The preference for home ownership by the vast majority of Australians is not surprising, given the many benefits that arise from this important form of investment.

Taking a long term view, home ownership provides savings and tax benefits in addition to financial security and independence.

It is true that a great number of Australian home owners `trade-up' two to three times during their settled life. This is caused by a variety of reasons from occupational movement inter and intra state to changes in life style, family size and financial independence.

Australians benefit from home ownership in the following ways:

• No tax on imputed rental income exists on owner occupied housing.
• No capital gains tax applies to owner occupied housing.
• Provides shelter to owners, which no other investment provides.
• Creates an incentive for individuals to provide and maintain accommodation.
• Provides greater financial security for all households, which means less Government outlays for social security programs and less government need for taxes.
• Provides an environment and incentives for greater family stability.
• Minimises a demand for rental accommodation, which will benfit those who either need or prefer to rent their accommodation.
• Minimises Government expenditure on the provision of accommodation, so that Government expenditure, which is necessary, can be directed to the most needy in the community.

Australians' preference for home ownership, which is high by world standards, is supported by the opportunity to purchase a wide variety of affordable housing.

This not only reflects the choice of individuals, but takes into account their levels of personal and financial commitment.

Ensure that any loud or blaring radio or television noise is shut off in order to let the sales consultant and buyer to talk free of disturbances and interruptions.

The Institute has always recommended that the financial commitment towards home ownership should not exceed 25%-30% of a families median monthly income.