Spring shake-up: What to expect from property investors

Spring is traditionally a busy time for the property market but on the back of three interest rate hikes and federal budget tax changes, experts predict investors will take a cautious approach to buying, if they choose to at all.Tax settings from 1 July saw negative gearing abolished on existing investment properties and the 50% capital gains tax discount for properties owned for more than one year has been slashed.The move, announced by the government back in May, has seen many investors flee the market.Data from the Australian Bureau of Statistics shows the total number of new home loans fell 5.4% in the June quarter, which was driven by an 8.6% decline in investor lending.While confidence is at historic lows and with a recovery expected to take time, Propertybuyer chief executive Rich Harvey says now could be the ideal time to crack into the market while competition is lower than usual.“So many buyers have abandoned auctions; they're not turning up….we're seeing it right across the board,” he says. “It is just a wonderful time to buy, and I just can't get that message out quick enough.Propertybuyer chief executive, Rich Harvey. Picture: Supplied“Just because the budget changed s...