03/09/2026
If an investment property is on your radar, the distinction between an established property and an eligible new build will become more important from 1 July 2027.
Under the new negative gearing rules, eligible new residential builds can continue to be negatively geared after that date.
For established residential investment properties purchased after 7:30pm AEST on 12 May 2026, losses will no longer be deductible against income such as salary and wages from 1 July 2027. Those losses can generally be applied against residential property income, including relevant capital gains, with excess losses carried forward.
That does not mean you should rush into a new build or avoid established property. Tax is only one part of the decision. Purchase price, location, rent, cash flow, growth prospects, finance structure and your own risk position still matter.
The right question is not “Which property gives me the biggest tax deduction?” It is “Which investment stacks up after finance, tax, cash flow and risk are all considered?”
If you're weighing up established versus new, we can model the borrowing and finance side with you. Speak with your accountant or tax adviser for personal tax advise.