Australian Government Admits Tax Changes Contributed to Housing Downturn

Assistant Foreign Minister Matt Thistlethwaite has conceded that the federal government’s tax changes are among the reasons for falling house prices. This admission follows a prediction by the Commonwealth Bank of Australia that house prices could drop by 9 percent from their peak. Thistlethwaite stated that the government’s policies are part of a suite of reasons but are necessary to address an out-of-control housing market and improve affordability.

• Assistant Foreign Minister Matt Thistlethwaite admitted government tax changes contributed to falling house prices.
• Commonwealth Bank of Australia predicts a 9 percent drop in house prices from their March 2026 peak.
• Thistlethwaite stated that government policies are part of a suite of reasons for the price fall.
• The government aims to make housing more affordable and believes its policies are balancing the market.