Investment - Strategies

The cost of buying an investment property

Posted on November 6, 2016 by | 0 Comments
Are you thinking about buying an investment property? If the answer’s yes, listen up. While buying an investment property is a great first step to take in future-proofing your wealth, it’s important to know exactly how much the endeavour will set you back before you get too carried away. As with any property purchase, you’ll have to spend more than just the cost of the dwelling in order to secure the premises. Some of the...

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StanChoosing the right ownership structure

Posted on November 6, 2016 by | 0 Comments
One definition of the term “structure” is “something built or constructed, as a building, bridge or dam”. Ironic, then, that as property investors we use the term “structure” to define how we arrange our property investment portfolios. Like a building, our investment portfolios need to have a good structure… otherwise they’ll topple down on our heads! The structure we establish will depend upon a variety of things: our personal situations; our goals; our financial and...

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The tax implications of subdividing your backyard

Posted on April 16, 2015 by | 2 Comments
Subdividing your PPOR (principal place of residence) is a strategy we often get asked about. If you’re thinking about going down this path, there’s a lot to consider before making your decision. By Pat Mannix and Rebecca Mackie There are many different strategies with different outcomes, depending on whether you’re planning to sell the part with the house, or the vacant land, or build and move in, build and rent out or build and sell...

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Converting Your Home to an Investment

Posted on November 15, 2013 by | 2 Comments
Shannon Molloy, deputy editor of Australian Property Investor Magazine, has posted a commendably detailed and informative article on-line on the above topic. Discover what the legal and tax implications are, he writes, when converting your family home into an investment property: Whether you’re taking off overseas for a holiday or new job, moving interstate or buying a new house elsewhere, it’s probably crossed your mind to rent out your current family home rather than sell...

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Buying Real Estate – Property investors are only human

Posted on October 30, 2013 by | 0 Comments
Interesting new research about the emotional drivers behind property purchases cements the undeniable reality that investors are just like everyone else – sometimes susceptible to thoughts that go against their better judgment. “I reckon another $10,000 will get this bad boy across the line,” the agent smiled, smoothing down his slick suit and nudging his Montblanc pen closer towards me. “Just write the new offer amount there and initial it, and I reckon it’ll be...

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Leave property investors alone

Posted on October 23, 2013 by | 2 Comments
The esteemed Grattan Institute yesterday released its much-awaited reporting on housing policy and the need for major reform. The central recommendations focused on a re-think of investor-focused incentives like negative gearing. BY SHANNON MOLLOY Whenever property markets begin to recover after an extended lull or downturn, a number of pundits reemerge to express their concern about a so-called and looming affordability crisis. House prices are getting too high, they claim. Young people have no chance...

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Deceptive property spruiker

Posted on October 5, 2013 by | 0 Comments
Investors are losing their life savings after taking advice from a property spruiker, who claims there’s fortune to be made in real estate. Paul Giezekamp, a smooth talking property spruiker, has been travelling the country selling a dream through pop-up stands at property expo’s. In his seminars Giezekamp claims that he has up to 24 properties, with $11 million in assets. Giezekamp is the founder of Property Secrets, a company which angry investors claim have...

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Property and shares go head to head

Posted on September 26, 2013 by | 0 Comments
It has to be one for the books when a real estate agent is saying property prices are becoming unsustainable and a Reserve Bank heavy says they’re not. Yet I heard both the same day. And no, I didn’t mix the quotes up, though context can be an elusive thing. The agent was commenting on research suggesting Sydney values could jump by up to 20 per cent next year, while the Reserve’s assistant governor was...

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It’s a trap! Watch out for GST on property transactions: Terry Hayes

Posted on September 22, 2013 by | 0 Comments
The sale of a property has GST implications and, potentially, income tax consequences. The GST implications can catch out those who are not fully conversant with how the GST laws apply. A recent AAT decision held that, for the purposes of the GST law, all of the consideration in relation to the sale of a property was received by the taxpayer at the time of settlement on May 16, 2008, despite not all the consideration...

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Punting on houses simply bonkers

Posted on September 22, 2013 by | 0 Comments
ARE “investors” piling into the housing market, or “speculators”? One thing appears certain: wealthier Australians are buying houses and apartments from each other with increasing velocity, dissatisfied with the paltry returns on their bank deposits and are topping up their buying power with cheap loans. How do we know this? Growth in total housing credit in the economy is still weak but auction clearance rates are matching post-GFC highs and capital city house prices are...

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