🎧 EP 291 - Is Rentvesting Still Worth It After the Tax Changes?
If you've been considering rentvesting as your pathway into the property market, you've probably seen plenty of headlines about the latest negative gearing changes and proposed capital gains tax reforms. Naturally, many buyers are now asking the same question: is rentvesting still worth it?
The short answer is that the strategy isn't necessarily off the table—but it does require a more thoughtful approach than ever before. As the conversation around property tax continues to evolve, understanding what these proposals could mean for your financial future is far more valuable than reacting to headlines alone.
In this episode, Veronica and Meighan unpack the proposed tax reforms, how tax changes affect property investors, and explain why successful investing has never been about chasing tax benefits. They share what makes a successful rentvesting strategy, why quality property selection matters, and how first home buyers can continue building a long-term wealth strategy even in a changing market.
Here's what we cover and why it matters:
🏡 What the proposed tax changes could mean for rentvesting
The proposed negative gearing changes and reforms to capital gains tax have generated plenty of debate across Australia's property market. While the changes are significant, it's important to understand exactly who they affect and what they could mean in practice before making any major decisions.
Veronica and Meighan break down the proposed reforms in simple terms, and rather than assuming the strategy no longer works, they explain why buyers should instead ask a different question: is rentvesting still worth it based on their own financial position, borrowing capacity, and long-term goals?
The discussion also explores why these property tax changes could create new opportunities for some buyers, particularly if investor competition shifts away from established homes. Understanding the broader market context can help you make decisions based on strategy rather than uncertainty.
💰 Why tax benefits shouldn't drive your investment decisions
One of the biggest takeaways from this episode is that tax has never been the reason to buy a quality property. While deductions such as negative gearing or depreciation may improve cash flow, they should always be viewed as a bonus—not the investment strategy itself.
Veronica and Meighan explain why relying too heavily on tax incentives can lead buyers towards poor investment decisions. A property that only works because of generous tax treatment may not perform well if market conditions or legislation changes in the future.
Instead, they encourage buyers to focus on purchasing assets that have the potential to generate sustainable capital growth, strong owner-occupier demand, and lasting appeal regardless of government policy. This mindset creates a much stronger foundation for long-term success than chasing short-term tax savings.
🏘️ How to identify an investment-grade property
Choosing the right property has always mattered, but it's becoming even more important in today's environment. Whether you're buying an investment property for the first time or reviewing your existing portfolio, understanding what separates an investment-grade asset from an average one can have a significant impact on your future results.
Throughout the episode, Veronica and Meighan explain why owner-occupier appeal, scarcity, location, and quality construction are all essential characteristics of a property with genuine growth potential. They also discuss why buyers should be cautious about purchasing oversupplied apartments, house-and-land packages in fringe estates, or properties that rely solely on depreciation benefits to appear attractive.
Rather than chasing the highest rental yield or the biggest tax deduction, they encourage listeners to focus on capital growth property fundamentals that have consistently driven long-term performance.
📈 How to adapt your strategy in a changing market
This episode isn't about abandoning rentvesting—for those who can still consider this option, it's about building a smarter first home buyer investment strategy.
As the tax landscape evolves, buyers need to place greater emphasis on affordability, sustainable cash flow, borrowing capacity, and long-term performance. The hosts explain why today's environment rewards careful planning over shortcuts, and why every investment property for first home buyers should be assessed on its own merits instead of the tax benefits attached to it.
Developing a successful rentvesting strategy now means asking better questions: Can you comfortably hold the property if interest rates rise? Will owner-occupiers want to buy it in the future? Does the location have strong long-term demand? These are the factors that help create lasting wealth regardless of changing legislation.
🤝 Why building the right support team matters
Making sense of tax policy, lending rules, and property selection isn't something you need to navigate alone. One of the most valuable parts of this episode is the reminder that experienced professionals can help you make decisions based on evidence rather than emotion.
Whether you're exploring buying an investment property, weighing up your options as a first home buyer, or trying to understand how tax changes affect property investors, surrounding yourself with trusted advisers can provide clarity and confidence throughout the process.
Working with experienced buyer's agents, mortgage brokers, accountants, and other property professionals allows you to focus on building a strategy that's aligned with your goals—not simply reacting to the latest headlines.
🎯 By the end of this episode, you'll have a clearer understanding of the proposed negative gearing changes, the future of rentvesting, and why successful investing has always been about buying quality assets—not chasing tax benefits.
Whether you're asking yourself "is rentvesting still worth it?" or developing your first home buyer investment strategy, you'll walk away with practical insights to help you make smarter property decisions and build long-term wealth with confidence.
Episode Highlights:
01:33 – The Tax Changes Reshaping Property Investment
02:31 – Rentvesting Explained: Does It Still Work?
06:28 – What Losing the CGT Discount Means for Investors
08:42 – Is Rentvesting Still a Smart Strategy?
10:51 – The Hidden Risks of Buying New Builds
16:42 – How to Adapt Your Property Strategy
20:24 – Build the Right Team Before You Invest
25:14 – Who Wins and Loses Under the New Rules?
27:21 – Your Next Steps After the Tax Changes
02:31 – Rentvesting Explained: Does It Still Work?
06:28 – What Losing the CGT Discount Means for Investors
08:42 – Is Rentvesting Still a Smart Strategy?
10:51 – The Hidden Risks of Buying New Builds
16:42 – How to Adapt Your Property Strategy
20:24 – Build the Right Team Before You Invest
25:14 – Who Wins and Loses Under the New Rules?
27:21 – Your Next Steps After the Tax Changes
Connect with us:
If you enjoyed today's podcast, don't forget to subscribe, rate, and share the show! There's more to come, so we hope to have you along with us on this journey!
Co-Founders
Veronica Morgan & Meighan Wells
Veronica & Meighan are both licensed real estate agents who exclusively help buyers. Together they have nearly 40 years experience as property professionals.
Veronica is principal of Sydney based Good Deeds Property Buyers and is also co-host of The Elephant in the Room property podcast as well as Location Location Location Australia on Foxtel and author of Auction Ready: how to buy property at auction even though you're scared s#!tless!
Meighan is the multi award winning principal of Brisbane based Property Pursuit, chairperson of the REIQ Buyers Agent Chapter & a regular media commentator.
