Investors may be attracted by the purchase of brand new properties because of government incentives, but it is a decision that can have consequences, said the buyer's representative in Brisbane.
"There are advantages for the government to incentivize new properties because, of course, the building and construction sector is very important to our economy and the different levels of government are gaining from it. money through new developments through such costs as For example, "Melinda Jennison, Brisbane's Buyer Agent at Streamline Property, told Your Investment Property.
New homes are usually located in new areas, most often located on the outskirts of capitals. In these areas, many lands are available. It follows that the supply of new housing is ensured for many years.
This configuration also often means that capital growth is stagnant and investors realize that the value of their property is growing very little for several years, according to Jennison.
Investors looking for a strategy for capital growth may therefore be disappointed.
Investors looking for a cash strategy can, however, take advantage of the situation. Since the property is brand new, the benefits associated with depreciation are considerable.
Jennison stated that the performance of new properties was often higher than that of established properties. That's because people will pay a slightly higher rent for a new property when all else is equal.
In the end, maintaining a strategy in place would help investors.
"If an investor seeks to create long-term wealth by combining capital growth, I could then recommend that the investor move away from the brand-new properties, but for an investor looking for short-term income its investment property can be a good investment strategy, "Jennison said.
Do you have more than $ 200,000 in your super fund? You Can Use Your Super To Buy A Property – Find Out How
Top suburbs:
Murdoch
,
fresh water
,
sunshine
,
North Epping
,
higher kedron
Get help for your real estate investment
Do you need help in finding the right loan for your investment?
When you invest in real estate, it is important to make sure that you do not only have the lowest available rate that you can get, but you also have the features of ready adapted to your needs.
Just fill in a few details below and we will then do what is necessary for an Australian mortgage broker to contact you and establish a solution. What features or types of loans are suited to your needs? We will even help with the paperwork. In addition, an appointment is free.
We value your privacy and treat all your information seriously – you can check
our privacy policy here
