Interest rate rises take time to have an effect – especially when banks are still throwing credit cards at people and the old 4 year interest free loans are around.We are starting to see the affects of the latest rounds of increases now.We live in a capitalist society, whilst the government spruiks about historically low unemployment – not…[Read more]

One minute the agents are getting blamed for overinflating appraisals, the next minute they are accused of lowballing.  Give them a break – they don't have a crystal ball – they can only go on what the latest trend is in any given area.The general issue with property is that due to human nature the owners often get emotionally attached to the…[Read more]

As it is an investment property any compensation you get will basically be the sale price of your property – don't forget the capital gains tax issues (check if there is an exemption in this case – don't think so though). Make sure if it does happen that you remember that you will have to pay the CGT in that financial years tax return – budget…[Read more]

Investing in property is like running a business.  Are you getting adequate return on investment from the funds you have tied up in the property?  It should not only be about inflation or local rent returns.Do the math – what percentage return are you getting today on the "value" of the property and compare it to the "risk free" rate of return f…[Read more]

The reason why property investing works for many is that it is a forced savings plan using the tenants money, the investors money and in most cases the investors tax money (negatively geared).As already stated, to have a positively geared property the income from the property needs to be more than ALL the expenses of the property, as most rental…[Read more]