New LVR limits and a possible capital gains tax

The Reserve Bank has proposed easing Loan-to-Value Ratio (LVR) "speed limits," which could benefit property investors and some first-home buyers. The share of low-deposit lending would rise to 10% for investors and 25% for owner-occupiers.

Meanwhile, a proposed 28% Capital Gains Tax (CGT) for investors remains uncertain and is contingent on the election outcome.

According to Kelvin Davidson of Cotality, the LVR change is probable, while the CGT will remain a key political issue.