Resources to help you be a property mogul

Posted by
on Oct 22, 2014

Many Australians are starting to realise that their super may not be so super in supporting their retirement, so they are looking for alternatives to how they will fund their lifestyles post-working years.

Investing in property has been around for donkey’s years, however many that look into the option can become overwhelmed with what they need to know, the processes involved and where to start. If you fall under this category fear not! Jacqui Thompson has written a great article on who you can contact to help you with the journey of building your portfolio.

Below is an excerpt of her article that’s featured on real estate search site Domain.

Solicitor

Buying and selling property involves creating and negotiating legally binding contracts. Along with managing the legal obligations associated with the exchange of property ownership, a solicitor can manage the overall conveyancing process (see below).

Conveyancer

A conveyancer is a legal advisor who specialises in real estate. They can manage the conveyancing process, including:

  • Conducting real estate title searches
  • Overseeing the transfer of title at settlement
  • Organising inspections, valuations and survey reports for the home for sale
  • Examining and advising on contracts for sale and mortgage agreements
  • Managing the settlement process. Always use a licensed conveyancer.

Valuer

The lender must receive a valuation of the property for sale prior to approving your home loan. Obtaining a qualified valuation on your prospective investment property will also help you evaluate the sale price. There are two main industry bodies:

  • The Australian Valuers Institute
  • The Australian Property Institute
    • and their members have completed accredited valuation courses.

Quantity Surveyor

If you are claiming depreciation deductions on your investment property assets, the Australian Taxation Office (ATO) requires that you complete a depreciation schedule. Quantity surveyors are qualified industry professionals who can inspect your investment property and accurately calculate the available depreciation deductions.

The ATO recognises tax depreciation schedules completed by quantity surveyors and engaging a specialist can save you significantly in the long run.

Property Manager

Managing a rental property, let alone multiple rental properties can be very time-consuming, which is why some people choose to engage a property manager. For a fee, they will manage the rental process for you, including:

  • Finding tenants
  • Organising the lease agreement and bond payment
  • Collecting rent
  • Organising repairs
  • Managing tenant requests.

Property management fees are generally deducted from the weekly rental income, are commonly charged at 5 to 7 per cent of the rent (shop around for a number of quotes) and are tax deductible.

To read Jacqui’s full article click here or visit  http://www.domain.com.au/advice