Should we invest in real estate in the future?
The current labour government has mentioned during their election campaign promises in the lead up to the next election that they would like to abolish negative gearing on rental properties. To understand this further, let’s look at the impact of negative gearing.
As per the current legislation, the following expenses can be claimed on a rental property:
Advertising for tenants
Body corporate fees and charges
Gardening and lawn mowing
Insurance (building, contents, public liability
Property agent’s fees and commissions
Repairs and maintenance
20% of Borrowing