Archive for the ‘Property investment’ Category

Single income investors

How couples can invest with a single income

With property prices on the rise, it’s easy to assume that a couple with a single income can’t afford to invest in property. However, by putting the right strategy in place, having a clear set of objectives, and understanding the options available to you, couples on one income can invest in property effectively. Investing without having to separate bank accounts or consider individual budgets, a couple can use their joint … Read more »

How to add value to an older property

Even though Australian housing prices are on the rise, a seller can’t rest on their laurels and just hope for the best when it comes time to put their house on the property market.

Whether you want to increase your property’s value for resale now or in the future, there are plenty of ways you can add value to it, even if it’s a little on the older side.

Here are our … Read more »

SMSF as an option for investors

SMSF as an option for investors

Having a self managed super fund (SMSF) can hold benefits for property investors. Tax rates are generally lower for investments made through an SMSF and if sold at the right time, some taxes can be avoided altogether. With patience and a calculated strategy in place, investing in property through an SMSF can be a good way to secure a long term return on your investment.
What is an SMSF?
A self managed … Read more »

The major Australian banks have clamped down on foreign borrowing, making it more difficult for Chinese and other foreign investors to take out home loans.

Tough new borrowing laws for Chinese market

For several years, the Australian property market has been an attractive investment option for Chinese investors. In 2014 to 2015 Chinese investment accounted for $24.3 billion of the Australian property market, doubling from the year prior.

Earlier this year, the major Australian banks including NAB, Westpac and Commonwealth bank clamped down on foreign borrowing, making it more difficult for Chinese and other foreign investors to take out home loans. In April, … Read more »

Rentvesting: The new property trend for investors

Rentvesting: The new property trend for investors

Rentvesting has become a popular trend as more and more people look to build wealth through property. With Australian housing prices on the rise and seemingly out of reach for the average income, this trend has opened the door for many new investors to enter the market. The idea behind rentvesting is that people continue to rent a property that suits their lifestyle; close to work, schools, restaurants, transport and … Read more »

Does walkability affect house prices?

Does walkability affect house prices?

Proximity to transport, infrastructure and leisurely amenities should be a key consideration when purchasing a home or an investment property. Tenants look for convenience when applying for a home, which is why investors should pay particular attention to the walkability score of a potential purchase. But what is the true value of a high walkability score? Can it truly affect housing prices? As an investor, it would be common to … Read more »

Commercial property

5 things to consider before buying a commercial investment

Commercial investing can be a tricky business. That said, buying a commercial property can be an extremely wise investment. Rental yields are much higher in commercial than they are in residential and can therefore result in higher return on investment. Like with any type of property investment, investing in commercial property comes with risks. If you’re looking to invest in commercial, here are a few things to consider before taking … Read more »

Why you shouldn’t rely on rental yield

Rental yield is a measurement of potential future rental income on an investment, and is generally calculated as a percentage based on the investment’s cost or market value. Rental yield can be used to compare properties and ascertain which option is better.

In Australia, we’re seeing a rise in rental yields, and while a good indicator on a sound investment, an investor shouldn’t rely solely on … Read more »

Why the Australian economy will stay strong in 2016

In the wake of the Chinese stock market falling, American interest rates rising, and the Australian dollar falling, some commentators have predicted weak property performance for 2016. Commentary about facing a recession or similar economic circumstances to the global financial crisis are running hot.

However, as Ross Gittins, Economics Editor at the Sydney Morning Herald, has suggested this ‘doom and gloom’ is in fact overstated. While … Read more »

How to benefit from your property’s depreciation

As a property investor, it is important to become familiar with the tax benefits available to you. When a property is being used for investment purposes, the Australian Tax Office allows investors to claim the decline in value of the building by way of a tax deduction. The total amount that can be deducted is calculated on an individual basis.

The most efficient way to claim … Read more »