<div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>A real estate boss has warned landlords may hike rents by up to 30 per cent if proposed changes to negative gearing come into effect.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>Treasurer Jim Chalmers is likely to announce sweeping reforms to negative gearing and capital gains tax in tonight's federal budget as the Albanese government looks to tackle issues of housing affordability.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>It is not known how much the government will change negative gearing, a generous tax break that allows an investor to deduct expenses related to properties from their taxable income, meaning they pay less at tax time.</span></div></div><div><div id="adspot-mobile-medium"></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>Although the changes could result in lower prices, Nathan Birch from property investment firm Blink Property said renters would feel the pinch from any changes, and warned it could be immediate.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>"For Aussie battlers doing it tough, that means a $400 rental will become $550 almost immediately post the budget announcement if changes to negative gearing come into effect," Birch said.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>"This will be catastrophic for so many Australians, and the government really needs to consider the wave of homelessness that could follow, particularly for our most vulnerable."</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>Birch said the changes would have the strongest impact on "mum and dad investors", who were often renters themselves while they leased out their investment property and waited to save.</span></div></div><div><div class="OUTBRAIN" data-reactroot="" data-src="//www.9news.com.au/national/federal-budget-2026-real-estate-boss-warns-rent-increase-negative-gearing/518dabe2-1d55-4c07-93c8-5b96bba23c23" data-widget-id="AR_5"></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>Birch said this would lead to a knock-on effect that benefited fewer people in the long run.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>"When policy changes like this come into play, their own rents go up, leaving them no choice but to raise the rent on their investments," he said.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>"It's a very dangerous knock-on effect that I'm not sure the Labor Government has considered adequately – particularly when so many renters and investors are Labor voters."</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>Treasurer Chalmers said despite promising against it in last year's election, the government had no choice but to take bold action to address the housing crisis.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>"There are genuine intergenerational concerns and pressures in our budget, in our tax system, in our housing market and in our economy more broadly," Chalmers said last week.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><em><strong><span>NEVER MISS A STORY: Get your breaking news and exclusive stories first by following us across all platforms.</span></strong></em></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><ul><li><p><em><strong><span>Download the 9NEWS App here via</span></strong></em><span> </span><a href="https://apps.apple.com/au/app/9news/id1010533727"><em><strong><span>Apple</span></strong></em></a><span> </span><em><strong><span>and</span></strong></em><span> </span><a href="https://play.google.com/store/apps/details?id=nineNewsAlerts.nine.com&amp;hl=en_AU&amp;pli=1"><em><strong><span>Google Play</span></strong></em></a></p></li><li><p><em><strong><span>Make 9News your preferred source on Google by</span></strong></em><span> </span><a href="https://9.nine.com.au/8x987w"><em><strong><span>ticking this box here</span></strong></em></a></p></li><li><p><em><strong><span>Sign up to</span></strong></em><span> </span><a href="https://login.nine.com.au/edm?client_id=nineatnine"><em><strong><span>our breaking newsletter here</span></strong></em></a></p></li></ul></div></div>