Six Key Benefits of Property Investment
1. Capital growth.
If you do your research and buy the right property, in the right place you can realistically expect the underlying value of your asset to grow over time, unlike money in the bank.
2. Rental income.
Unlike shares or a term deposit there is no need to wait until the end of your term to receipt dividends. With an investment property you could conceivably start receiving an income straight away.
3. Tax benefits.
Property investors receive a number of tax benefits including claiming on interest and expenses, and on depreciation of the building and some fixtures and fittings (Negative Gearing).
4. Strong demand.
Capital city immigration rates are high, rental vacancies are at all time lows and if predictions are correct, property shortages are set to continue well into the medium term future, meaning property prices will increase.
5. Higher level of control.
As a property owner you can choose to add value to your investment through renovation or cosmetic improvements.
6. Lower volatility.
Whilst the property market does experience lows and highs it is traditionally not as volatile as the sharemarket.