‘No easy fix’: Victoria’s short-term rental levy pits regional tenants against hosts

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While the housing shortage is affecting numerous professions needed in the country, property owners say the 7.5% tax will not fix the problem

hen Carrie Donaldson and Luis Casanova first bought their historic property in rural Tatura, 20 minutes south-west of Shepparton, it was in a state of disrepair. “It was basically falling down,” Donaldson says.

Donaldson says her business is designed in part to respond to a local government study that identified a need for higher-end self-contained accommodation in the region. “But I didn’t have a rental history, I’m not an Australian citizen and the properties were so expensive,” Kehr says. “In the end, it was better to team up with another mum”As a chef, Kehr says the housing shortage is also affecting the hospitality industry, with eateries unable to source local staff and workers unwilling to commute due to the rising cost of fuel.

“It isn’t only doctors, it’s nurses, midwives and many other key professionals wanting to relocate – certainly in the first year or two will likely want to rent rather than build or buy,” Rutherford says.

 

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‘No easy fix’: Victoria’s short-term rental levy pits regional tenants against hostsWhile the housing shortage is affecting numerous professions needed in the country, property owners say the 7.5% tax will not fix the problem
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