A stealth land tax increase of about $1.5 billion to landlords, holiday homes and businesses will lead to property investors abandoning NSW, draining the already scarce rental supply and pushing rents higher, buyer’s agency Propertybuyer’s founder Rich Harvey warns.

Mr Harvey, who also owns multiple investment properties in NSW and interstate, said he was already paying more than $24,000 in land tax on just one property, even before the threshold comes into effect. He said the new land tax ruling would significantly increase his tax burden.