For Sale: 31/5 Park Avenue, Crawley

Hi Followers

Located in boutique complex between the Swan River & Kings Park is this 2 level town house that has been renovated throughout for the convenience of modern living.



ACCOMMODATION: 3 bedrooms, 2 bathrooms, kitchen, living area and casual meals & double lock up garage.

FOR SALE: $980,000

For further information or to arrange a private inspection please contact me on 0405 570 903

DEB BRADY
0405 570 903

The Weekend Australian

Hi Followers

Some of you may read The Weekend Australian prestige Property section, if not grab it for a good read as I'm quoted talking about The Western Suburbs market.

DEB BRADY
0405 570 903

St Bartholomew's House information

Hi Followers

As most of you would know I'm involved with the St Bartholomew's house. Ive posted several links below regarding the foundation.

http://stbarts.org.au/2012/06/art-auction-26-july-2012/

http://stbarts.org.au/2012/06/an-audience-with-the-abc-money-men/

Should you want further information or just to chat about the great projects the foundation is involved with please call me on 0405 570 903.

DEB BRADY
0405 570 903

"Property back in favour"

Hi Followers

Came across this today and thought I'd share:

Investors are starting to come out of the woods and dip back into the property market, according to CommSec’s Economic Insights report.

The latest survey shows respondents increasingly believe property is the best place to put finance, with 25 per cent of those questioned saying they’d put their money in property before savings, paying down debt or investing in the stockmarket.

This is a sharp turnaround in faith in property, up from 18 per cent of respondents saying they’d put their money in property in the previous quarter.

“No doubt the fact that interest rates are coming down, immigration is rising and new building remains weak were all aspects causing respondents to nominate property as one of the wisest places for new funds,” CommSec says.

“In other words, demand is expected to rise but the supply of homes isn’t expected to keep pace, so prices are expected to rise.”

The number of respondents claiming real estate was the best place to put finance was the highest reading in almost seven years. This compared with the lowest reading for shares in almost 20 years, with just 5.3 per cent of respondents saying they’d put their money in shares.

“The positive views on property purchases represent good news for the beleaguered housing market,”CommSec says.

“Hopefully consumers will follow through on expectations.”

This information was gathered from:
http://www.apimagazine.com.au/api-online/news/2012/06/property-back-in-favour

DEB BRADY
0405 570 903

FOR SALE: 1-3 Brixton Street, Cottesloe

Hi Followers

The thirteen apartments (starting from $495,000 per apartment) at Brixton 6011 comprise of nine one-bed and four two-bed apartments over the First and Second Floors, which include a secure entry and carparking, a well lit central courtyard, clean contemporary finishes, usable balconies and courtyards. As would be expected from a development of this nature, the interior fitout will to be to a high standard. Walking distance to Cottesloe Beach. Hop skip and jump to any form of public transport. A selection of coffee shops and restaurants on your doorstep. Living in the heart of one of the best suburbs in the country!

There are a selection of 1 & 2 bedroom apartments starting from $495,000. For further information please visit www.brixton6011.com.au or contact me on 0405 570 903.

DEB BRADY
0405 570 903

What fees can you claim as tax deductions?

Hi Followers

As tax time is just around the corner I thought I'd share this:

You might be pleasantly surprised to discover some of the professional fees you’re entitled to claim in relation to your investment property.

by Julia Hartman

Fees to financial planners.

The fee paid to an investment advisor for the initial drawing up of an investment plan isn't tax deductible but it can be included in the cost base of the investment. Only ongoing fees for monitoring your portfolio are deductible according to Tax Determination 95/60. Some financial planners have a ruling stating that their fees are tax deductible. This ruling is only applicable to fees they personally claim as a tax deduction. You must have a ruling in your own name to be able to claim the fees you've paid. So ask them for a copy of their ruling and quote it in your application. Make sure their ruling correctly describes your circumstances.

Buyers agent.

The fee they charge for finding a property is part of the cost base of the property, so only claimable when the property is sold. If they later help you with managing the property the fee for that service would be deductible in the year it's incurred. If they organise finance for you that cost can be claimed over five years. Registered tax agent. Fees paid to a registered tax agent in regard to taxation advice are always deductible. But this doesn't include the preparation of an investment portfolio by a registered tax agent. The cost of travel to a registered tax agent is also deductible and if you're claiming car travel on a kilometre basis it doesn't count towards the 5000-kilometre limit.

Solicitor's fees.

Fees to recover rent or draw up a lease are deductible when incurred. Solicitor's fees relating to the property loan are deductible over five years. Conveyancing costs are included in the cost base of the asset for capital gains tax (CGT) purposes.

Building inspection and pest report.

Included in the cost base. Refer section 110-25 (3) of the Income Tax Assessment Act.

Finance broker.

Deductible over five years as part of borrowing costs.

Valuation fees.

If the valuation is just for your own peace of mind then it forms part of the cost base under section 110-25 (3). If it's for the bank then it’s a borrowing cost so it can be amortised over five years.

Real estate agent.

The commission you pay on the sale of the property is included in its cost base for CGT purposes. Fees you pay to a real estate agent for managing your property are deductible when incurred.

Quantity surveyor (depreciation) report.

This is a cost of managing your tax affairs so it's deductible in the year it's incurred.

Seminars and publications.

Tax-related books are definitely deductible, as it's to help you manage your taxation affairs and not to provide advice on buying rental properties. Investment magazines such as Australian Property Investor and newspapers such as the Australian Financial Review are deductible, providing there's no private use (tax case T96). Less specific publications such as daily newspapers are less likely to be deductible because it's difficult to argue that there's no private use.
Seminars are only tax deductible if they relate to producing income from the property, so when a seminar teaches you how to find a good property or renovate it you can't claim a deduction against the rent for the cost of the seminar. If it also covers how to manage the property and how to buy or improve it, then you can apportion the expense on the basis of the percentage of time spent on that topic (Interpretative Decision 2003/324). You may be able to include the remaining costs as part of the cost base of a property under section 110-25(4) or (5) if you can link the seminar to that particular property.

Stamp duty.

On the loan it's deductible over five years, but stamp duty on the purchase of the property is only included in its cost base.

Travel.

If the professional fee being incurred during the travel is deductible then so will the travelling expenses be. This can include food and accommodation if you need to sleep away from home overnight, but if the trip has a private motive as well the costs will need to be apportioned. The primary purpose of the journey is important here. If the primary purpose was regarding your rental property then you can claim the cost of travelling there, but if you then go sightseeing you can't claim your meals and accommodation for those days. If the trip has a combined purpose then the costs of getting there are apportioned on a time basis between the deductible purpose and the private purpose.
Note - if you purchased the property after August 20, 1991 and missed out on claiming any of the costs listed above as claimable when incurred, you can still claim them in the property's cost base if they relate to the property (section 110-25 (4)).

This information was gathered from:
http://www.apimagazine.com.au/api-online/property-investment-articles/what-fees-can-you-claim-as-tax-deductions

DEB BRADY
0405 570 903

Cottesloe History: Who planted all the Norfolk Pines Around Cottesloe, when and why?

Hi Followers

I came across a great little article in TODAY liftout of the paper that I want to post about:

Norfolk Island pines are a distinct feature of the suburb of Cottesloe. They provide a cool beautiful street scape admired by all who view them. Their origin can date back to the early part of the 20th century.

The Cottesloe Roads Board in 1915 purchased 168 small Norfolk Island pines in an effort to beatify the suburb. The 18-inch high saplings were planted along John Street and watered by the Boards watering cart. Picket guards were placed around the trees to protect them from grazing cows, goats and horses which roamed the area and they were meticulous tended by the Roads Board member William Zimpel and John Doscas, who both lived in John Street.

Both men claimed responsibility for fostering the idea of planting Norfolk Island pines. There is, however, evidence ti Support their claim.

This information was gathered from the TODAY lift out of The West Australian Newspaper Tuesday May 15 2012.

DEB BRADY
0405 570 903
 

"Spike in borrower activity during May: AFG"

Hi Followers

I came across this article that I want to share:

Australia's largest mortgage broker has defied data that suggests borrowers are treading cautiously, to record their biggest month in three years.

Yesterday, Australian Finance Group (AFG) announced it had processed more home loans in May than in any month since March 2009.

The AFG Mortgage Index found the company processed over $3 billion in loans during May.
AFG said it handles around 10 per cent of mortgages settled in Australia.

Leading the country was Western Australia, where home loans processed hit an all time high of $683 million for the month.

AFG’s general manager sales and operations Mark Hewitt said the spike in activity could be largely attributed to the rate cut last month.

“The automatic assumption would be that we’re seeing the effect of the rate cut at the start of May, but that’s only part of the story. We’re probably also seeing more borrowers turn to brokers to help them get the best deal in an increasingly competitive and complex market. In addition, May is generally a stronger month, after the public and school holidays in April,” he said.

“These figures do not conflict with the softening house price data published late last week," he continued.

"Mortgages are processed before sales are confirmed, so our data is more a snapshot of where we are right now. Reduced property prices and interest rates are bringing more people back into the market, but anecdotally, many potential borrowers are still worried by both the offshore news as well as weakening conditions at home.”

This information was gathered from:
http://rebonline.com.au/breaking-news/5139-spike-in-borrower-activity-during-may-afg

DEB BRADY
0405 570 903

"RBA cuts rates"

Hi Followers

Rates cut again!

considering the cash rate was slashed by 50 basis points in the same month. Not only did home values fall further in May, but we also saw consumer sentiment remain fairly steady suggesting the May rate cut has had little effect in stimulating consumer confidence and spending. The rate cut today will provide a further boost to housing affordability, which the RBA has recently suggested is back around levels not seen since 2002.
The Reserve Bank of Australia has cut the official cash rate for the second consecutive month.
The decision came as no surprise to many economists after last night’s share market fiasco.

Australian shares hit a six month low at close of business yesterday, wiping approximately $23 billion from the share market.

The share market drop, teamed with the recent drop in national house prices, forced the Reserve Bank to cut the cash rate 25 basis points to 3.50 per cent, according to RP Data’s national research director Tim Lawless.

“Our latest index data showed capital city home values fell by 1.4 per cent over the month of May which is a factor the Reserve Bank would have been conscious of when deliberating their interest rate setting,” he said.

“Such a significant fall over a single month was unexpected
“The big question now is how much of the rate cut will be passed on by the banks privately and whether this will be enough to provide a shot in the arm for the housing market.”

Angus Raine, CEO of Raine & Horne, said he expected a larger drop today.

“I was anticipating a 0.5 per cent cut, however until we know more about the fallout from the European debt crisis, a 25 basis point cut now, with another 25 points in July, is probably the most sensible course of action,” he said.

“The move by the RBA to cut the official cash rate to 3.5 per cent will provide much needed respite for owner-occupiers as lower interest rates will also help offset the impact of rising energy costs as we face the prospects of a very cold winter,” added Mr Raine.

“Likewise, with share markets around the world down by between 10 per cent and 20 per cent from their 2012 peaks, lower interest rates will help encourage more investors to take the plunge into a real estate asset, especially with vacancy rates across Australia near all-time lows.”

This information was gathered from:
http://rebonline.com.au/breaking-news/5137-rba-cuts-rates

DEB BRADY
0405 570 903

"WA Budget indicates robust growth ahead"

Hi Followers

Came across this great article that I wanted to share:

In the 2012-13 Western Australian Government Budget paper handed down almost two weeks ago, a healthy 6.7 per cent growth in property prices has been estimated for the coming financial year, with sustained increases ahead.

The WA Budget paper’s economic forecasts for 2012-13 reports the established house price index to jump from -2.5 per cent annual growth in 2011-12 to a mighty 6.7 per cent for 2012-13, higher than the consumer price index estimate of 3.5 per cent per annum and the wage price index estimate of 4.5 per cent per annum.

The Budget paper also indicates increasing transaction volumes toward a long-run trend. The paper reports an estimated 17.6 per cent growth for transfer duty in 2012-13.

Beyond 2012-13 transfer duty is estimated to be approximately 9.6 per cent per annum, though the paper states these estimates are still lower than the duty raised in 2006-07 and 2007-08.

Rental growth is looking good for WA landlords, with rental vacancy rates continuing to tighten, decreasing to 2008 levels. The Budget reports Perth’s average weekly rent has increased by eight per cent from last year to $400 per week this year.

More WA landlords are likely to receive higher land valuations in 2013-14, a reflection of the pick-up in the housing market in 2012-13; the Valuer General estimates land tax to return to the long-term average of 10 per cent per annum.

When comparing this 10 per cent increase in land tax growth to the 6.7 per cent increase for the established house price index, what this means is a higher proportion of investors compared to owner-occupiers will return to the market because naturally only investors pay the land tax, said Gavin Hegney of Hegney Property Group.

When combining all the Budget paper indicators including the strong labour market, the housing picture it paints is a very bright one, said Hegney. “We’re clearly ahead of the other states in the cycle.

 We have very strong business investment, a strengthening labour market, a lowering unemployment rate and now we’re seeing upper pressure on wages; all that flows through to house price growth.

“Stepping back from the numbers though, people are gaining confidence again in Perth. It looks like we’re in for some robust growth ahead,” Hegney said.

This information was gathered from:
http://www.apimagazine.com.au/api-online/news/2012/05/wa-budget-indicates-robust-growth-ahead

DEB BRADY
0405 570 903

Thinking of Selling?

Hi Followers

Are you thinking of making a move? Up sizing or down sizing? Call me today for an obligation free market appraisal.

DEB BRADY

0405 570 903