Downsizing baby boomers making their mark in the property market
Baby boomers are downsizing and selling up the family home thanks to the federal government’s downsizer incentive scheme.
From July 1 the government provided an incentive to people over age of 65 to sell their home and deposit some of the proceeds of the sale to their superannuation.
Property Mavens buyers agent Miriam Sandkuhler told Tom Elliott there were a number of lifestyle and emotional factors for baby boomers looking to sell up.
“The scheme that’s come in you have to be over 65, owned your own home for in excess of 10 years, and you’re allowed to use $300,000 per person from the proceeds of the sale of your home,” she said.
“It’s creating opportunities for people who want to buy into tightly held areas for family homes that are larger.
“First home buyers and first time upgraders who are borrowing to buy will struggle to compete with cashed up downgraders, looking to buy the same stock.
“While this new legislation will benefit older Australians, it will be the detriment of Gen x and Gen Y.”
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