There are costs other than the cost of property when it comes to the buying bit. Having the savings deposit with you may be 20% of the battle won but a lot still remains to be contested. For a start, how about the Lenders Mortgage Insurance you pay for the property to insure the lender against default and what about the Stamp Duty, which anyway is quite steep and way above the global average in our country.
Tracey's Property News
Do Affordable Quality Homes in Sydney Still Exist?
The present stage of the property cycle presents an interesting scenario. The first home buyers are all but elbowed out from the race despite low interest rates. This has got a lot to do with the uncertainty in the job market, not-worthy-talking-about employment rate and abysmal rate of growth in income in relation to growth in property prices. So, once the FHBs are out of the race, the property marathon gets constricted between owner-occupiers and the investors.
Real Estate Supply Not Keeping Pace with Demand
We are not closing on a bubble! No we aren’t! Any impression of the same can be put down to lack of supply which is driving domestic real estate prices crazily. It is true that barring Belgium we are the country with highest price levels when you measure prices against relative entities like rent and income.
Investors Must Double-check Insurance Policy
As a landlord, you would definitely want to cover yourself for damage caused by malicious intent of the tenants. However, would you want to forego cover for accidental damage? Not really! This is why it is crucial that investors (read landlords) do not take a bargain, sub-standard insurance for themselves.
Property Investment as a Tax Saving Vehicle
In June 2014, Australian government on the whole amassed in excess of $1 billion in taxes each day. Not a single level of government in the country missed out on collecting less than $100 billion between March and June 2014. From $112.25 to $117.56, the leap has been 4.7% on an average. An average estimate is $1.3 billion in taxes each day.
Should I Invest in a House or an Apartment?
Detached houses and apartments can both promise a lucrative deal but if you fall short on necessary research, you may fall on the wrong side of the fence. Let me start with unit apartments.
