Property Investment Advice in Canberra

Rental Property Demand is increasing, Consider Whether Property Investment Can Help You

Australians love to invest in property and there are some great reasons why:

  • It's tangible - It is an investment that can be seen and touched
  • Discipline - It makes you set aside funds regularly
  • Tax benefits - The Tax Man can actually help us. Often the taxation benefits provide 40% or more of the ongoing contribution towards the investment of holding a property
  • Tenants Pay Rent - which helps significantly with cash flow
  • Phantom Cash Flow - On many properties, there are additional taxation benefits available from Depreciation Allowances. This provides additional tax benefits, further assisting with cash flow
  • Easy To Understand - Well at least the basics are - buy a property, rent it out, watch it grow – simple! Simplistically this is right, and many have successfully invested in property by doing it themselves, however there are tips and traps that are essential to be aware of, before jumping in and purchasing a property. Milestone takes decades of property experience and distils this into a straightforward, step by step process to ensure the best chance of success.
  • Time Proven - It has been said that the wealthy either make their money in property or hold their wealth, once made, in property. Property investments over the longer term have provided outstanding returns.
  • Leverage - Using the bank's money allows for a larger investment than would normally be achieved using just cash funds. The lending ratios are often more generous for property investments than for shares and other investments. This leverages/magnifies/gears the returns – both positive and negative. Getting the right finance in place is essential to ensuring the best possible outcome from the investment.
  • Harder To Buy and Sell - While this may sound like a disadvantage, it can also serve the investor in that there is less chance of making knee-jerk reactions, especially when selling. Often investors don't stick with a share investment long enough to reap the returns, as they are tempted to jump in and out with market movements. This is not usually the case with property investments.
  • Property In Super - It is now possible to purchase an investment property in a superannuation fund with borrowings. Click here for more information.

There are a number of risks involved with investing in property. Some are more easily managed than others, which is why obtaining good advice is so important. Read more about the mistakes to avoid when buying a property here.

Like to learn more? We hold Property Essentials and Advanced Property workshops regularly which are a great opportunity to expand your knowledge and confidence. Click here to find out when our next workshop is running.