Why Australian Property?
Michael Bentley
Chapter 1.
Why Australian Property?
Australian property
has proven to be a safe, secure and profitable investment.
However,
not all property performs to the same levels.
The
question of timing does come into it, as well as several other critical
factors.
Firstly,
let's see what, in fact, Australian property can offer you as
an overseas
and
international investor
•
You will get a FREEHOLD, secure title.
•
There has been a strong history of Capital Growth.
•
You need a deposit of around 20% of the price to enter the market.
Whilst
still
relatively low, this greatly protects the
“downside” as unlike the U.S.A.
Australia
does not tend to offer 100% or higher loans to people without jobs.
•
Banks will still lend investors money for longer, at lower interest
rates, for
Australian
residential property than for virtually any other commodity.
•
As the owner, you can control many aspects of the investment.
•
There is a ready and growing supply of quality tenants.
•
There is fair landlord/tenant legislation – the
“sitting tenant” concept is
virtually
unheard of.
•
There are exceptional tax benefits available for overseas investors.
•
You can “add value” as the property ages,
increasing dramatically the
market
price.
•
It is entirely possible to achieve returns of 20, 30 or more per cent
per
annum,
as a return on your capital outlayed.
•
You don't have to watch it every day. It needs very little
monitoring.
•
You do not need to actually sell to get your money out.
•
Unlike the stock market, it is virtually impossible make a truly poor
direct
property
investment, which decimates your capital.
•
Virtually all banks accept property for security.
•
Real Estate is a necessity, people need shelter, and they need someone
to
provide
it.
•
There is enormous past, current and continuing demand.
•
Taxes are low, and simple to understand for overseas investors.
•
Professional property managers are readily available, meaning it is
relatively
easy to make an- easy- to- manage investment whilst living
overseas.
•
The financing rules are also simple, and interest rates are variable or
fixed,
at
your option.
Australian
real estate today still holds all the same characteristics and
fundamentals
that have stood it so well over time.
But
you can not buy just any property and hope to do well.
Foreign
investors need to be armed with research and the tools to make
informed
decisions.
(From the E- Book, The Foreign Investors Complete Guide to Buying and Profiting from Australian Real Estate" published in 2009 Click here to read more)
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