Editorials

The Team Behind You

October 9, 2017

To really make sure you have a business of property investing and give yourself the best chance for success you need to consider having your own property investment team. That will typically include – a specialist property advisor, accountant, finance broker or banker, solicitor/conveyancer, general insurance broker, property manager, quantity surveyor and of-course you.

Property Advisor, Finance Broker, Accountant, Solicitor/ConveyancerInsurance Broker, Property Manager.  It is impossible to do it all yourself. Enlist the help of a team of professionals that can assist your portfolio building.    Make sure you know up front how the business is being transacted – a finance broker gets paid by the banks for finding the finance deal, a conveyancer or accountant gets paid professional service fees etc.

Property Advisor – All property investment advisors receive marketing fees from builders and/or developers (as a licensed real estate agent) for a transaction of property.  Some also charge additional agency or administration fees, others will charge professional service fees for their advice. Make sure you find out upfront if there are any additional fees from the advisor you select.

*The marketing fees are absorbed by the vendor in the listed price as a part of their marketing budget and is not added to the purchase price in any way.

Your property advisor should take your personal circumstances and investment objectives into consideration in helping you map out a strategy. They should qualify your risk profile and preferences and tailor a solution in presenting you with property options. Your property investment advisor should then consult with you on a pre-determined schedule to ensure that your portfolio is on track and your goals are maintained as realistic and achievable.

Mortgage Broker – Any mortgage broker can get a home loan for you however it takes specialist knowledge to structure finance correctly to ensure that the next step is designed with the overall strategy In mind. If you have a mortgage on your home, you should not be putting any money into an investment property, utilise your equity first and use your cash to reduce your non-deductible debt. If you have concerns about losing your job or having your household income reduced, you should have a safety buffer of equity funds available to keep your head above the financial tide line.

Insurance – this is one cover that you can not do without. With the right insurance your investment property can be flooded or burn down, the tenant can trash the place and do a runner and you will be covered for the loss of rent as well as re-instating your property to pristine condition. Do not ever take risks in this area, cover yourself for any eventuality and sleep well every night.

Accountant get one that has a good grounding in investment property to ensure that you get maximum deductions. They should be claiming all running expenses, mortgage interest paid, depreciation on the building and fittings. They should also be able to help set up an Income Tax With-holding Variation

Property manager – the right property manager is worth their weight in goldYou do not want to be annoyed with trivial requests about changing light globes or fixing plumbing problems or the changing of tenants. Give your property manager the scope to work at their own initiative up to a $1000 spend and make sure they are always working in your best interests. The cheapest quote does not necessarily mean the best service. As a property investor I am always happy to pay for the service of not getting involved in the day to day running of the property. All I want is the rent paid on time and a statement of any relevant expenses.

All the information in the world does not help if you sit on your hands.

IFP Advisory is a specialist company that takes investors from wherever they are currently positioned to where they want to be in the future.

We will determine:

  • Your tax benefits
  • Your funding requirements
  • Your borrowing ability

As a qualified member of the ASPIRE Advisor Network, we have instant access to over 900 properties throughout the country via a real time web portal.

In minutes we can enter your investment criteria and short list suitable properties for you to review.

You can feel secure that we are completely independent and our advisory work is provided without obligation to qualified investors with NO upfront fees.

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IFP Advisory is a qualified member of the ASPIRE Advisor Network. ASPIRE is an industry leading network of qualified, experienced and ethical Advisors who provide quality,unbiased investment advice to their clients and assist them in facilitating the acquisition of appropriate assets.