Asset test for aged pension should include family home

[davidc4430]

http://www.abc.net.au/news/2017-02-03/family-home-should-be-included-in-pension-asset-test-acci-says...

the country is in a mess, must be them pensioners fault hey.

http://www.abc.net.au/news/2017-02-03/no-homes-in-assets-test-say-pensioners/8238828

anyway, they are old, prolly wont have any idea what a bad deal they are getting.

[bushies.girl]

Personally, I dont think it will happen

[davidc4430]

i worry it'll be like the GST

it'll get mentioned from time to time, sowing the seed if you will

it might be years down the track but i do believe it will come.

the numbers of younger people who will be looking at people living in million dollar homes and getting the pension will grow into they hey why cant they sell that house and live on the money? as is allready happening, its why its even being talked about now.

there would be a lot of people who would say, that house is worth a fortune and its just got 1 little old lady living in it. she doesnt need that big house. why should i be paying her pension while she lives in a house worth ten times what mine is?

not my view btw

[bushies.girl]

Doesnt take much to own a million $ house in the capital cities these days, Ive seen "dumps" selling for more than that

[domino-710]

Council Rates are reckoned on the value of the land.

An expensive property - on the pension - the rates would be impossible.

Therefore to keep the property - one would have to have tangible - monetary assets - to be able to pay for & upkeep the property.

If not the property would have to be sold - this would have to meet the asset criteria.

No pension - too much in liquid assets.

[bushies.girl]

My council rates are determined by the Capital Improved Valuation of my property

[domino-710]

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@bushies.girl wrote:

My council rates are determined by the Capital Improved Valuation of my property

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Exactly

[the_hawk*]

If any grubbyment was stupid enough to take the value of a retiree house into assets I believe many would sell at age 55 and start an early retirement while living on the funds, only to arrive at the retirement age with little.

Why would any normal thinking person continue to work and pay a house till age 67 only to have to sell it to live, a person would have to be completely nuts to do that.

and taking it to the next step why would anyone want to do the hard yards saving a deposit to buy a house and all the associated bills when you  can just rent for far less than it costs to buy and have the freedom to move when you liked.

[lyndal1838]

And what about those of us who bought our homes 47 years ago and worked hard to keep it through the highest interest rates in history.

We have raised our families who now live in the area, have long term friends here, have built up a network of health care professionals and have a access to several hospitals in close proximity.  There are good shopping centres in the area and reasonable transport links for those who are mobile enough to use public transport.

When we bought this house it was an average suburban brick house, nothing special but in a good area......who could ever have believed all those years ago that it would be worth about $1.5 million +.  Why should I have to sell my house to live on the proceeds?

If I sold here I would still need to buy another home and would have to pay almost as much to stay in the area...and I have no desire to leave the area where all my friends and family are.

[davidc4430]

you have hit the nail on the head, no one should have to sell their home and move so it saves the govt money.

as a single person with no real ties if i owned a 1.5 million dollar property i prolly would sell and shift to a smaller home and a nice view (but ive got that now)

but that would be me deciding thats what i want to do, it should never be a requirement to get a pension.

most people who have lived in the same place for a looong time do so because they like, no love, where they live. it makes them whole, they dont want to live anywhere else.

btw, selling and moving is incredibly stressfull, this i do know from experience, been in my home here for 10 years and i'm still getting over the move.