The Victorian Opposition has pledged to repeal the state’s contentious Short Stay Levy Bill if elected in 2026, citing concerns over increased holiday costs and economic impacts.
Opposition Leader John Pesutto announced the decision following a shadow cabinet meeting, promising to prioritise the tax’s removal in the first parliamentary sitting week after the November 2026 state election according to the Herald Sun.
“This tax isn’t about getting more homes built and will only add to growing cost-of-living pressures under Labor,” Mr Pesutto said.
“Regional businesses and Victorians simply hoping to enjoy a weekend away shouldn’t be the ones to pay for Labor’s financial mismanagement.”
The Short Stay Levy Bill 2024, which has already passed the lower house, is set for debate in the upper house this week.
The Opposition is unlikely to secure enough support to block its passage.
Meanwhile, property prices across Melbourne have shown modest growth compared to other parts of the country against a backdrop of increasing taxes and regulations.
The Real Estate Institute of Victoria (REIV) reported that units and apartments in outer Melbourne increased by 0.6 per cent to $603,000 in the quarter ending September 30, 2024, marking the third consecutive quarterly increase.
Over the past five years, outer Melbourne units and apartments have seen an 18.8 per cent increase in median prices, outpacing house price growth in the same area.
Metropolitan Melbourne house and unit prices rose slightly, with houses up 0.1 per cent to $916,000 and units up 0.2 per cent to $628,000.
Regional Victoria saw similar trends, with house prices increasing 0.1 per cent to $601,500 and unit prices decreasing 0.2 per cent to $418,000.
Kew led metropolitan house price growth, rising 8.5 per cent to $2,810,000, followed by Burwood at 8.4 per cent to $1,452,000.
Notably, eight of the top 20 suburbs for house price growth were in outer Melbourne, with Keysborough showing the strongest performance, up 6.8 per cent to $1,015,000.
REIV CEO Kelly Ryan said there were opportunities in outer Melbourne for homeowners and investors.
“The growth in median apartment and unit prices for outer Melbourne coupled with extremely strong sales volumes highlights the opportunities that exist in the area for homeowners and investors,” Ms Ryan said.
In regional Victoria, Soldiers Hill in Ballarat topped the house growth chart with a 13.3 per cent increase to $627,500.
Greater Bendigo emerged as a regional hotspot, with four suburbs making the top 20 quarterly growth list.
“Regional Victoria saw an increase of 46.3 per cent for houses and 42.6 per cent for units and apartments over five years,” Ms Ryan said.
“These are strong metrics which show regional Victoria continues to attract buyers with good lifestyle appeal and affordable buying options.”
