Post-Budget Property: Where Smart Investors Are Looking Now
The 2026 federal budget just changed the rules. And if you’re a property investor, or thinking about becoming one, now is exactly the right time to stop, take a breath, and think carefully about where your money goes next.
What Actually Changed
The Albanese government’s budget introduced two big shifts: changes to the 50% capital gains tax (CGT) discount and limits on negative gearing to new builds only (for properties purchased after 12 May 2026).
These changes are still being legislated, so nothing is set in stone yet. But according to experts at SBS News, investors should expect a meaningful shift in how and where people choose to buy.
One thing hasn’t changed, though: property still offers leverage that other asset classes simply can’t match. With the right deposit, you can control a $1 million asset. That kind of power doesn’t disappear because of a budget.
The Two Cities That Are Standing Out Right Now
As buyer’s agents, we’re always looking at where demand is growing, rents are rising, and prices haven’t run too far ahead of themselves. Right now, two cities keep coming up:
Perth and Adelaide.
Both cities tick a lot of boxes: lower entry prices compared to Sydney and Melbourne, tight rental markets, growing populations, and solid infrastructure investment backing long-term demand. Investors who missed the run in Brisbane a few years back are looking at Perth and Adelaide and seeing a very familiar picture.
What’s drawing people in isn’t hype; it’s the fundamentals. More people moving in, not enough homes, and rents rising as a result. That’s the kind of environment where property performs.
What This Means for You as a Buyer
The budget has definitely created noise. But noise is often where opportunity hides.
A few things we’d encourage you to think about:
- Your principal place of residence is still CGT-free. That’s a big deal. Many of our clients are now thinking more carefully about their long-term home strategy.
- New builds still allow negative gearing. In the right location, this could work in your favour, but not every new build is equal.
- Cashflow markets like Perth and Adelaide offer stronger yields than most expensive east coast markets right now, which gives investors more breathing room regardless of tax changes.
A Quick Word on Timing
Markets don’t wait. Perth and Adelaide are already moving. Waiting for “more certainty” usually means paying more for the same property six months later.
That said, buying without a clear strategy is just as risky. What suburb? What price point? What yield should you be targeting? These are the questions a good buyer’s agent helps you answer before you commit.
If you’re unsure what the budget changes mean for your property plans, D’MANSHA is happy to walk you through it, no pressure, no sales pitch.
Book a free 30-minute consultation or call us at 0406 11 22 44. Don’t forget to follow us on Instagram and LinkedIn.