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The Top 6 Techniques to Improve the Rental Value of Your Home

The Top 6 Techniques to Improve the Rental Value of Your Home

When you’ve purchased an investment property, it’s important to maximise your return by utilising all of the space within the home.  Not only will you attract more prospective renters, you’ll also work to increase the value of the property. Small, simple improvements can make a massive difference visually and on the property value as a whole — so consider using the following six techniques to improve the overall feel of your rental property.     1) Update fittings and fixtures The kitchen and bathroom are major selling points in your rental property — so make sure they make a lasting impression. While it doesn’t cost a lot to update the fixtures, seeing a newly updated space gives the tenants comfort knowing you’ll take care of the property should an issue arise.   2) Allow natural light Windows can be a home’s biggest selling feature, yet they are often forgotten when renting a space. Make sure to highlight all windows with proper fitting coverings or blinds (which can be included in the rental or removed). When showing the property, open the curtains or coverings to allow the most natural light in to the space — it will make the room feel larger and more spacious. If a room lacks large windows, strategically place a mirror on the wall to reflect the light into the space.   3) Stage the home for viewing There is nothing worse than walking into a home and trying to visualize what it might look like furnished – even if the property is currently empty. That’s because people enjoy seeing a home for the total benefit it is, not an...
Direct Property Investment

Direct Property Investment

Buying a property to rent out is a popular form of investment. Houses and units are easier to understand than many other types of investments, yet they do have some issues you need to be aware of. Before you enter the property market, check if this type of long-term investment suits you. The benefits 1) Property can be less volatile than shares or other investments 2) You can earn rental income and benefit from capital growth (if your property increases in value over time) 3) If you take out a loan to purchase an investment property, interest on the loan and most property expenses can be offset against rental income, for tax purposes 4) You are investing in something you can see and touch 5) Control over the property asset – With direct property investors have the responsibility and control over the specific investment decision. 6) Capital appreciated and rental income – Direct property as with other investment assets is expected to have capital appreciation and increases in rental income. 7) Taxation benefits and leverage via negative gearing – Many investors enjoy the taxation advantages which are associated with owning a direct rental property. 8) Tangibility – Investors like the ability to see and feel the physical investment. 9) Understanding – Many people feel more comfortable with and ‘understand’ property over other asset classes. This could also be seen as a disadvantage as through education come understanding. The pitfalls 1) Rental income may not cover your mortgage payments or other expenses so you may have to use other money to cover these costs 2) An increase in interest rates...
Interest Rates dropped today

Interest Rates dropped today

Interest Rates dropped today by the RBA The RBA has announced a 25 bp cut in interest rates with a further 25 bp cut expected which if undertaken would bring our cash rates to an astonishingly low 2%. The market has reacted favourably to the move and the currency has dropped. We see the implications as follows: 1. This is an attempt by the RBA to boost the non-resources side of the economy. As such we see it as helpful for consumer stocks such as retailers and housing exposed stocks. 2. It is likely to keep the downward pressure on currency and be helpful for offshore exposed companies. 3. It will be broadly helpful for equities given investors will continue to weigh up between an investment in very low returning term deposits or into higher yielding equities. There is likely to be ongoing interest in higher yielding companies (although many of these names have been strong in the past month and largely anticipated the move).     Michael Cooper Financial Planner Gold Coast | Motivational Speaker | Performance Coach Source: Dalton Nicol Reid Pty Ltd, AFS Representative – 294844 of DNR AFSL Pty Ltd ABN 39 118 946 400, AFSL 301658. It is general information only and is not intended to be a recommendation to invest in any product or financial service mentioned above. Whilst Dalton Nicol Reid has used its best endeavours to ensure the information within this document is accurate it cannot be relied upon in any way and recipients must make their own enquiries concerning the accuracy of the information within. The general information in this document has...
Brisbane boom? What to expect

Brisbane boom? What to expect

A few years back I had the privilege of attending a seminar hosted by the highly regarded property expert and analyst Michael Matusik. I enjoyed his direct, pull no punches approach and calling a spade a spade. Not to mention his research is incredibly reliable. Ever since that presentation I have followed Michael’s reports and findings. This month he gives a review of the much touted Brisbane Boom? What can we expect? For further information please don’t hesitate to call me, lets have a coffee and talk property. Remember you don’t make money in property when you sell – you make it WHEN you buy! Brisbane!!! Of late, a lot has been written about Brisbane being the next place to ‘boom’. Many, including us, believe that Brisbane has entered a residential recovery & sale volumes; end prices & weekly rents should improve. BIS Shrapnel have forecast up to 17% price growth over the next three years – 2015 to 2017 – for the Brisbane region. Most of this is expected to take place during fiscal 2015 & 2016. The Brisbane market is expected to peak during fiscal 2017. Again, we do not disagree with these statements. Current cycle The current Brisbane recovery started late last year. It followed a long stagnation period, which was needed, as the market had overheated during the latter period of the 2001 to 2008 property cycle. Brisbane values appreciated something in the order of 230% between 2001 & 2008. This time around, values are expected to lift, but mildly in comparison. So maybe it should be Brisbane in small font, without the exclamation marks, rather...