You have worked hard to obtain your investment property, and you deserve to have a hassle-free experience. Although you have placed the property into the hands of your trusted property manager, as a property owner and landlord you need to know the basics of what you can and can’t do while tenants are residing in your property.

Over the years a lot of myths about “landlords” and “horror tenants” have evolved, but as a rule of thumb, “A happy tenant makes a happy landlord”. To assist in achieving this we suggest:

It is important that you take the time to carefully review your accounts and seek independent professional advice to assist you with preparing for tax time to avoid mistakes and costly fines.
Following is an overview of what can be claimed*. Remember, you need to have documentation to support all of your claims.

You can claim a deduction for certain expenses you incur for the period your property is rented or is available for rent.
However, you cannot claim expenses of a capital nature or private nature – although you may be able to claim decline in value deductions or capital works deductions for certain capital expenditure or include certain capital costs in the cost base of the property for capital gains tax (CGT) purposes.

With the introduction of many renovation shows over past years, more and more property owners are choosing to renovate their property.
It may be a home renovation/ extension to increase the property size (avoiding having to relocate to a larger property) or a process undertaken to capitalise on the property and make money.

The Federal Government has announced that the current First Home Owners Boost scheme will continue in its current format until October 1, 2009. This means that those buying existing homes will receive $14,000 and those buying new homes $21,000.
Adjustments to the scheme from October 1, 2009 will see the First Home Owners Boost scheme halved. Which means those buying existing homes will receive $10,500 and those buying new homes $14,000.

As of December 1, 2009 the First Home Owners Boost scheme will cease and the existing $7,000 grant will continue to be available to all first home buyers.

Important Info about Changes to Rental Bonds in Tas

On 1 July 2009 a new authority will collect and manage rental bonds on behalf of property owners and tenants. This is known as the Rental Deposit Authority (RDA). Any bonds paid on or after 1 July 2009 must be paid to the RDA.

The rental bond (also known as a security deposit) is money paid by the tenant as security for the property. The bond money must be forwarded within three (3) days. Bonds can be paid at Service Tasmania shops but can also be mailed directly to the RDA. Tenants will have the option of paying the bond directly to the RDA if they want to.

The concept of fair wear and tear on rental property is one topic that many landlords and tenants find confusing.

Generally speaking, at the end of a tenancy, the tenant is responsible for leaving the premises in as close to the same condition as they found it. To describe this requirement, many lease agreements include the phrase ‘fair wear and tear excepted'.

If you are looking to sell your investment property, it is important to communicate with the tenants as they can often feel like their privacy and quiet enjoyment has been invaded. If you get a tenant off side, it can cause unnecessary challenges and inhibit your ability to sell the property quickly and for the best possible price. For this reason, it is important that your managing agent is always the first to be notified of your intention to sell.

Source: News.com.au
FIRST-HOME buyers are being warned that generous loan criteria could land them in financial stress, after revelations that the top four banks will lend up to $465,000 to a purchaser on a salary of $70,000 a year.

It’s interesting when you hear that there is such a massive demand on rental properties in Launceston, yet when you search the internet you find hundreds of properties for rent! Why is it so? Michelle from @home property management solutions say’s that “there is very much a shortage of affordable rental homes in Launceston, not necessarily an overall market shortage".