Real Estate News


Don't Be an Auction Lemon


  If you’re considering selling your property, speak to a Private Negotiation Specialist at Pennisi who understands the limitations of auction.   Call 9379 5616 or email sales@pennisi.com.au to request a free sales appraisal today. 

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Land Tax Bites: Correct Structure is the Key


    Article by Peter O'Malley   The 2019 land tax notices were recently delivered to the chagrin of some landlords. Examples of landlords being issued $50,000, $60,000 even $70,000 land tax bills was fairly common during February.    One landlord, a self-funded retiree, who has fought hard to buy 5 properties over his working life, was hit with a $68,500 land tax bill on income of $150,000. Some people would deem/debate this gentleman is rich – let’s just agree he is not poor. From the $150,000 he earns from his investment properties, he pays out council rates x 5, maintenance x 5, income tax on $150,000, letting fees on vacancy, management fees x 5 and now a whopping $68,500 land tax bill.   In such a situation, you can claim the landlord is very fortunate to have accumulated such assets. The reality is, he and many others are being severely punished with crazy land tax bills for being structured incorrectly, rather than a rebalan...


State Land Tax Explained


  And What to Do If You Object...    Land tax is an annual tax payable by owners of land. Land tax is administered by each state or territory government and is applicable everywhere except for the Northern Territory.   The laws between each state are comparable, but there are some variations in thresholds and how the taxes are calculated. The amount of land tax you pay is determined by the combined unimproved value of taxable property. If your business owns property, then it is likely you will need to pay land tax on it.   It is important that you know what your entitlements are, because land owned by some types of organisations can be exempt from land tax.   Your main home (i.e. permanent residence) is generally exempt from land tax.   With the market softening in some states, it appears that some UCV (Unimproved Capital Value) assessments have increased, where in fact, many believe they should have reduced or remained static.   Inv...


20 Things to Think About When Buying an Investment Property


      What do you want to achieve financially? How much will a bank lend you? What percentage deposit do you require? What investment strategy are you going to use? How many Essendon investment properties do you want in your portfolio? What type of property/s do you want to buy? What area do you want to buy in? Will you see a mortgage broker? Should you choose a solicitor or a conveyancer? Who are you going to take advice from? What is your strategy for researching the market? What are the vacancy rates in the area you are looking to buy? What are the average rents? Will you buy old or new? Are you prepared to renovate? Can you afford to lose money? Can you afford the repayments? Have you done a cash-flow analysis? What growth indicators does the area have? Do you have an exit strategy?   Talk it Through With a Local Agent   It can be an overwhelming list to consider at all once, but with the right advice and local market know...


The Purplebricks Walk of Shame


  Two and a half years after entering the Australian market with a promise to shake things up, UK fixed-fee agents, Purplebricks, have fallen from grace with egg on their face. Chairman Paul Pindar’s apology to shareholders for the company’s disappointing performance does little to acknowledge the real reasons why, we believe, fixed-fee models are destined for failure. We don’t want to say we saw it coming, but the red flags were everywhere… Why would anybody list with an agent who’s incentivised by LISTINGS, rather than SALES?!     Purplebricks Apology to Shareholders - Chairman Paul Pindar     “During the two and a half years that Purplebricks has been operating in Australia, market conditions have become increasingly challenging... This, combined with some execution errors, has resulted in the business not delivering the progress the Board expected. With hindsight, our rate of geographic ...