part of growing intergenerational inequality. The report looks ahead to 2065–66 and places housing alongside slower population growth, ageing, productivity and major economic transitions as issues that will shape living standards over coming decades. For Sydney buyers, owners and investors, the key takeaway is that housing affordability and access to home ownership will remain a major long-term policy focus rather than a short-term market issue.
Sydney asking rents reach $912.52 a week as annual growth holds above 5%
SQM Research's latest weekly asking-rent data shows Sydney combined asking rents at about $912.52 a week for the week ending 20 September 2026, 5.2% higher than a year earlier. House asking rents were about $1,142.71 a week, up 5.3% annually, while unit asking rents were about $755.32, up 5.1%. For landlords, city-wide asking rents are a useful market signal, but individual rent reviews should still be based on current comparable properties, the dwelling's condition and NSW tenancy requirements. A proactive property manager can help assess the market evidence and manage rent reviews appropriately.
NSW’s Low and Mid-Rise Housing Policy is designed to expand housing choice between detached homes and high-rise apartments. The policy applies in eligible residential areas within an 800-metre walk of nominated town centres and transport hubs, with 171 centres and stations selected across metropolitan Sydney and other nominated NSW regions. NSW Planning says the policy is expected to support up to 112,000 homes over five years. For owners, the practical takeaway is that development potential can vary materially by zoning, walking distance and site constraints, so individual sites still need to be checked against the legislation.
The RBA cash rate remains at 4.35%, with the next monetary policy update due on 29 September 2026. The Bank says financial conditions have tightened after three cash-rate increases this year and that inflation remains too high. For property owners and buyers, the immediate implication is that borrowing costs remain elevated and serviceability should be assessed against current rates rather than relying on an early easing in financing conditions.
APRA’s June 2026 property exposure data shows residential mortgage credit at authorised deposit-taking institutions reached $2.5585 trillion, up 7.0% from a year earlier. Investment loans accounted for 31.2% of outstanding residential credit, up from 30.5%, while investors made up 35.6% of new loans funded during the quarter. At the same time, the share of loans 30–89 days past due eased to 0.54% and non-performing loans to 1.01%. For Sydney investors and owners, the figures point to continued credit growth and a larger investor presence, while broad arrears indicators remain contained.
