This website has been prepared by Smart Property Adviser Pty Ltd. Its contents have been prepared without taking into account the objectives, financial situation or needs of any particular individual. It does not constitute formal advice. For this reason, any individual should, before acting, consider the appropriateness of the information, having regard to the individual’s objectives, financial situation and needs, and if necessary, seek appropriate professional advice.
Information herein includes material obtained from third parties considered to be accurate.
The advice, education and information provided on this website is of a general nature only and is not to be considered as financial advice. Smart Property Adviser Pty Ltd is not permitted by law to offer you financial advice and we will not do this under any circumstances.
This website and any associated reports, articles or documents are available based on the understanding that you will not enter into any purchase of property relying purely on the figures or information presented or produced on this website.
On being supplied with the abovementioned information you agree to consult with your accountant or Financial Planner to determine the accuracy and the suitability of any proposed property investment in relation to your individual circumstances. You also agree to consult with your Accountant when tax rates and depreciation rates change.
You should consult with your Financial Services Professional Adviser regarding the viability of any investment generally. If you do not have a Financial Planner or Accountant Smart Property Adviser Pty Ltd can refer you to suitable professionals who may be able to assist you.
Smart Property Adviser Pty Ltd disclaims all liability for any loss or damage suffered by any person of, or in connection with, the provision of information on this website, or the purported reliance thereon by any person.
RISKS OF INVESTING IN PROPERTY
Any investment in residential property – like all investments – carries with it a number of risks. If these risks eventuate, your income might be lower than expected – at times there may be no income. In life, there are no guarantees – there are also no guarantees that the capital value of your investment will increase; in fact it could fall.
The key risks pertinent to property investment appear below:
- the property you purchase may not provide the income it was expected to produce
- the property you purchase may not provide the capital gain you expected
- there is a risk that your property may, for periods of time, lie vacant & hence not generate income
- maintenance & repair costs are the investor’s responsibility & can vary, and at times be significant.
- Such costs are often recoverable from rental bonds or under insurance policies
- it is the investor’s responsibility to ensure they have appropriate insurances in place at all times. These could include, but are not limited to: Landlords Insurance, Property Insurance, Contents Insurance, Strata Insurance, Income Protection Insurance.
- there are a number of factors that may affect the general property market in each Australian State or Territory.
- the amount you borrow (gearing) increases the volatility of your investment. As is the case in the initial stages of any investment, a significant fall in the investment’s value may result in what is known as ‘negative equity’. In this instance you could owe more than the value of your investment.
- increases in interest rates often increase the cost of borrowings.
- changes in laws or their interpretations including taxation, superannuation & corporate regulatory laws, practice & policy could have an impact on your investment If you require further information in relation to the above you should consult with your tax advisor, accountant and/or financial planner before investing in residential property.