RBA Rate Cuts – Cheapest Loans In 40 Years?

In its meeting today the Reserve Bank of Australia have moved to cut interest rates to 2.25% p.a., paving the way for the cheapest home loans in 40 years. The decision was one most experts were predicting, though the majority had pegged it to occur later in the year. Economists still agree a further reduction in rates is likely in 2015, in an effort to buoy our employment figures and continue the economic reset of the post-resources boom … [Read more...]

Self Managed Rental Properties – Why Investors Should Pay For Property Management

If our landlord insurance claims are anything to go by, tenancies that are self-managed by investors go pear-shaped significantly more often than those managed by a professional. On the surface, property management seems simple, so you can understand why some landlords are tempted to do it themselves – however, the complexities are soon revealed if something goes wrong! Here are a few questions you can call on when discussing the issue with … [Read more...]

The most important question we ask our tenants is – Do you have contents insurance?

If you're renting a property, it's easy to protect all your precious possessions and cover yourself against legal liability with TenantCover. Inexpensive and simple, TenantCover makes sense for all rental property tenants. As long as there are reasonable security measures in place, such as working locks, TenantCover provides protection for your contents against theft, or damage by fire, explosion and storm to a total of $25,000. In addition, … [Read more...]

Buying Established or Buying Brand New?

Vacant land and new residential communities are appearing regularly, particularly on Melbourne's outskirts and in other cities where land is in no shortage of supply. Stephen Thompson, Allworth Homes' managing director, said that this makes it a good opportunity for investors, who should consider building a new home as their next investment. "It is a lot easier than perceived and will give you many benefits along the way," he … [Read more...]

8 Steps to getting started in property investment

Are you thinking of investing? see Realestate.coms 8 steps: 1. Check your finances This can be as simple as listing all your assets, including incomes and work out your expenses. This will give you an idea how much cash you have available to invest. Don’t immediately assume that you can’t afford to invest. As long as you have a stable and reasonably good paying job with solid employment history, you shouldn’t have a problem getting a … [Read more...]

Maintaining Your Investment

If you've been putting off replacing the kitchen or installing an air conditioner in an investment property, now might be the time to take stock of your competitive position. Rental prices in Melbourne and regional Victoria are stabilising, and rents could soon fall in some areas, as vacancy rates across the state continue to blow out. The median weekly rent for a house in Melbourne increased slightly to $390 during February, while regional … [Read more...]

Buying investment close to CBD vs South Eastern Suburbs

hawthorn

A lot of people ask me, why would they invest out in Pakenham/Officer, when everyone says you have to be within 10 minutes from the CBD. My answer is simple, the growth and yield in the South Eastern Suburbs are a lot higher than the inner city CBD by a mile. But dont just take my word for it, look at the facts and figures below: Officer 5 year growth on a 4 Bedroom Home is 22.6%, median price to buy $451k, median rent $370 per week, rental … [Read more...]

Beware of Property Investment Spruikers!

Buying a property to rent out is a popular form of investment. However, there are certain methods of high-risk property investment you should be wary of. You should always get independent legal and financial advice before investing. Property spruikers Property spruikers are property investment promoters who often run wealth creation seminars, offering property investment training and materials, and discussing property investment often … [Read more...]