Yet more reasons to invest in property

Newcastle is expanding and is rapidly becoming an area of choice for property investors – particularly as the Sydney market is out of many people’s reach.

There are some great investment properties on the market and more land is being opened up. Interest rates are still low, the economy is stable and annual capital growth is positive.

Unlike other forms of investment, property usually survives economic rough times and reputable financial lenders are still offering good deals on mortgages.

You’re in control; you decide where and when to buy, and also when to sell, and you’re not dependent on a fickle and volatile stock market.

Plus it is easy to understand and someone else is paying off your debt!

Have we swayed you yet? If not, here are seven more reasons to invest in property.

  1. Tax breaks

From writing off investment expenses and offsetting rental shortfall to depreciation and renovation/maintenance costs, there are many tax breaks – and this is what helps makes investing in property more affordable for the everyday Australian.

Keep all your receipts and a note of all expenses and a good accountant can tell you what you can claim against.

  1. Use your super

An increasingly popular way to buy property is by using Self-Managed Super Funds (SMSF). This does offer many of the same benefits as traditional property investment. In many cases the super fund is taxed at a lower rate and the capital gains tax may be discounted.

The rules for buying property using SMSF are quite stringent though, so again, we advise you to speak to a financial specialist who can talk you through the process.

  1. A tangible asset

Unlike stocks and shares, you have a physical asset. With this asset, you can borrow against it, move into it if circumstances change, and you have something to pass onto your kids!

  1. Open to negotiation

One of the great things about buying and selling property is, unlike stocks and shares, things are open to negotiation when it comes to buying and selling. Plus, you can pick up a bargain if someone has to sell quickly due to unforeseen circumstances!

  1. Add value

Whether it’s by simply redecorating and putting in new carpets, upgrading a kitchen or bathroom, or going one step further and adding rooms, with property, there is scope to add value to your investment.

  1. Financial independence

Why work for a living when you can invest in several properties and earn a living from that? With the right strategies in place, you can achieve financial independence – or at least have a bit of extra income so you can have a nice holiday or pay the kids uni fees!

  1. Less risk

There is always risk in whatever you decide to invest in – who knows what will happen to our super funds in the future and what the financial market will do. This is why we believe property has a lower risk than other long-term investment opportunities.

We keep saying it, and we’ll say it again – everyone needs somewhere to live; we believe this is why property continues to be a solid long-term investment that has stood the test of time.

Having been in business in the area for over 40 years, we are in the enviable position to give you honest information to help with the decision making process and help you realise your property investment dreams.

Our talented team is constantly looking for new and innovative ways to ensure your real estate experience is exceptional. This is why we are one of Newcastle’s longest established real estate offices.

If you’re interested in property investment, our friendly team would love to help so give ring us on 02 4956 9777 or call in at our Cardiff office – we’re here to help.

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