In short, historical tracking of property vs. shares has proven that overall the stock market is a much higher risk with markets being more vulnerable to economic fluctuations such as the Global Financial Crisis in 2009.
Investing in property is a much more stable and reliable investment because property values very rarely go down and you also benefit from a stable cash flow from rental payments.
Finally, you can invest your superannuation in a Self Managed Super Fund (SMSF). Read more about property investment and SMSFs here.
“Negative gearing” means that the cost of owing and maintaining your investment property outweighs the rental income it generates. The difference is therefore a loss that can be claimed as a tax deduction, which reduces tax on your salary or overall income.
“Positive gearing” means that the income from your investment property exceeds your interest expenses and other deductions. This means that you may need to pay additional tax on the income derived from your investment property.
Did you know that you can pool your financial resources with family or friends to buy an investment property? However, this tactic carries greater risk so make sure you access the right legal and financial advice before proceeding to ascertain each person’s financial commitment and ownership percentage.
Either type of home would work as an investment property because we build each of our homes to display home standard. Browse our house and land packages here.
Some lenders may charge you a higher interest rate if you’re borrowing for an investment property, so it pays to shop around and get the right loan advice. The loan on your investment property will also depend on the amount of equity you have in your current home. To get more information about the right kind of loan please contact us on 1300 NEW HOUSE or by email enquiry and ask to speak with one of our home loan advisors.
It all depends on the equity you have in your current home and several other variables. To find out how much you can afford to borrow, please use our property investment calculator, or contact us directly on 1300 NEW HOUSE or send us an email enquiry.
The laws for property investment in Australia by non-residents or non-Australian citizens are changing all the time. Please read the FAQ on the Australian Government Foreign Investment Review Board’s website for the most up to date information.
Obviously choosing a property that is most likely to grow in value is the best type of property to ensure return on your investment. But also take into consideration current rental incomes in the area you’re thinking of buying in. You may want to ask our investment advisors about rental incomes and property value trends by calling us on 1300 NEW HOUSE or send us an email enquiry.
We build our homes in some of the most sought-after suburbs in metropolitan Sydney and regional Sydney council areas. We also build on the NSW Central Coast, Newcastle, Hunter and Illawarra regions.
It all depends on your budget and investment strategy, but almost any Eden Brae home design is ideal as an investment property. Browse our House and Land packages.
Most of our newly built house and land packages are in master-planned greenfields developments, but you may also consider building an investment home as a Knockdown Rebuild project in a more established area.
If you already own your own home you may not need a deposit to buy your investment property. Instead you can use the equity in your existing home. Equity is the difference between your home’s current market value vs. the balance of your mortgage.