Victoria’s higher taxes on investment properties will hit poorer renters hardest as budget plans to raise almost $5 billion over the next four years in land tax are more likely to force owners of lower-priced units and regional properties to sell, investors say.

Melbourne property investor Cate Bakos said the higher land taxes would hit cashflow-focused landlords, who generally owned lower-priced properties, which had a higher yield but less capital gain than houses.