(Brisbane) Latest figures for property values in Brisbane City have home owners laughing all the way to the bank, as the statistics indicate that property values are on trend to extend by 2.2 percent every year.
Investment property guru Micki Holder says that the projected phenomenal growth in Queensland real-estate values is encouraging many of us to invest in the property market,”There is a distinctive market for investors wanting to buy quality real estate which will serve as investment property. First time stockholders abound, however they have done their homework and there is an probability that rental yield will be positive, if not honest to goodness competitive. Investing in house and land packages is a highly attractive option. ”
Holder announces that doubt is a big element that holds many potential real estate investors back, in particular there is uncertainty around maintenance and repairs costs,”Buying a rental property in a high demand area kind of guarantees low vacancy rates, however the potential for high mend costs on existing housing stock is the large unknown. ”
“Making a capital gain is a driving factor for some backers, who plan to retire off the profits of a rental property that they have paid off over a period of 20 years or so”. Holder announces that good rental yield and capital gains do not always co-exist, however she explains that house and land packages address many of the risk factors presented by older housing stock,”Many of our clients come to us for confirmation that purchasing an investment property in a blue chip area of the town is not a financially responsible thing to do. They are extraordinarily surprised at this analysis, given the increases expected in capital gain projected over the lifetime of the investment, say 20 years. ”
Capital gains tax and the cost of maintaining an older property located in a blue chip area can make dreadful inroads into any increase in property worth. Holder says that having attention on rental yield from house and land packages shifts the point of view away from capital gain.
An annual rental yield of 6 percent is usual for the properties that Holder presents to her clients. Holder says that a 20 to 25 per cent deposit will be adequate to get a foot in the door, with many properties being paid off during 20- 25 years. Nevertheless Holder asserts that with rental yields providing a competitive investment, lots of her clients choose to have a low debt ratio and live off the rental proceeds,”Generating retirement income from a fresh home is viewed as really low risk by our clients,” claims Holder.
House and Land Solutions is a specialist in turn key home and land packages for both the investment market and also for the owner occupier. House and land solutions is a boutique business created by Micki Holder, an absolutely licenced agent who has been concentrating on new construction for years. House and Land Solutions focus is to give customers cost-effective decisions when building a new home.