Coalition housing affordability measure spells risk for South West families
Plans by the Coalition to allow people to access their superannuation to address the issue of housing affordability in Australia will have a deleterious impact on the economy and could stand to impact South West families especially, says Mark Rando, Managing Director of Rando and Associates.
‘Overall, credit is too readily available to consumers and because of that we’re seeing a generation of people who cannot afford what they have. South West families have already been impacted by the down turn in the mining industry and the overall slow down in the WA economy.
An approach such as the one proposed poses a risk of even more people over extending themselves, building or purchasing a house beyond their means and; should the market decline, will see people paying off a debt with no asset.
While I don’t agree with Senator Hinch’s assessment that we should just accept that home ownership is out of reach for so many people, I do agree that a large number of potential homeowners need to adjust their perception of what “The Australian Dream” looks like.
Furthermore, it is the role of governments to do just that, not implement policies that could see people accessing overly large deposits to build or purchase properties that would not normally be within their budget and; at the same time, putting their retirement at risk.
Superannuation is a safeguard for people’s future and should be treated as such.