How important do you guys think the age of a property is? The house I’m in the process of buying is roughly 20 years old. Although I don’t know for sure because the real estate hasn’t found out yet, which has annoyed me. But anyway for tax purposes and future selling is it a big problem to have a house that old?
If it is post 1985 you can claim depreciation on the building for tax purposes. 85-87 is 4% per year. 87+ is 2.5%.
If it is not, then you can’t claim the building..
If you want to be sure make an offer with a clause “subject to the purchasers satisfactory review of a depreciation report by a quantity surveyor” This will tell you the age of the house and the value of the depreciation you can claim……it could be worth thousands per year
Live, Learn and GrowLifexperience
Call the council who should be able to tell you when it was built.
Cheers,
Simon Macks
Finance Broker
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Its the land that appreciates in value and the dwelling slowly depreciates until it adds little to the property value.
I have had great successful for both myself and my clients buying properties at or close to land value. The house is thrown in and brings in some income.If purchased in the right areas, this type of property appreciates better than newer properties. I look for sites with devlopment potential and eventually built new townhouses on the sites
Michael Yardney
METROPOLE PROPERTIES
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