Insider Tips to Help You Discover How to Succeed with Commercial Property
IN THE LAST article, you read about two different types of security that lenders can take other than the mortgage. They were “Fixed and Floating Charges” and “Personal Guarantees”.
However, there are a few other forms of security that you should be aware of before entering into any agreements. Read on to find out more. [Read more…]
WHEN YOU TAKE out a property secured loan, you understand that a lender will register a mortgage against the property that is being secured.
However, typically, when you read through actual loan agreements, the mortgage is just one part of the security that is taken.
In this article, we will be looking at some of the other types of security that lenders will typically request when applying for a loan. [Read more…]
ARE YOU FAILING to take advantage of the depreciation deductions available on your property because you believe your property is too old to warrant making a claim?
Your assumption is wrong and you could be missing out on valuable deductions. [Read more…]
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THIS CHART APPEARED as part of a recent article in the Financial Review, by Mercedes Ruhl (30 October, page 41).
The article reassured investors that the anticipated short-term surge in sublease space (within Australia’s CBD Office markets) has simply not eventuated.
“Sublease space spikes at times when the economy is weak and business confidence is low because companies are restructuring and downsizing.”
Furthermore, the article suggests the overall amount of sublease space is expected to fall sharply over the next few months — following the post-election improvement in business confidence.
And of all the capital cities, the CBRE research shows Melbourne has provided the greatest improvement over the past year. [Read more…]
Commercial Vs Residential Property.
LAST WEEK, we covered the different types of Depreciation and the depreciation rules for tenants in Commercial properties.
Read on now, for the rules for claiming occupancy in a Commercial/Residential property — plus another useful tip, when it comes to when claiming deprecation. [Read more…]
THIS IS THE FIRST of a 2-part article, to help provide you with a useful comparison between the depreciation of Commercial and Residential property.
Investors considering purchasing an investment property will often enquire whether a Commercial or a Residential property will provide them with more deductions in the form of depreciation.
However, there are many important factors you need to be aware of when making a choice between these two investment options. [Read more…]
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LAST THURSDAY, The Australian Financial Review published an article (page 42) by Mercedes Rueh highlighting the emerging trend of Hubs and co-working spaces in Melbourne and other Australian capital cities.
What you need to take away from the article is that the nature of work is changing. And therefore, creating new opportunities for you and other Commercial property investors, who are flexible and forward thinking. [Read more…]
COMMERCIAL PROPERTY FINANCE rates and fees are much more fluid than those associated with residential loans.
To get the best deal, you should know what the banks look for and consider the other factors that go into pricing for commercial loans. The following ways may assist you in securing better pricing for your commercial loan. [Read more…]
THE AUSTRALIAN Taxation Office (ATO) has released a new tax ruling — effective from the 1st of July 2013.
Replacing Tax Ruling 2012/2 , Tax Ruling 2013/4 explains the methods you should use when determining the effective lives of depreciating assets.
While Table B of Tax Ruling 2013/4 lists the effective lives of depreciable assets currently recognised by the ATO.
The tax ruling in effect at the time you acquired an asset determines the effective life of that asset. Therefore, any changes the ATO have made to the effective lives of assets in Tax Ruling 2013/4 — only affect assets purchased and installed for use after the 1st of July 2013. [Read more…]
RESIDENTIAL PROPERTY INVESTORS commonly release equity in their homes in order to invest in other property. But can you do the same with your Commercial property?
It is possible for you to utilise the equity in Commercial property … but it is a bit more difficult and complex than with residential property.
Banks are more risk-averse to Commercial property funding than they are to the residential market. And they will want to have some measure of control over the use of funds — before releasing cash to you. [Read more…]
LIKE ALL THINGS, there is a “right” approach and there is a “wrong” approach to finding the perfect builder for your project.
Some developers, investors and building owners fall into the tempting trap of trying to cut costs — by bringing in builders who offer to work for much less, but who may not have the experience needed for that particular project.
These people hope that by reducing initial costs, they can boost their overall profits. Unfortunately this tends to backfire on them, more often than not. [Read more…]
WHEN IT COMES TO MAXIMISING your property income, depreciation is a powerful tool that is often overlooked.
As a Commercial Investor, you have a unique advantage over those investing solely in residential properties.
FINANCIAL INSTITUTIONS HAVE a range of methods for evaluating commercial properties, but there are some general guidelines that they typically follow.
One of the key numbers that banks focus on is the property’s Net Operating Income (NOI), which is essentially the rental income minus expenses.
WITH EVERY NEGOTIATION, you always need to be thinking on your feet. And here are several simple Tips to help you do just that.
WHEN YOU EMBARK on your journey as a property investor, it can be overwhelming – with a flood of information and diverse opinions. To help simplify the process, here are five essential tips for new (and seasoned) investors.
IT DOES NOT MATTER whether you’re an investor or an owner-occupier, there are several important factors to consider when purchasing a commercial property to ensure you make the right choice.
In a previous article, I shared a handy App to assist you in shortlisting potential properties. If you haven’t already downloaded it, simply click on the HiReturn Filter over on the right, to install it on your tablet or mobile device.
THERE IS A BELIEF among many experts that a surge in the stock market typically precedes a recovery in the commercial property market by about six months. And the start of this year saw equity markets gaining some momentum.
I HAVE BEEN ASKED countless times about the secrets to a successful negotiation. And I want to share with you the key elements to help make your negotiations effective.
But first, just watch this short video to gain a quick understanding of these three essential elements that form the foundation of every negotiation.
