For many Australians, when it comes to living arrangements, renting is preferred over the commitment of buying. Good news for those who own investment property! Investing in property is a viable long-term strategy popular in Australia. Whilst the market has seen an incredible surge recently, it is not too late to invest in amazing places like Point Piper Real Estate. Compare Home Loans to find the product suitable for you, keeping in mind there are some juicy perks of purchasing an investment property. The Newcastle Permanent Building Society offers fantastic packages with competitive interest rates, find out how to secure a Newcastle Permanent Building Society Home Loan – simply follow the link or visit www.newcastlepermanent.com.au today.
The ship hasn’t sailed
If you are considering investing, you are already ahead of the curve. Building personal wealth takes time and some courage, but it’s never too late to start. Investing is not about immediate rewards. Patience and forward-thinking are vital. If you can see a better future, it’s not too late to invest. The property market in Australia has boomed, but opportunities to profit still exist.
A sound investment.
Arguably, there are easier ways of making money. Investing in property requires a relatively large outlay; most of the time, a loan agreement must be made to finance the purchase. This, in some ways, works in the investor’s favour; the property is usually paid for mostly with borrowed money, meaning you can start renting immediately without having to save a huge sum. Over the course of the loan, tenants will effectively be paying for, or in part, the loan repayments.
Give me a break
As an investor buying property, you have a very appealing array of tax write-offs. You can write off the associated fees if you have chosen a real estate to manage your property. As a landlord, you will usually pay for water and council rates. Again, you can write these costs off at tax time. Perhaps the most enticing perk is the ability to write off interest paid against your home loan. Of course, terms and conditions apply, and always speak to a financial professional before diving in.
I appreciate you
Property is one of the safest forms of investment. So much so thanks banks are willing to lend 90% of the purchase price because they know that if the loan ends in default, the property will retain its value, and they can sell it and not lose any money. House prices have skyrocketed in Sydney, and rental rates have also increased. The earlier you can enter the property market, the more time your asset has to appreciate in value. Such is the same with purchasing any property in other parts of the world. In Toronto, condo communities like the Parklawn condominiums would have a steeper price today than a few years ago, but it is still a good investment to start now rather than three years from now, for example.
Easy to understand
Another huge benefit of investing in real estate is the access to information and its readability. Many forms of investment seem like numbers in a spreadsheet, and it’s hard to picture them as real money in the real world. Factors for an investment property’s success are easy to understand, predict and research, making property investment an excellent first step in wealth building.
Investing for the future is the best way to ensure financial freedom. As the amount of Australian rent is tipped to climb over 50% in the next few years, the opportunity as a landlord to make excellent passive income exists now more than ever. The right location and features with the right home loan can help you achieve your investor dreams. It is not too late to start investing in property… even in Sydney!