Highrise Harry wants to steal your super

By Leith van Onselen

Shameless as always, “Highrise” Harry Triguboff has repeated his call for the federal government to permit first home buyers (FHBs) to access their superannuation to fund a housing deposit. From The Australian:

Mr Triguboff again called for first-home buyers to be able to ­access their superannuation to ease affordability.

“The problem is that people do not have a deposit. I have been saying for years: give them access to their super,” he said.
However, the government feared this would push housing ­prices up further, he noted.

Demand for housing would continue to increase on the back of population growth, with Sydney and Melbourne continuing to see the biggest influx, Mr Triguboff said.

Over the years, Harry has shown himself to be one of Australia’s biggest rent-seekers, supporting policies that would line his own pockets. And allowing FHBs to access their super fits this mould perfectly, since it would boost the customer base for his apartments.

In the meantime, Australia’s Budget deficit would increase further, with PwC estimating the policy could blow a $31 billion hole in the Federal Budget by 2049-50. People’s retirement savings would also be placed under increased strain for no apparent gain – other than to existing property owners (who benefit from higher values) and developers like Highrise Harry.

Rather than implementing daft demand-side stimulus like Harry’s super-housing fix, a better solution to improve housing affordability lies in the last paragraph of Triguboff’s quote above: reducing population growth (immigration) into Sydney and Melbourne.

Of course, Triguboff is also an avid supporter of mass immigration and a ‘Big Australia’, previously commenting that he’d like to see Australia’s population reach 100 million so that he can build more apartments. And when confronted last year with questions about a potential apartment oversupply and falling prices, Triguboff responded by stating “then I will bring in more migrants”.

The fact that Highrise Harry supports allowing FHBs to access their super for a housing deposit is a good reason why the federal government should not. He is talking his own book, not outlining policy in the best interests of Australians.

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Comments

  1. Why not?
    Everything in australia is driven by the self interest starting from the prime minister down.
    It is us he people that let criminals like this multibillioneer decide on what we should do with our super.
    If he is so concerned about the FHB, why doesn’t he sell his appartments at discounted rates for FHB?
    Just a thought

    • Why bother selling at a discount when you have customers lining up to buy at whatever price you ask. I’m sure he cannot find enough sites or build fast enough to meet demand.
      A good plan would be to create a development in another state far away from anything and call it Sydney. Can be marketed overseas as Sydney Australia even if it is in Queensland.

  2. “The fact that Highrise Harry supports allowing FHBs to access their super for a housing deposit is a good reason why the federal government will imminent make it law”

    • proofreadersMEMBER

      And even if they don’t have enough super in the first instance, they can use at a holding deposit with him and rent one of his to-die-for dogboxes in the meantime. A win-win for …?

  3. Oh yeah, and he’ll need every penny of it!
    An executive of another major residential builder told privately a mate of mine the Aussie condo market is heading seriously down the gurgler in the next 18 months

  4. TailorTrashMEMBER

    Forget that diversification bullshit …..property maaaaaate !………..by the time the kids who put their super into one of Harry’s shitboxes retire they will be crumbling slums
    worth nothing ……….but perhaps I’m being too harsh and Scomo and Harry are really just trying to help our kids to build a good financial footing for their future …
    ….( or Scomo and Harry’s future ? )

  5. proofreadersMEMBER

    “Triguboff responded by stating “then I will bring in more migrants””

    So, not just Rupert controls Straya?

    • The median asking price for a Brisbane apartment is $382,100
      The median asking price for a Melbourne apartment is $471,400

  6. “Shameless as always…”

    I think the technical term is Chutzpah.

    The classic definition is that given by Leo Rosten: “that quality enshrined in a man who, having killed his mother and father, throws himself on the mercy of the court because he is an orphan.”

  7. These uber wealthy developer blokes don’t know when to stop and smell the roses. A few years back I saw a guy who practically built our entire suburb and a mega successful commercial development business over 60 years at our local council planning desk tearing his hair out, arguing another development application. He was well into his 80s, worth over $50m and I felt like grabbing him by the ears and telling him to piss off and smell the roses. Lay on the deck of an overwater bungalow on Bora Bora and watch the fair weather cumulus drift by. How much is enough for these blokes?

  8. Yes Patrician, our housing on the south east coast is the only “perpetual motion machine” in the world that will forever and ever produce capital gains irrespective what is thrown at it.
    I think I will start a new religion – ‘THE CHURCH OF PROPERTOLOGY”
    Bet I’ll get filthy friggin’ rich, ah?

  9. Crazy. If they brought this super deposit in and kept it forever it could kinda work but still would inflate prices. If they brought this in and then took it away in 2 years that would not work.. You take 60k from your super which makes the 700k house now 760k, then they take the super benefit out, now your house is worth 700k again, your 60k from super just went completely to Harry T or to the owner of the property you just purchased and you have 60k less super for retirement which may have turned into 200k by retirement time.. Stupid!!

    Good if you are selling property though…

  10. Actually, I’m warming to the idea so long as it is prospective (ie you can only use super accrued from now for your deposit); a one off (perhaps with exceptions for marriage breakdown) and it is combined with an inclusion of the family home in the pension assets test.

    In the end,

  11. Why not accumulate super for forty years (if you keep your job) and keep renting. Upon retirement take a hundred grand out of your super, buy a palatial waterfront in Greece or Spain and live off the income from the balance of your super? WIN WIN!

  12. To flog anything in Perth, Darwin, many parts of the Gold Coast, North Queensland or mining towns, you have to be a magician, damn lucky or have the patience of a saint. Those published “median” prices are meaningless if there ain’t any buyers and shit scared lenders are asking for 40% deposits.

    • For the 1232 apartments sold in Perth in the last quarter the median sale price was $414,500

  13. By the by, on REA there are 283 listings of two bedders with askings up to 200 grand for Perth greater region. I guarantee there will be truckloads more this time next year and the year after

  14. Jumping jack flash

    Just do it already.

    Safe as houses maaate! You’d be mad not to. Think of the capital gains!
    Use your super as a deposit (in my case, barely enough).

    Do anything to get on that ladder (pyramid).
    When you sell it when you retire for the modest amount of 20 million dollars at current trends, you won’t even need to draw a pension. The government should put this in as law as soon as possible. Think of the savings they would make.

    Harry, you’re a genius.

    So. Hand over all your actual money to someone else to get rich from. Replace it all with debt.
    Service the debt for 30 years. Pray to your deity of choice for wage inflation, every day. For many this deity would be their house, or rather, their mountain of debt that looks like a house.
    Offer it some sacrifices – your annual holiday. Piano lessons for the kids. Your marriage.

    Just do it already!

    • TailorTrashMEMBER

      Ah Grasshopper, you are gaining wisdom ….there is property and only property ….all else is but dust on the shoes of life ……