Fact check: Did abolishing negative gearing push up rents?

Treasurer Joe Hockey says scrapping negative gearing pushed up rents in the 1980s.

  • The claim: Treasurer Joe Hockey says abolishing negative gearing could push up rents, because that’s what happened in the 1980s.
  • The verdict: During the period negative gearing was abolished rents notably increased only in Sydney and Perth. Other factors, including high interest rates and the share market boom, were also contributors to rent increases at the time. Mr Hockey’s claim doesn’t stack up.