Have you recently considered investing in property? According to Core Logic data from October 2021, national home values have risen at a 4.8 percent annual rate over the September quarter. Additionally, Aside from SA, each state and territory experienced a proportional increase in investor financing for property purchases through August. With property prices rising and interest rates expected to remain low for an extended period of period2, investing in real estate is becoming an increasingly appealing option.
There are various advantages to investing in real estate. Investors can enjoy consistent income flow, good returns, tax advantages, and diversity with well-chosen assets, and real estate can be used to grow wealth. Below we explore some major benefits of investing in real estate:
Many people invest in real estate to generate a steady stream of cash in the form of rental income. This passive income is a huge motivator to get started and purchase your first rental property.
A consistent flow of cash in succession may result in long term benefits of an investment. Because of the property's appreciation in value over time, owning a rental property can provide investors with a sense of security.
One of the advantages of investing in real estate is the tax breaks that come with owning a rental property. This is one of the primary reasons why many people choose to invest in real estate. Rental income, for example, is exempt from self-employment tax.
Essentially, your tenant is the one who pays your mortgage. Simply put, the rental income you receive each month is sufficient to cover all of your monthly expenses, including your mortgage payments.
The appreciation of capital assets (aka land) over time is one of the advantages of investing in real estate. In other words, your property's value will be much higher in the future, which is why investors are in it for the long haul.
When there is a lot of inflation, your rental income and property value both increase. Inflation is welcomed by real estate investors because as the cost of living rises, so does their cash flow.
Harcourts Property Management
With the wealth of possibilities that come with real estate investment. You might be wondering what comes next. Harcourts property managers can assist you whether you're new to investing or looking to expand your portfolio.
Our managers are dedicated to caring for your property and providing the best services. This includes. careful tenant selection, regular inspections, cost-effective maintenance coordination,
ongoing property investment feedback, and ensuring landlord compliance obligations are met.
Anyone considering purchasing a house as an investment should seek professional guidance from an accountant and a finance broker. Harcourts Warragul Property Managers will assist you in becoming a Property Investor by connecting you with investment salespeople, finance and tax specialists.
We'll also walk you through the following steps:
If you’re ready to take the next step and buy a property, visit our website for more information and request a rental appraisal, or contact our friendly team via the emails below:
Jess Barr jess.barr@harcourts.com.au
Jahleesa Gafa jahleesa.gafa@harcourts.com.au
