Negative Gearing & Capital Gains Tax Reform: What Every Australian Property Investor Must Know in 2025
Conrad Vass Principal, Space Property Agency — Property Market Strategist Quick answer (featured snippet) Proposed 2025 reforms are expected to reduce the capital gains tax discount from 50% to 33%, and cap negative gearing to two properties per investor. Existing holdings may be grandfathered. These changes will likely reduce investor appetite, tighten rental supply, and increase pressure on rents across Australia — while creating a new opportunity in multi-unit property investment. In this article What's changing: the likely reforms What this means for property investors The housing supply paradox The opportunity: blocks of units Frequently asked questions Our take: position now Based on strong media reporting and industry intelligence over the past week, a clear direction is forming on the future of two of Australia's most debated property tax structures. While no official announcement has been made ahead of the May Federal Budget, here is what the market is telling us — and...