When you invest in property in Australia, one of the first questions is: what’s the rental yield? It sounds fancy, but it’s basically your annual rent as a percentage of the property’s value – essentially how much bang for your buck you’re getting from rent each year. We’ll break down how to calculate rental yield – it’s straightforward maths – using real examples from cities like Sydney and Melbourne. The formula works the same for a house in Sydney or

Homeownership is great, but maintenance is time-consuming to you and costly to your budget. In Australia, harsh sunshine, extreme temperatures, and ocean salt all expedite deterioration. The silver lining is that there are logical ways to restrict home maintenance without sacrificing style or comfort.  Whether you’re a new home builder, rebuilding, or just making over a house, these tips allow you to build a home that’s: Use Hardy Outside Material The outside of a house is exposed to everything harsh

Owner builder home loans are a preferred finance option for Australians wanting to take control of their home construction process. As the owner of the house and also the builder, you’re in control of every detail of your home’s construction. This route offers a sense of pride and potential cost savings, but it also brings extra responsibilities and unique financing considerations.  If you’re considering going into owner builder finance, this guide explains: What Is An Owner Builder Home Loan An

Australia’s capital gains tax (CGT) is a sophisticated system, especially when you’re working with capital losses. Most investors wonder what happens when you’ve got a capital loss – do you lose that relief at year’s end or carry it over? See how it works throughout this article. What is a Capital Gain or Capital Loss? When you sell something at a price higher than its cost base, you’ve got a capital gain. In Australia, that is when a CGT event

Property investment is a go-to wealth creation strategy in Australia. Many investors enjoy “positively gearing” a property. With positive gearing, rental incomes pay for overall property and maintenance expenses, and monthly profit is positive.  By positively gearing your property, you can maximise your cash flow, reduce your mortgage, and make your financial position a whole lot less stressful. It isn’t a speedy wealth creation scheme, but with careful planning and consideration for fundamentals, it can become a profitable wealth creation

Whenever you’re investing in real estate or starting to investigate property, you’ll run into the terminology “capital value.” In Australia, it’s a significant part of understanding a property’s value.  But what is capital value, and why is it significant for homeowners, investors, and buyers? In this article, we simplify capital value, disclose why it’s significant in the property marketplace in Australia, and make an example of it in contrast with other forms of valuations.  By the end, you’ll have a

A low doc home loan is a mortgage with fewer financial documents than a traditional home loan. It’s perfect for Australians who work for themselves and any individual who doesn’t have conventional payslips and financial statements preferred by lenders.  As a sole proprietor and a freelancer, one doesn’t have to meet conventional lending requirements, which require two years of tax documents, detailed profit and loss statements, and a demonstration of consistent income.  That’s when a low doc home loan comes

Interstate property buying can sound like a dream opportunity or a challenging ordeal. Every state in Australia comes with its own set of rules, laws, and trends, so you must do a little more work when searching outside your city.  Nevertheless, with proper information and a little expert guidance, you can make a purchase that will serve your purpose.  In this article, we will present everything you need to know about buying property interstate, starting with getting to know your

Negative gearing is a contentious issue in property investing in Australia. Many investors utilise it to make property investing a profitable, long-term investment opportunity. But how much can I claim in a negative gearing, and will it impact my overall taxes?  In this article, we will: Cover the Ins and Outs of Negative Gearing Go Through Key Items That Can be Included Cover a Few Items to Remember When Starting Out What is Negative Gearing? In Australia, “gearing” is borrowing

Buying land and building a house in Australia can be exciting, but it requires the following: Careful Planning Research An Accurate Understanding of the Processes Involved We’ll take you through the land-buying and house-building process here. 1. Research and Budgeting How do you get started? Determining Your Budget First things first, you need to determine your realistic budget. Besides the land, the budget should cover: Building Costs Permissions Other Levies (including stamp duty and legal fees) Recurring Expenses Maintenance Utilities

The concept of rental yield is an important yardstick most people use while investing in real estate. In simple words, it helps give an investor an idea of the profitability of the property to be rented out relative to its purchase price.  A prospective buyer looking to purchase a house in the Australian property market needs to understand properly what actually constitutes a good rental yield in order to make proper decisions. What is Rental Yield? Rental yield is an

Owning a second property can pay handsomely but is fraught with its own set of financial responsibilities, one of them being the payment of Capital Gains Tax. When you sell a property that is not your residence, you could fall prey to paying CGT on the profits. Under law, however, you can minimise or even nullify this impediment.  Throughout this guide, we’ll break down: What CGT is  What exemptions are available How to reduce CGT payable on the second property