living "outlays" index which included mortgage servicing costs to pure price "acquisitions" index including the cost of a new dwelling (excluding land), thereby creating a disconnect between the cost of housing (asset) and the health of the economy (inflation) 1998 to 2008: real net national disposable incomes increase by 2.8% a year on average from about $32,000 to about $42,000 per year. There is a rise in the number of two-income households, relaxation of lending standards, active promotion of real estate as an investment, population growth creating demand that was not matched by supply, planning and land release issues and a tax system that was skewed in favour of property investors. 1999: Property sale proceeds subject to Capital Gains Tax reduced from 100 to 50 per cent (for property held at least one year), while 100 per cent of costs remained deductible. 2000: July - The Federal government introduces the First Home Owners Grant of $7,000 for established homes, and $14,000 for newly built homes. 2002: Urban Growth Boundary introduced for Melbourne, severely limiting land supply. 2002: While working for the Bank for International Settlements, Philip Lowe warned low rates could fuel risky credit growth and asset price rises that may need to be counteracted by tighter monetary policy. 2003: Significant amendments to Queensland's planning law, the Integrated Planning Act, are made by state government. These amendments aimed to better protect the environment by stopping "urban sprawl", and lead to massive land price inflation. Queensland's property prices start to rise quickly at this point. 2004: The Productivity Commission Inquiry on 'First Home Ownership' published its findings (No. 28, 31 March 2004). It identified several factors that had contributed to the rapid increase in real estate prices, including overall fairness of the tax system, lending regulations, lower interest rates and planning issues. 2008: A Senate Select Committee on Housing Affordability was established. Its final report 'A good house is hard to find' included dozens of recommendations. 2008: October - The First Home Owners Grant Boost is introduced as an addition to the First Home Owners Grant. This consisted of an extra $14000 available to first home owners buying or building a new home, as well as an extra $7000 made available for established homes. First Home Saver Accounts are also introduced, where the Federal Government will contribute up to $850 per annum towards savings for a deposit to purchase housing. 2008: