Did you know that the average time it takes to disconnect the average home’s utilities and reconnect them at your new address is nearly six hours?
Who has that sort of spare time when they’re in the middle of moving?
It would be great if it were only the water, electricity and gas you had to contend with. However, these days there’s usually also the phone, pay TV and Internet that all need to be disconnected and then re-connected. That means dealing with tedious call centres, waiting in time-consuming queues, and usually having to put up with providers trying to upsell you to different products from the one’s you’re using.
First National agents recognise that you need help and we have the ideal solution. One phone call to Direct Connect will see all your utilities transferred to your new address expertly and efficiently.
Direct Connect will even let you know if there’s a better deal for you if you want them to. They keep you informed and you can spend your valuable time looking after the unpacking, the kids and getting set up.
Just ask your First National property manager for the details.
Do you want to make your home more environmentally friendly but are not sure where to start, or whether it’s even worthwhile?
Green credentials are now a stronger selling point for a property than ever before and there’s little doubt buyers are motivated by green investments you may have made in your home. Even just small eco-improvements around your home will benefit the environment and increase your home’s value.
Making such changes is one of the easiest ways you can boost your asking price or make your property more appealing. As well as reducing your impact on the environment, you’ll save money on utility bills.
Although you may feel overwhelmed by the deluge of information about climate change, energy issues and savings, to the point that you don’t quite know where to start, there are many ways to make positive changes for a minimal cost in terms of dollars and time.
First National Real Estate’s 10 tips for creating a greener household include:
Install a triple A-rated showerhead and a dual flush toilet to cut your water usage. If you rent your home, consider adding a 1.25 litre PET bottle filled with water to your toilet cistern to reduce the tank’s capacity.
Replace standard globes with energy efficient (compact fluorescent) light bulbs.
Install a water tank to use rainwater on the garden. In some homes, this can halve water usage and deliver a greener, more attractive garden during summer.
Have your home’s insulation checked – walls and ceilings may need a top-up. Good insulation can save up to 55 per cent of heating and cooling costs.
Repair the trim around windows and doors to prevent drafts and heat loss.
When replacing old or cracked windows use double-glazed glass. It provides better insulation for heat and noise, while acting as a deterrent to burglars due to its strength.
Use solar powered outdoor lights to illuminate your pathways and garden at night.
Install ceiling fans. They’re far more energy efficient than air conditioners but will provide a cooling air-flow on hot summer days.
Think long-term and plant deciduous trees in areas that let the sun in during winter and provide shade in summer.
Start a compost heap to minimise waste sent to landfill, and provide your garden with a great source of nutrients.
The decision to rent or buy is always a big one. The traditional strategy of buying a first house and then moving up to the ideal home as your income and equity grows is fast being replaced by the initial purchase of an investment property. However, the alternative of renting indefinitely while you save to buy is becoming equally difficult because of escalating rents and an historic squeeze on vacancies.
If you’ve wondered whether you’re ahead by renting or better off buying, consider these statistics.
The median net wealth of a renting household is $55,265 whereas homeowners have nine times as much – $487,183
Renters comprise 28.7 per cent of the nation’s households but have only 6.3 per cent of the nation’s wealth
Australians who own their home are worth 13 times more than renters – $734,394
So, despite arguments to the contrary that emerge from time to time, real estate ownership has made the average Australian second only to Swiss residents as the wealthiest in the world.
So how do you take the step from renting to buying your first home?
Approach the market with a sound five-year plan. Get into the market, pay down the mortgage, and establish equity in the home as a basis for long-term financial security and flexibility.
Budget for extras. As well as a solid deposit, have money set aside to cover insurance, routine maintenance costs and to meet mortgage payments for several months if something goes wrong.
Don’t worry about the market. Your focus should be on building a deposit while looking for the property that matches your lifestyle and budget.
Compromise. Your perfect home is likely to be out of reach for now, so focus on hunting down a property that has solid real estate attributes – good location, off-street parking, security, quality finishes and proximity to restaurants and transport. Choose something that will suit your needs for the next five years or so while you build up equity and prepare for the next phase of home ownership.
Treat the family home as though it were a normal investment
We’re all emotionally attached to the family home so making the decision to rent it out can be fraught with difficulty for some. Letting go can sometimes be a hard thing to do but homeowners across the board need to treat their home just as they would an investment bought specifically for rental purposes.
Even though it’s your private residence, you’re now the landlord so you should consider having the property professionally cleaned to set the standard as well as future expectations for the incoming tenant.
Landlords who demonstrate their personal high standard of cleanliness usually find their tenants respect the property, returning it in the same condition when they leave.
This also applies to the condition of the interior and exterior of the home. Setting a high standard of living and comfort can make all the difference because the longer a tenant stays, the less wear & tear on the property.
Your Property Manager can put you in contact with professional cleaners and qualified tradespeople and can even arrange quotes in most cases.
Ultimately, renting your family home shouldn’t cause any great concern. Properly prepared and presented, then managed carefully by First National Real Estate, you can expect to attract tenants who’ll care for it as much as you do.
You might not be aware but if you’re planning on leasing a property and sharing it with friends, don’t expect your insurance company to be all that thrilled with the prospect of covering your prized collection of DVDs. You see, although two’s company, three’s a crowd from an insurer’s perspective.
Evidently the actuaries who spend their lives crunching numbers and managing risk have worked out that while more may be merrier, the security of your personal belongings is statistically reduced.
So, what to do when the insurance company says no? Talk to your First National property manager of course! He or she will put you in contact with First National’s insurance alliance partner who has a policy that’s perfectly designed for you and your buddies. Your contents can be covered for a down to earth, reasonable premium that won’t break the bank.
That’s what we’re about at First National. We put you first.
First National Real Estate’s National Communications Manager, Mr Stewart Bunn, says current market conditions, coupled with increasing housing affordability, is causing a rental dilemma. Many renters are questioning if now is the time to stretch their budgets and commit to buying their own home.
“With lowering interest rates and falling house prices, home buying is proving almost too attractive for many renters, but serious consideration needs to be given to the person’s individual and financial situation to ensure they make the right decision,” Mr Bunn said.
“It may appear, on the surface, that purchasing a home may make more economic sense for those doing it tough, where the monthly mortgage is not too far off what they are currently paying for rent, but a closer look may reveal that incidental costs and a small change in circumstances could lead to an untenable situation.”
According to Mr Bunn, the advantages of each housing option should be weighed against the drawbacks to find the one that best suits their specific needs and situation.
“Renting offers great flexibility with the option to relocate from home to home and area to area, as the need arises, which is not the case with buying a property,” Mr Bunn said.
“If finances get tight, or the home situation changes for any reason, it is far harder to just pick up and go if you own your own home.
“Renting is also often a cheaper alternative to buying, especially in the inner city areas particularly favoured by Gen Y-ers who want that urban lifestyle close to where they work.”
While vacancy rates continue to be under pressure, the fact remains that renting may still be more affordable, with monthly rental payments usually less than a mortgage repayment for a comparable property and without the other incidental costs which can be incurred as a homeowner.
“One of the greatest financial and stress-free advantages of renting is that property maintenance costs, repairs, rates and insurance bills are the responsibility of the landlord, not the renter,” Mr Bunn said.
Despite these many advantages of renting a property, there are some disadvantages which will make buying preferable, particularly in light of escalating monthly rentals. The most obvious one being when renting, it is not possible to put your personal stamp on a property to suit your individual style and design preferences.
“There is also the inconvenience, and in some cases pressure, of knowing your landlord has the right to inspect their property whenever they wish, with sufficient notice, potentially disturbing the renter’s privacy,” Mr Bunn said.
“But the biggest disadvantage of renting is that the property can never be paid off by the tenant, making the money lost for good, without any chance of recovering when the property is sold.”
Ultimately, this is the biggest difference and that is where advice should be sought to determine the short and long-term impact on personal net wealth and cash flow over a lifetime between renting and buying.
“Usually, the decision will be to purchase a home, but it will come down to making sure people buy well and buy right, at the best time for their own individual circumstances,” Mr Bunn said.
“This is where we at First National can really help. We offer advice and assistance with the necessary knowledge, experience and skills to understand the market, its trends and its weaknesses and opportunities,” Mr Bunn said.
“Despite some government assistance packages for both renters and buyers being abolished or having become obsolete, such as the First Home Owners’ Grant Boost and the National Affordability Rental Assistance Scheme, it is important to remember there are still incentives for potential home buyers and renters to take advantage of, including state government financial assistance packages.
“So home buyers and renters need to learn to make the most of the services we have available, to ensure they make the most of their finances over the long term. There are many creative ways in which to save for that first purchase whilst renting and we can help explain all the options available.”
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For further information contact Stewart Bunn, National Communications Manager, First National Real Estate, on 0413 624 317
Did you know that the average time it takes to disconnect the average home’s utilities and reconnect them at your new address is nearly six hours?
Who has that sort of spare time when they’re in the middle of moving?
It would be great if it were only the water, electricity and gas you had to contend with. However, these days there’s usually also the phone, pay TV and Internet that all need to be disconnected and then re-connected. That means dealing with tedious call centres, waiting in time-consuming queues, and usually having to put up with providers trying to upsell you to different products from the one’s you’re using.
First National agents recognise that you need help and we have the ideal solution. One phone call to Direct Connect will see all your utilities transferred to your new address expertly and efficiently.
Direct Connect will even let you know if there’s a better deal for you if you want them to. They keep you informed and you can spend your valuable time looking after the unpacking, the kids and getting set up.
Just ask your First National property manager for the details.
Not all tenants are bad, but you do need to make sure you are covered should something go wrong.
While most tenants take good care of the proper they are leasing, those that don’t may intentionally cause extensive damage. Intentional damage is not covered by many standard home insurance policies nor is the failure to pay rent.
Malicious or intentional damage to the property by the tenant or their guests
Theft by the tenant or their guests
Loss of rent if the tenant defaults on their payments
Liability, including for a claim against you by the tenant, and
Legal expenses incurred in taking action against a tenant.
It’s important to remember that not all landlord protection policies are the same. Some, for instance, are designed to be used in addition to a typical home and contents or strata title policy while others are more comprehensive.
Some policies allow cover for the contents of the property. This is particularly important if you rent a partially or fully furnished property. Speak to your First National Property Manager and they will be able to help you find the right policy.
Mould spores are always present in the air around us which is why it is so important to keep your home properly ventilated.
As simple plants belonging to the fungi group, these tiny aviators need moisture in the air and are always on the lookout for a nice enclosed area in your home where ventilation is poor. That’s why cupboards and wardrobes often present the ideal moisture and temperature combination for mould and mildew to thrive.
To combat mould, you need to reduce moisture levels, consider insulation and increase ventilation.
Ideally, start by opening the windows to create cross ventilation regularly. This is the most energy efficient and inexpensive approach. Too cold? Alright, but open the windows just a little. Remember, the important thing is to keep air moving.
Next, check what’s going on with insulation. Insulation prevents heat loss from walls and ceilings, thereby keeping a room warmer. When the walls and ceiling are warmer, moisture is less likely to condense on these surfaces, so your home is kept dryer.
Alternatively, another common method is to use an electric dehumidifyer. Most hardware and department stores can recommend the appropriately sized unit for your affected room.
Other areas that mould and mildew really enjoy are closets and the clothes they contain. As moulds grow they cause considerable damage. Mildew secretes an enzyme that decomposes organic matter and uses it for growth and reproduction. It often leaves a musty odour in clothes and causes unsightly black stains and rot.
One well-tested and successful method is to place a small low wattage electric light globe, say between 40 and 60 watts. The dry heat prevents mildew and mould growth although this can be expensive.
Many people prefer to buy chemical dehumidifyers such as ‘Damp Rid’ and ‘Closet Camel’ at the supermarket or hardware store. These small plastic buckets contain refillable mineral salts that absorb moisture, collecting it below in a small reservoir that you need to empty periodically.
You’ve worked hard to buy an investment property but have you made sure that you’re maximising the cash flow your property is producing? The more efficiently you manage your portfolio, the sooner you’ll be buying your next investment.
Did you know that any property built after 18 July 1985 is eligible for depreciation benefits on its historic construction costs?
No matter whether your investment is new or old, it will have depreciable assets that can be claimed such as air-conditioners, whitegoods, floor and window treatments, renovations and furniture, just to mention a few items.
80% of Australian investors do not claim these legitimate taxation benefits which is a bit like not claiming the weekly rent from your investment property. This can equate to thousands of dollars in unclaimed benefits each year.
Claiming depreciation tax benefits can assist your cash flow to pay off your principal place of residence, increase equity in your property portfolio, and increase your cash flow or take home pay. The Australian Tax Office allows you to amend your previous four taxation returns to claim depreciation benefits so if you have been missing out, it’s not too late to do something about it.
The fee for a Depreciation Schedule is fully tax deductible and your First National property manager can point you towards an expert Tax Depreciation specialist. What are you waiting for?
Did you know that the average time it takes to disconnect the average home’s utilities and reconnect them at your new address is nearly six hours?
