History shows that the vast majority of millionaires have made their fortunes through property investment.In fact, 86% of the world's millionaires hold their wealth in property. These include well known people like Donald Trump and Robert Kiyosaki, as well as a high percentage of the Rich 200 in BRW list.It's simple. When you have sufficient equity you can borrow the money you need to invest in property.Your repayments can be made by tenants and as anextra bonus the Federal Government provides tax concessions to property investors.
Following are five top reasons for investing in property:
1. Rental income from tenants that pays off the property
2. Increased capital value in the land over time
3. Attractive tax benefits on the depreciation of the physical house 4. Security of ownership as compared to renting
5. A growing asset base for retirement
2. Increased capital value in the land over time
3. Attractive tax benefits on the depreciation of the physical house 4. Security of ownership as compared to renting
5. A growing asset base for retirement
If you have 7 to 10 years to work with, a well positioned affordable investment property portfolio can give you the financial independence and freedom that many of us need for retirement.
For generations, Australians have trusted 'bricks and mortar' as the most dependable and profitable investment strategy.
This is because property doubles in value every 7 – 10 years:
1. Since 1929 property has, on average, increased by 10.8% per annum compound growth, with much higher returns in certain regions.
2.Median priced property in Australia has achieved an excellent growth rate, higher than inflation, making it a very solid investment.
3. Historically, the figures show that the average property value doubles every seven to ten years. Of course, returns vary according to the market, location and type of property, but carefully chosen properties can offer better returns than other forms of investment.
4.Recent reports from the Australian Stock Exchange shows that the property market had out performed shares over the last 10 and 20 year periods. It found that, between 1994 and 2003, residential property investments generated an after-tax return of between 11.4 per cent and 9.3 per cent, depending on investors' marginal tax rates.
2.Median priced property in Australia has achieved an excellent growth rate, higher than inflation, making it a very solid investment.
3. Historically, the figures show that the average property value doubles every seven to ten years. Of course, returns vary according to the market, location and type of property, but carefully chosen properties can offer better returns than other forms of investment.
4.Recent reports from the Australian Stock Exchange shows that the property market had out performed shares over the last 10 and 20 year periods. It found that, between 1994 and 2003, residential property investments generated an after-tax return of between 11.4 per cent and 9.3 per cent, depending on investors' marginal tax rates.
