Quote:
Originally Posted by cheap
Landlord, renter moratorium sounds good, but I can see this moratorium causing scams, rip-offs and frustration everywhere - and ScoMo’s answer you’ll need to work it out between the landlord, the renter, and the bank.
How do you maintain a depreciate schedule, what does this mean to signed legally binding contracts (as they make no provision for this), is negative gearing included in the moratorium, how do you sell a unit in the midst of a rental moratorium, what will this do to prices, do lines of credit still apply, what are the tax implications, the mind boggles at the can of worms this has opened. Until this is fully understood then as a landlord with an empty unit, I might simply leave the unit empty rather than accept unknown risks/costs.
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Problem from my perspective is that it looks from the outside as though they saw an opportunity to vote buy in the early stages by throwing money at the unemployed and families on welfare who would otherwise be Labor voters, all that unnecessary 'stimulus' which ironically wont even make its way to the intended target until they're all unable to spend it, could/should have been saved and put towards wage subsidies which would have avoided a hell of a lot of job losses.
Had they moved straight to a wage subsidy system then many households would be able to meet their essential expenses being a roof over their heads and food on the table and it wouldn't have needed to go as far as impacting on Landlords to such a degree.
Scomo said they couldn't just run with a model that other countries have adopted, and whilst that's probably a fair analysis, im not sure how throwing away good money to people who would be least impacted by this is a better way of getting to the end goal.
Something tells me if they had their time again it would unfold very differently.
Personally I'd have started with closing the National borders to anyone other than Australian citizens on the first day, giving anyone a week to get home, in the mean time close all state borders to all non essential travel and stop the movement within the country to isolate each states outbreaks.
Instigate the 10 person rule straight away and tighten it when necessary.
The two most likely places for person to person spread is within the workplace and schools as these are the places where members of families who otherwise would never come in contact, are linked, keep the workplace open, close the schools, half your risk eliminated.
Whilst all this preventative measures are going on without destroying the economy and business, get your finance dept onto a plan to instigate a wage subsidy system and gradually hibernate business as required starting with those impacted in order, ie. airlines and booking agencies due to restrictions on travel, hospitality, , education/childcare sectors etc. etc.
A gradual action/reaction system in order to maintain control rather than jumping all over the place from one aspect to another, no wonder he looks so tired.
I can excuse Scomo for the path he's chosen to take because this is something no one could have prepared for in any detail, but in order to improve you need to learn from your mistakes and if I was Scomo i'd be taking a good hard look at the people writing his material and whether he's getting value for money...
My2c.