Reports today in the Daily Telegraph reveal what Labor has been saying all long – first home owners will struggle to afford Dominic Perrottet’s annual land tax bill. 

Rising interest rates are eating away at household budgets, particularly for first homebuyers who have purchased in Western Sydney suburbs including Marsden Park, Box Hill and Carnes Hill where 1 in 6 can no longer afford their extra mortgage repayments. 

The big four banks have forecast an official cash rate above 3 per cent by the end of the year, with Westpac tipping it could be as high as 3.6 per cent by February 2023.

This means a homeowner with a loan of $1 million would be forced to fork out an extra $2103 a month by February compared to April 2022 if interest rates hit 6.48 per cent.

Daniel Mookhey NSW Shadow Treasurer said:

“Dominic Perrottet is not being upfront with first home buyers about the impact of his forever tax.

“When wages have been stagnant, interest rates rising, petrol is going up, tolls are going up his annual land tax payment comes directly from household budgets. 

“And this goes up each year every year, each time property prices rise”

“We’ve never said stamp duty is perfect, but at least people know what they’re up for. Don’t replace it with something worse, that will hit people who can least afford it most.

DANIEL MOOKHEY MLC
NSW SHADOW TREASURER