Category: Investment Strategy

Investment Strategy

Mar. 14, 2025 By Matt Canty Off

Smart Mortgage Hacks: How to Pay Less Interest and Own Your Home Faster

Home ownership represents a huge financial investment, and usually the biggest loan most of us will ever have is a mortgage. It may seem like it’s a long way down the line before we become mortgage-free, but making smart money decisions can cut years off your mortgage and save you thousands in interest. By getting on top of things, you can actually make a difference. Increase Your Repayments When Possible Lenders impose minimum repayment levels, but that does not mean you have to pay just the minimum. Extra repayments, even in small amounts, can make a huge difference to your loan over the longer term. One easy trick to try this is by rounding up repayments. So, for…

Jan. 16, 2019 By Smart Property Off

How Do We Charge for Our Services: Property Investment Strategy Fees

How Do We Charge for Our Services: Property Investment Strategy Fees Many prospective clients naturally want to know, “How do you charge for your services?”. We’ve experimented with several fee models over the years and eventually found a model that works for us and works for the client. Here’s how we charge and how we arrived at this point. If our initial recommendations are unsuitable, we’ll redo the process for free until you’re satisfied. Our income comes from the property vendor, who pays us a commission for each completed sale. This structure makes the strategy formulation process “free” to the client and: Makes it easy for clients to say “yes” Deters people who aren’t ready for or committed…

Aug. 15, 2018 By Smart Property Off

Ownership And Investment Structures For Property Investors

Optimal Property Investment Structures: A Comprehensive Guide Investing in property offers a variety of strategies, each with its own unique benefits and challenges. Understanding the different ways you can structure the purchase and ownership of your property assets is crucial for maximizing your returns and minimizing risks. The Importance of Professional Guidance Seeking professional guidance from an experienced property investment expert is highly advisable when determining the best structures for your specific needs. Property investment is not a “one size fits all” proposition; different structures have varying tax repercussions and advantages depending on your investment goals and methods. Key Takeaways: Different property investment structures have varying tax implications and benefits. Individual ownership is simple but exposes assets to litigation…

Aug. 15, 2018 By Smart Property Off

What Is Negative Gearing And How Does It Work (With Examples)

Negative gearing is a property investment strategy where the loan interest cost and other expenses associated with holding a property exceed the rental income, thus producing a cash flow shortfall. Negative gearing has received a lot of bad press, with some social commentators suggesting it’s one of the primary reasons many young would-be homeowners are being priced out of our property markets. Negative gearing was introduced by the Hawke/Keating government back in 1985 to encourage more private investment in rental accommodation in a bid to reduce the growing strain on public housing demand at the time. It essentially allows property investors to hold housing assets that are geared, or funded by borrowings from a lender, and offset the…

Aug. 10, 2018 By Smart Property Off

Positive Cashflow Property Investment: The Complete Guide

Positive Cash Flow Investment Property Positive Cash Flow Investment Property is property that pays you every week, just to own it. That might sound great (and it certainly can be), but there is much more to cash flow positive property investment than meets the eye. In this article, we’ll explore what cash flow positive is (and is not), as well as cover some of the benefits and risks when buying cash flow positive real estate. So let’s get started. What is Positive Cash Flow Property? Definition: Positive Cash Flow Property is an investment property where the annual rent exceeds the total annual expenses, after tax deductions and depreciation are taken into account. In other words, this is a…

Dec. 8, 2016 By Smart Property Off

The Importance Of Yield In Property Investment

In a world of ever falling interest rates, more and more SMSF trustees are being pushed out of their comfort zone, having to move out of their cash investments and looking for more rewarding options. As of the time of writing this piece, CBA is offering a 3% p.a. return on its 12 months term deposit and 1.25% p.a. on its Netbank Saver account. The first is barely above inflation while the second is actually lower. While looking for higher yields, many trustees who have had their superannuation invested in cash or bonds for a very long time turn to property, an asset which they understand better and potentially perceive as less risky or volatile than shares. They…