Introducing your 'invisible tenant'

Clarke R Warnock B.Ec. (Monash University)
Tax Depreciation consultant to Deppro Asia Pacific. Accredited Broker with the Mortgage & Finance Industry Association of Australia. DFS F. Investment Property Advising. Tier 1 ASIC 's PS 146 requirements (Kings International College)

Every investment property has one. But very few people collect their rent. Let me explain...

Let’s say you paid $350,000 for a two bedroom unit and gain a rental return of $350 per week – you may consider it to be a good return. But do you realise you may have an “invisible tenant” who could to pay you an extra $100-$150 per week to boost your cash flow?

Using our in-depth knowledge of tax, depreciation, financing and structuring property investments, we have developed a unique ‘invisible tenant’ cash flow formula. All Property Results clients who qualify will gain access to this formula to grow their income.

One of our current clients — an accountant — purchased a property for $520,000 with a solid rental return of $500 per week. After we applied the ‘invisible tenant’ formula he gained an extra $362 per week for the first year! That’s $882 per week for a $520,000 property!

6 things you must consider before you invest

Whether through home ownership, renting or talking to friends and family, we all have some experience with the basics of property investment.

However, unless you buy and sell regularly, how can you keep up to date with all the latest benefits, alternatives, regulations, risks and profit-making opportunities on the market?

There’s plenty to consider — land values, population trends, valuable locations, rental returns, capital gains, tax benefits, loan structures, cash flow, negotiations and more. It’s different for everyone, and the way you structure your investment makes a significant difference to the returns you can expect down the track.

That’s where we can help. Property Results Principal, Clarke Warnock will take the time to sit down with you to confidentially discuss your situation in simple terms. There’s no obligation and no cost for this discussion.

We can help you get clear on the six things you need to consider before investing:

1. Be clear on your goals
   This means understanding what you want to achieve from your investment. Is it cash flow, capital gain or both? Is it building a long-term nest egg for retirement, or building a growth portfolio for a shorter term? We can help you understand the options for achieving your goals.
2. Plan your structure to maximise returns
   Based on your financial objectives, we explain how it can be best structured to achieve your goals. We can help you plan an investment that suits your means and lifestyle. This can cover tax, loans, repayment terms, cash flow positive investment options and more.
3. Consider ownership
   Whether you’re single, de-facto, married, have an investment partner or a business, we can help you decide who owns what and how that impacts your legal and financial position. For example, whether a couple purchases a property in one or both names can have big cash flow and tax implications.
4. Know your finance options
   Remember that the banks are out to gain as much money from your purchase as possible. However, understanding how to structure and service a loan in a tax effective manner will save money and headaches. Once our research reveals the best type and location for your property, we can work with you to optimise the rental and/or capital returns as well as set up your loan to maximise the cash flow and taxation benefits and savings.
5. Take the sleeping soundly test
   Even when it’s purely an investment, buying property can still be an emotional decision. If it doesn’t feel right for you, then it probably isn’t. By educating yourself on the options and understanding the benefits of sound accounting structures, property management and tax minimisation, you’ll feel a lot more comfortable and pass the sleeping soundly test.
6. Choose the role that suits you
   Property Results’ range of services gives you the freedom to select the role that suits your level of expertise and time:
   • The first time investor
     Are you looking for a team of professionals to guide you through everything you need to make your first property investment? From insurance, financing, flexible structures and bank fee minimisation to tax effectiveness, depreciation schedules and more. With so many decisions to make and mistakes being very costly, we can help you address all these issues so you embark on your investment path with all the safety nets in place.
   • The professional investor
     Are you keen to get started in property investment, but don’t have the time to do it all yourself? We can work with you to help you understand the process of being a professional investor and give you direct access to resources such as research, builders and professional advisors to help you build your portfolio.
   • The experienced investor
     Seasoned property investors who understand that time is money will leverage our time, skills and expertise so they can accelerate their portfolio's growth without having to do everything themselves. Plus, through our exclusive group buyers program we can give you access to larger and hard-to-find opportunities at pre-release prices.

If you fall into one of those categories, and are ready to start investing soon, we can most definitely help you spend less and earn more.

Before you invest in property, talk to Property Results. Once we become familiar with your goals, we can identify ways in which we may be able to help you achieve them sooner and provide you with relevant information for your consideration.

We are happy to talk via phone or in person at a location that suits you.

Clarke R Warnock B.Ec. (Monash University)
Tax Depreciation consultant to Deppro Asia Pacific.
Accredited Broker with the Mortgage & Finance Industry Association of Australia.
DFS F. Investment Property Advising.
Tier 1 ASIC 's PS 146 requirements (Kings International College)