In this eye-opening article, Caroline Riches explores how, amidst soaring property prices nationwide, many homeowners are finding their homes earning more than they do. With PropTrack reporting a significant 6.15% increase in national property prices”a pace not seen since July 2022″homes in certain suburbs are outpacing the average Australian wage in terms of earnings. The analysis leverages PropTrack’sautomated valuation model to spotlight suburbs where median property price growth has exceeded the typical full-time adult’s gross weekly earnings. From luxury locales in capital cities to more affordable neighbourhoods, the article covers the breadth of Australia, offering insights into where homes have become the main income source for their owners, dramatically reshaping the landscapeof personal finance and investment. https://www.realestate.com.au/news/the-suburbs-where-homes-are-earning-more-than-their-owners/

Investing in Self-Managed Superannuation Fund (SMSF) properties presents numerous advantages that can amplify your returns. Here are six reasons why incorporating SMSF property investment into your portfolio could be beneficial: Reduced Income Tax Rate at 15%: SMSF properties attract a significantly lower tax rate on rental income compared to personal rates, which can be as high as 45%. This 15% rate enhances your net investment returns by loweringyour tax expenses.Lower Capital Gains Tax of 10%: Enjoy a reduced capital gains tax rate of just 10% when you sell your SMSF property after a holding period of over 12 months, allowing you to keep more of your profit.Tax-Free Income in Retirement: The benefits escalate in retirement, with both rental income and capital gains from SMSF properties becoming completely tax-free, boosting your retirement funds.No Taxes on Retirement Gains: Post-retirement, enjoy zero tax on earnings from your SMSF property investments, securing more financial fr

Enhancing your ability to borrow is a pivotal step towards achieving your home ownership or property investment goals. As a mortgage broker, I play a fundamental role in this journey, providing an essential service by connecting you witha diverse range of lending options. I customize loan solutions based on your unique financial situation and deliver expert guidance throughout the process. With my assistance, you can substantially increase your chances of securing the most favourable termsfor your home or investment loan, bringing your dream of property ownership within closer reach. Your borrowing capacity is the ceiling set by lenders based on factors like your income, expenses, existing debts, and credit history. It determines the maximum amount you can borrow, influencing both the properties you can consider andthe terms of your loan. In my role, I assess offerings from over 60 lenders, ensuring that maximizing your borrowing capacity is a priority, even over finding the lowest i

Did you know your borrowing capacity decreases by approximately 4-5 times your credit card limit, not just the balance? For instance, a $10,000 credit card limit could mean your borrowing capacity is reduced by up to $50,000. There’s no need to adjust your credit card limit before our discussion, but it’s a strategy we can explore to enhance your financial goals. Wondering what else impacts your borrowing capacity? Factors include late payments, any defaults, HECS debt, and certain living expenses. In summary, if you’re curious about your borrowing capacity and how to optimize it for your future purchases or investments, let’s have a conversation. #buyinvestlive

Retire with Ease, Stay in Your Home >> Wondering if you can retire early without selling your home? There may be a way! With a Reverse Mortgage, you can refinance, release equity, and stay in your home. Here’s how it works: take your age and subtract 40 – that’s the maximum % you can borrow in one lump sum or as a regular payment. Key Benefits:- – No Repayments: The debt is repaid from the future sale of your property. – Stay in Your Home: Enjoy your home and community for as long as you choose. – Ownership Benefits: Remain the owner and benefit from potential property value increases. – Flexible Use of Funds: Use the funds for anything to enhance your retirement. – Voluntary Repayments: Variable interest rate allows for voluntary repayments. – No Negative Equity Guarantee: Your estate is protected. – Flexible Drawdown Options: Choose from lump sum, regular advances, or a cash reserve. Let’s chat if this might be of interest to you! PS – you need to see a financial planner a

Discover Secret Listings: Why Off-Market Properties Are a Game-Changer In today’s highly competitive real estate market, finding the perfect property can feel like searching for a needle in a haystack. That’s where off-market properties come into play, offering a unique and often overlooked opportunity forboth home buyers and investors. What are Off-Market Properties? Off-market properties, also known as pocket listings or exclusive listings, are homes that are for sale but not publicly advertised on the Multiple Listing Service (MLS). These properties are typicallymarketed through private networks, word-of-mouth, or direct connections with real estate agents. Why Consider Off-Market Properties? Reduced Competition: With fewer buyers aware of these properties, you face less competition, increasing your chances of securing a great deal without the bidding wars often seen in a hot market.Exclusive Opportunities: Off-market listings can include unique and high-value properties that

In an illuminating survey conducted by Reuters in February, insights from 14 esteemed property analysts suggest an optimistic trajectory for Australian property prices over the next two years. The consensus? A projected annual growth rateof 5%. Despite witnessing significant price surges over the past three years, the forecast signals no halt in momentum. The underlying reasons? A mix of economic stimuli and demographic trends. Key Insights: Increased Borrowing Capacity: ANZ’s senior economist, Adelaide Timbrell, highlights an upcoming boost in borrowing capacity for Australians, attributed to tax cuts and anticipated rate cuts. This financial flexibility isexpected to fuel further growth in housing prices.Population Growth & Construction Backlog: The relentless pace of population growth, coupled with a notable backlog in home construction, lays the groundwork for sustained demand. This demand-supply imbalance is pivotalin driving the market forward. February’s Performance: A Sna

Attention Property Investors! Are you pre-approved and ready to buy? I asked an agent for their “best buy” last night, and this is currently available for sale : a $690k 4-bedroom home with a double garage and alfresco area (and more) in Caboolture, just 44km north of Brisbane. The land is registered, and construction can commence immediately, with an estimated 9-month completion time before tenantscan move in. Interested in understanding your borrowing capacity or getting pre-approved? Let’s have a 10-minute conversation to explore your options. Feel free to reach out! #buyinvestlive

Ever considered the complexities of finding the right mortgage? With over 60 major banks and various lenders in the mix, navigating this landscape requires more than just a keen eye. As a seasoned mortgage broker, I’ve seen firsthand how independent property investments can lead to costly mistakes. Choosing the wrong location, overpaying, or misjudging market trends are common pitfalls. But it doesn’t have to be thatway. Imagine securing your property with: Minimal initial investment (up to 100% financing using equity)Reduced loan amounts and mortgage repaymentsHigh rental income and immediate equitySimplified bank valuation approvals and pre-financing arrangements A trusted colleague of mine always says, “Never lose money.” It’s a principle that should guide every investment decision. Going it alone can lead to: Poor investment choicesFailure to leverage equity and savings against inflationUnnecessary high tax burdens Don’t navigate this complex market solo. Let’s discuss how yo

Reflecting on a decade of facilitating home, investment, and self-employed loans, one might question: Has the process of purchasing a home become more challenging than it was ten years ago? In assessing borrowing capacity, three primary factors are taken into account: Net Income, the magnitude of your deposit, and the varying policies of lenders. These policies can significantly influence the outcome of loan approval and theextent of borrowing capacity, potentially affecting it by tens or even hundreds of thousands of dollars. The landscape of lender offerings is diverse: some do not provide pre-approval services, and there are specific loan-to-value ratio (LVR) limitations contingent upon one’s credit history, the property type, or its location. Factors suchas credit score, types of loans for construction, the utilization of equity as cash (with or without proof of its intended use), the origin of your deposit (whether saved or gifted), living expenses, and the stability of your inc

2024 has well and truly in full swing and our new work year is almost 1/3 done ” looking forward to the opportunities that will come to us all. I was reading some quotes, and this quote was very relevant for us starting out ” for many of us ” the first day back at work. “You don’t have to do everything in one day to succeed, but you do have to get started. Just getting off the ground, getting started, if, for most people, the most difficult part. Once you do, the rest will usually fall into place.” #buyinvestlive

There are two defining characteristics among the nation’s “leading” economists: (1) they are hopeless at forecasting residential property markets; and (2) they refuse to learn from their mistakes.In 2023 economists predicted prices to fall, but instead they rose and they dismissed the outcome as an aberration which “surprised everyone”. Then they keep using the same flawed methodology and are predicting price falls in 2024 because of the impact of risinginterest rates.A year ago, most economists tipped prices to fall at least 15% because of rising interest rates. Instead there were price rises averaging 8.6% for houses and 6.4% for apartments (CoreLogic figures). Several cities and regional markets had annual price risesabove 10%.The key lesson from 2023 is that there are forces more powerful than interest rates impacting property markets. The most important being shortage. There continues to be strong demand in the market at a time of under-supply, destined to get worse in 2024.The th