Scott Morrison criticized by Ally Langdon for telling struggling Australian renters to buy a home

Scott Morrison has come under fire for telling Australians struggling to pay rent that they should buy a home, despite rising property prices.

The prime minister was making the morning show rounds for Spruick’s Tuesday night budget including $8.6 billion in handouts and $8.6 million in homebuyer support.

However, even though the gasoline tax was lowered and millions in cash assistance worth $250 and $420 in additional tax credits were delivered to combat the rising cost of living, there was nothing to ease rents.

This was not lost on The Today Show, Allison Langdon, who questioned why the huge, fast-rising rental costs of most Australians are overlooked.

Today’s show host Alison Langdon questioned Prime Minister Scott Morrison about why he hasn’t introduced any rent relief in the budget.

It’s about getting Australians into homes. He replied that the best way to support people who rent a home is to help them buy a home.

“And over the past three years, we’ve taken over 300,000 Australians right into their homes especially single mothers, processing the deposit they need from 20 per cent…”

Langdon interjected noting that Morrison was not answering the question, which had nothing to do with home ownership—a serious matter like that.

I’m talking about the rent subsidy for thousands and millions of people who rent. And I think for many places like regional Australia, rents are up 18-20 per cent.

Langdon was referring to a report by the Australian Council of Social Services and the University of New South Wales comparing rental costs before and after the pandemic.

The Prime Minister replied: I know, but that is my point. People who buy homes are renters. And making sure that more tenants can buy their own homes and have the security of home ownership is one of the key points of this budget.

Australian Prime Minister Scott Morrison and his wife Jenny made a 198 per cent capital gain on their first property

Australian Prime Minister Scott Morrison and his wife Jenny made a 198 per cent capital gain on their first property

He said tenants have already received support from rental assistance payments – which have been in place for decades and only benefit people on welfare.

The comments sparked an angry backlash, with Cassandra Goldie, chief executive of the Australian Council of Social Services, calling the government’s position “deviant”.

She said rent should be a “decent, safe, long-term option to put a roof over your head and have a home.”

She added: ‘How can someone at JobSeeker buy a home for $46 a day – only $16,700 a year? How will a pensioner under extreme rent stress buy a home?

The best way to support tenants is to raise their incomes so that they can better afford rent, and to build social housing.

“On the contrary, their housing measures are very likely to drive up housing prices and make housing affordability worse.”

Activist Grace Tammy - and a frequent critic of Scott Morrison - also joined in the growing backlash online, tweeting: 'If you can't afford to rent a car, buy a luxury yacht'

Activist Grace Tammy – and a frequent critic of Scott Morrison – also joined in the growing backlash online, tweeting: ‘If you can’t afford to rent a car, buy a luxury yacht’

Activist Grace Tammy – and a frequent critic of Scott Morrison – also joined in the growing backlash online, tweeting: “If you can’t rent a car, buy a luxury yacht.”

Others also expressed their anger on social media, calling the PM hopelessly over for his comment.

‘Oh, Scotty. I might have also said let them eat cake,’ someone posted.

Another added: “Scott Morrison says the best way to help renters is to ‘help them buy a home’.”

“Payments are a lot more than rent, so it’s out of the way plus prices plus maintenance and so on.”

An angry job seeker wrote, “Cost of Living Relief! My rent went up $100. My companions went up, my food costs went up 20 percent, and my JobSeeker went up $14.

“Like the others, I’m close to homelessness,” says Scott Morrison, “buying a home!”

But not everyone was outraged by the prime minister’s comments. A ScoMo fan in Canberra tweeted: “I agree with Scott Morrison.

If you can rent, you can buy. Obviously there are hurdles, primarily depositing, but buying should be the goal for most people.

Morrison already pissed off struggling Australians on Monday by using his own experience buying his first home in 1995 to claim that entering the property market has “always” been tough, despite massive price increases since then.

The prime minister said he struggled to provide a deposit for his and his first wife’s home.

‘The hardest thing to do when you buy your first home – and I remember this when Jenny and I were buying our first house and it was hard back then, and I think it’s even more difficult now – was the deposit you need to put it together, and that was a 20 percent deposit,’ ‘ he said when asked where families could get with a $750,000 home in Sydney.

But runaway home prices and stalling wages mean that any struggles Morrison faces pale in comparison to those faced by today’s younger generation.

Morrison bought his first home — a two-bedroom duplex apartment in the chic eastern suburb of Bronte, Sydney — in 1995 for $330,000 — a far cry from what an entry-level home in today’s coveted suburb would cost.

He then moved on to land a high-paying job in tourism, first in New Zealand and later as Director General of Tourism Australia.

The two-bedroom duplex cost them $330,000, which when adjusted for inflation is about $635,000 — a far cry from what an entry-level home in the coveted suburb would cost today.

The two-bedroom duplex cost them $330,000, which when adjusted for inflation is about $635,000 — a far cry from what an entry-level home in the coveted suburb would cost today.

By the time they sold their first home in June 2009, the price had ballooned to $985,000 — or about $1.32 million when adjusted to today’s dollars.

The home was sold again in 2014, this time for $1.4 million, and given the surge in property prices in Sydney in the past few years alone, it’s expected to be worth over $2 million today.

This means that to buy the same two-bedroom duplex that the Morrison family picked up, young Australians will have to shell out three or even four times the money.

They could have a fighting chance in the unwanted suburbs if wages also didn’t freeze in 27 years.

Alternatively, young Australians hoping to get into real estate have also suffered weak wage increases, as wage growth has stalled at the long-term average of three per cent since mid-2013 as house prices rose by double-digit margins in most of those. years.

In November 1995 Prime Minister Scott Morrison and his wife Jenny bought their first home in their own name, this California bungalow on Logar Bray Street, a stone's throw from his parents' home on Evans Street where he grew up.

In November 1995 Prime Minister Scott Morrison and his wife Jenny bought their first home in their own name, this California bungalow on Logar Bray Street, a stone’s throw from his parents’ home on Evans Street where he grew up.

Langdon also questioned Mr. Morrison on the matter, especially since the budget projected that wage growth would outpace inflation in the coming years.

The track record of such predictions has been very shaky over the past decade. Why are you so sure you’re right this time? She asked.

The prime minister called these assumptions “swings and rounds” but claimed that budget revenue always came in higher than expected, and that the Reserve Bank expected wages to start rising again.

But the only way to get stronger wages is through a stronger economy. He said the government is not passing legislation to increase wages.

If Labor thinks there is a better way to raise wages, I look forward to hearing that Thursday night. He should come up with an alternative budget on Thursday night.

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