Investing in bricks and mortar
How could $50 a week see you own your own investment property? Is it really that simple?
Yes it can be, in this market with the current rent returns, negative gearing, depreciation and lower than average interest rates it really is simple.
Where do you start?
You can leverage the value of your existing property’s equity to source funds for an investment property. The investment property will act as collateral to the bank for the new loan, but a small portion to cover deposit and costs can be secured by equity in your own home. This way, you buy with no cash down.
Alternatively, you can use cash to purchase an investment. You can even buy your first home as an investment, and still access the First Home Owners Grant later, this is true, just contact me to ask how.
What about the cost to hold? Holding onto the property, with the help of a good tenant and the tax man isn't as hard as you think. If you do your figures and buy wisely you can offset the cost of the investment loan, rates and other costs heavily. Locally we have found property that could cost less than $50 a week to hold; hard to believe, but true. To obtain the benefits of negative gearing and depreciation on your wages you can simply lodge a form with the ATO to have the tax offset delivered to you within your payroll. This way you don’t need to wait until the end of the year to recoup the tax savings.
With rental demand high, housing shortages, and the simple comfort of landlords protection insurance, things are looking pretty rosy for investors at the moment.
How could $50 a week see you own your own investment property? Is it really that simple?
Yes it can be, in this market with the current rent returns, negative gearing, depreciation and lower than average interest rates it really is simple.
Where do you start?
You can leverage the value of your existing property’s equity to source funds for an investment property. The investment property will act as collateral to the bank for the new loan, but a small portion to cover deposit and costs can be secured by equity in your own home. This way, you buy with no cash down.
Alternatively, you can use cash to purchase an investment. You can even buy your first home as an investment, and still access the First Home Owners Grant later, this is true, just contact me to ask how.
What about the cost to hold? Holding onto the property, with the help of a good tenant and the tax man isn't as hard as you think. If you do your figures and buy wisely you can offset the cost of the investment loan, rates and other costs heavily. Locally we have found property that could cost less than $50 a week to hold; hard to believe, but true. To obtain the benefits of negative gearing and depreciation on your wages you can simply lodge a form with the ATO to have the tax offset delivered to you within your payroll. This way you don’t need to wait until the end of the year to recoup the tax savings.
With rental demand high, housing shortages, and the simple comfort of landlords protection insurance, things are looking pretty rosy for investors at the moment.
ACN 104 107 084 - Elizabeth Wilson & Associates Pty Ltd
Elizabeth Wilson & Associates Pty Ltd is a registered credit representative (CRN #383371) of Astute Financial Management Pty Ltd - Australian Credit Licence Number 364253
Elizabeth Wilson & Associates Pty Ltd is a registered credit representative (CRN #383371) of Astute Financial Management Pty Ltd - Australian Credit Licence Number 364253
