What better time to review your investment strategy than the start of a new year. There are a few simple ways to maximise your return that are all too often forgotten.
It is common for a landlord to pass on water consumption charges to their tenant. This is very straightforward however as with anything, there are guidelines to follow.
When referring to a Unitywater bill, it is the “state bulk water charges” and “water usage charges” that can be passed on to a tenant. The landlord remains responsible for sewerage usage and fixed access charges.
While the Residential Tenancies and Rooming Accommodation Act (2008) does not make specific reference to the solar bonus scheme, the Electrical Act 1994 does state that the person who has the electricity account in their name is entitled to the bonus. Therefore, providing it has been made very clear to your prospective tenants at the start of their tenancy, you are well within your rights to keep the electricity account in your name, charge your tenants for electricity usage and keep the rebate yourself.
One benefit that often goes unconsidered by potential investors when investing in property is the depreciation benefits available. According to the Chief Executive Officer of BMT Tax Depreciation, Bradley Beer, research shows that 80% of investors don’t maximise the depreciation deductions available from their properties. Considered a non-cash deduction, investors don’t need to spend any money to be able to claim depreciation. It is a deduction available for any wear and tear which occurs to the building structure and the plant and equipment assets contained in the property over time.
If you would like to discuss your investment strategy with our experienced property management team, please contact Sales & Portfolio Manager Amanda Lawther on 0429 861 249.