Once the decision to invest has been made, there are a number of
vehicles that can be used to create wealth. We believe the vehicle that
has proven to be the most successful over a long period of time is
The consistent increase in the price of property has made it more and
more difficult for new homeowners to enter the market. This, coupled
with the fact that there is a shortage of housing in our capital
cities; has resulted in a very strong rental market. A growing rental
market is the ideal situation for property investors. Because properties
for rent are in high demand investors are able to get a higher income
on their investment.
Another big benefit of investing in property is the tax relief
provided by negative gearing. Because most of the expenses associated
with investment properties can be deducted from an investors taxable
income, in effect the taxman is covering a considerable portion of the
annual cost of the investment property.
The biggest advantage of investing in property is that as the value
of the property grows, the equity built can be utilised to purchase
additional properties. Property is the only vehicle that gives the
investor the opportunity to benefit from the growth in value without
disposing of the investment.