Blog - Aqwasun Estate Agents

Property Management

Apr 16, 2024

Should you keep your money in super or buy property through an SMSF?

Should you keep your money in super or buy property through an SMSF? Building up a nest egg to live off in retirement or to grow generational wealth is important to investors. No matter how much money it would take for you to live comfortably and have financial independence, the road to get there requires careful consideration. For many people in Australia, this road is typically split into two paths: investing in property or keeping money in super. With self-managed super funds (SMSF), investors can enjoy the best of both worlds by buying an investment property while also holding other investments in their SMSF portfolio. Below, we explore key things to consider when assessing whether to keep your money in super or buy property through an SMSF. Annual returns have to be considered The rule of thumb with investing is that holding equities in major markets such as the ASX200 or SP500 will return an average of 8 per cent per annum over ten years. This takes into account the years where a recession may lead to negative returns and the years following where returns can be much higher than 8 per cent. In comparison, property prices generally double every ten years. Like equities markets, though, there are caveats to this statistic. These returns assume that the property is in a growing area with strong rental demand. Buying a more affordable investment property in an area further from transport, education and employment hubs may be tempting, but this may attract lower rental yields and capital growth. Time horizons matter If you’re young and have decades to withstand the fluctuations in the property and equities markets, it may pay off to take the risk in committing a majority of your capital to investment properties. However, if you’re nearing your later working years, buying assets that need to be held over a long period to realise returns may not be suitable. It’s all about understanding your specific time horizon and long-term wealth-building goals. A financial adviser will be best placed to advise you on these things, so it’s important to find someone reputable to speak with about your unique needs. Further, a fee-for-service financial adviser can provide independent advice that isn’t tied to selling you particular financial products. An SMSF can be a good fit for women and primary carers People who need to take time out of work for caregiving responsibilities often end up with a smaller super balance. Setting up an SMSF can give these people more autonomy over where and how their funds are invested. Buying a property through an SMSF can be a tax-effective way to get exposure to property while building up a retirement nest egg. It’s important to note that there is a minimum balance that makes the extra administrative and compliance burdens associated with an SMSF worth it. This is typically around $200,000 at the time of writing. There are many ways to grow wealth to live comfortably in your later years. Speaking with an expert who can help you determine the best strategy for your unique needs is critical. Start doing your research today and get advice on what the best options are for you. Remember, this article is general in nature and is not financial or legal advice. Please consult your professional financial and legal advisors before making any decisions for yourself.

Property Management

Apr 8, 2024

Understanding Property Condition Reports in Western Australia

A Property Condition Report (PCR) is a comprehensive and legally required document in Western Australia that describes the condition of a rental property at the start of a tenancy agreement. Meticulously prepared by a Property Manager or Landlord, this document captures every detail of the premises, including the condition of walls, ceilings, windows, appliances, gardens, and any furnishings provided. It typically includes photographic evidence, ensuring an accurate record is maintained. We here at Aqwasun Estate Agents also use 360 photography to best showcase the properties condition. Under the Western Australia Residential Tenancies Act 1987, a PCR is a legal requirement when leasing properties. This report protects both the tenant and the landlord, serving as a baseline for the property's condition and avoiding disagreements over any damages that may occur during the lease period. Here are some crucial legalities you should keep in mind: Time Frame for PCR: Within seven days of moving in, the tenant must receive two copies of the signed PCR from the property manager or landlord. The tenant then has seven days to review, add comments, sign, and return one copy. Failure to provide an ingoing PCR within the prescribed timeframes is an offence under the Residential Tenancies Act 1987 and my incur a penalty. Prescribed Format: There is a legally prescribed format that must be used as specified by DEMIRS. This format can be viewed by clicking here. End of Lease Inspection: At the conclusion of the lease, the PCR is used as a reference to gauge any changes or damages to the property. It is crucial in determining how much of the bond is returned to the tenant. Failure to provide a PCR can result in fines for the landlord and may inhibit their ability to claim costs for damages that occurred during the tenancy. Tips for Tenants: Review your PCR thoroughly and edit it within the allowed timeframe if you need to. Make sure your PCR is clear about: items that need maintenance, for example a dripping tap; existing damage to the property, for example if you have noticed a burn mark on a kitchen benchtop; and/or cleanliness (cobwebs etc) If your landlord or property manager do not provided you with a PCR at the start of your tenancy, we recommend completing your own PCR within the first 14 days, including signing and dating it. The PCR is thus an indispensable tool, safeguarding the interests of all parties involved in a tenancy. It allows for fairness when reviewing a property's condition and binds both tenants and landlords to a documented, agreement-based standard of care and maintenance. If you have any further questions or need assistance with your PCR, Aqwasun Estate Agent's experienced and dedicated property manager, Alicia, is more than happy to help. Feel free to contact her on 0459 185 872. Remember, understanding your rights and responsibilities can make all the difference in creating a hassle-free rental experience!

Property Management Sales

Nov 21, 2023

The Aqwasun Advantage: Dedicated to Helping Clients with Their Homes

At Aqwasun Estate Agents, we understand that buying or selling a home is one of the biggest decisions a person can make. That's why we are dedicated to providing exceptional customer service and going the extra mile to ensure our clients feel supported throughout the process. Our team of experienced real estate agents is committed to helping our clients find the perfect home or buyer for their properties. The A Team will work tirelessly to ensure that our clients receive personalized attention and support from start to finish. Here's how we help our clients with their homes: Finding the Right Home: Our team takes the time to get to know our clients' unique needs, preferences and budget. We then use our expertise and knowledge of the local market to help them find the perfect home. We provide our clients with up-to-date and accurate information on the available properties to help them make informed decisions. Pricing and Selling: Our team is skilled at pricing our clients’ homes correctly based on market trends, location and other factors. We use our marketing tools and strategies to generate interest in our clients’ properties and help them sell their homes as quickly and efficiently as possible. Helping with Negotiations: We understand that negotiating with buyers or sellers can be stressful. Our real estate agents are highly skilled in communication and negotiation tactics. We work on behalf of our clients to help them get the best possible deal. Providing Advice and Support: Our team doesn't just walk away once the deal is done; they value their relationships with clients. We provide our clients with advice and support throughout the entire process. From suggesting contractors and home improvement professionals to offering advice on finance, our invested agents work to help our clients make their houses homes. Going Above and Beyond: At Aqwasun Estate Agency, we take pride in going above and beyond for our clients. Whether it's providing additional resources, coordinating home inspections or staging, our agents will do whatever they can to ensure our clients feel cared for and supported. At Aqwasun Estate Agency , our clients come first. We understand the importance of making the process of buying or selling a home as smooth and stress-free as possible. Our real estate agents serve as dedicated advocates to ensure our clients receive the best possible service. Make an appointment today and let our experienced real estate agents help you with your home needs. #RealEstateAgents #HelpingClients #Homes #CustomerService #GoingAboveAndBeyond #AqwasunAdvantage #TheATeam #AqwasunEstateAgents

Property Management Sales

Nov 21, 2023

Renovating Your Home on a Budget: Tips and Tricks for Australian Homeowners

Are you dreaming of giving your home a fresh new look but worried about the cost? Renovating your home doesn't have to break the bank. With a little creativity, planning, and know-how, you can transform your space on a budget. In this blog post, we'll explore some tips and tricks for renovating your home on a budget in Australia. Set a Renovation Budget Before diving into any renovation project, it's crucial to set a realistic budget. Take the time to assess your finances and determine how much you can comfortably allocate to the renovation. Be sure to consider all the costs, including materials, labour, permits, and potential contingency funds for unexpected expenses. Having a clear budget will help you make informed decisions throughout the renovation process. Prioritise Your Renovation Projects When working on a limited budget, it's essential to prioritise your renovation projects. Focus on areas that have the most impact or require immediate attention. For example, upgrading the kitchen or bathroom can significantly enhance the functionality and value of your home. By identifying your priorities, you can allocate your budget accordingly and make the most out of your limited resources. DIY versus Hiring Professionals One way to save money on renovations is by tackling some projects yourself. However, it's crucial to assess your skills and determine which tasks you can handle effectively. While simple tasks like painting or installing shelves can be manageable for most homeowners, more complicated projects like electrical work or plumbing should be left to professionals. Hiring professionals for certain tasks can save you time, money, and potential headaches down the line. Research and Shop Smart When it comes to purchasing materials, appliances, and fixtures for your renovation, research and shopping smart are key. Look for sales, discounts, or second-hand options for items that are still in good condition. Explore local hardware stores, online marketplaces, and clearance sections for budget-friendly options. Additionally, consider joining local community groups or online forums where homeowners share renovation tips, find great deals on materials, and offer advice. Repurpose and Upcycle Renovating your home on a budget doesn't mean you need to buy everything new. Think creatively and look for opportunities to repurpose or upcycle existing items. For example, sanding and painting old furniture can give it a fresh new look. Instead of replacing kitchen cabinets, consider repainting them and installing new hardware for an instant upgrade. Get creative with repurposing items, such as turning old doors into unique tabletops or using wooden crates as functional storage solutions. Consider Energy-Efficient Upgrades In addition to saving money during the renovation process, consider incorporating energy-efficient upgrades that can help you save on ongoing expenses. Switching to LED lighting, installing insulation, upgrading to energy-efficient appliances, and improving the insulation of doors and windows are just a few examples of how you can make your home more energy-efficient. While these upgrades may require an initial investment, they can lead to long-term savings on your energy bills. Plan, Plan, Plan Proper planning is essential when renovating on a budget. Create a detailed renovation plan that outlines each project, estimated costs, and timelines. Stick to the plan as much as possible to avoid impulse purchases or unnecessary expenses. Additionally, try to complete one project before moving on to the next to avoid disruptions, additional costs, and unnecessary stress. Flexibility and Patience Lastly, approach your home renovation with flexibility and patience. Understand that not everything will go according to plan, and there may be unexpected challenges along the way. By approaching setbacks with patience and flexibility, you can find creative solutions and stay on track with your budget. Renovating your home on a budget in Australia is possible with careful planning, prioritization, and smart decision-making. Remember that the ultimate goal is to create a functional and beautiful space that you and your family can enjoy for years to come. So roll up your sleeves, get creative, and happy renovating! #HomeRenovation #BudgetFriendlyRenovation #DIY #Upcycling #Savings #AustralianHomeowners #AqwasunAdvantage #TheATeam #AqwasunEstateAgents

Property Management Sales

Nov 21, 2023

Moving Home? Don't Forget These Essential Reminders!

Moving to a new home is an exciting chapter in life, but it can also be a chaotic and overwhelming process. With so many tasks to tackle and deadlines to meet, it's easy for important details to slip through the cracks. To ensure a smooth and stress-free move, be sure to keep these essential reminders top of mind: Plan Ahead: Moving requires careful planning and organization. Start preparing well in advance by creating a detailed moving checklist. Break down tasks into manageable steps and set deadlines to keep yourself on track. Notify Key Contacts: Don't forget to update your address with key organizations and individuals. This includes notifying your bank, insurance provider, post office, utility companies, subscriptions, and friends and family. Arrange Utilities and Services: Arrange for the transfer or cancellation of utility services in your current home and the activation of services in your new home. This includes electricity, water, gas, internet, and TV services. Make sure everything is set up and functioning smoothly before you move in. Declutter and Organize: Moving is the perfect opportunity to declutter and downsize. Sort through your belongings and decide what to keep, donate, or sell. Organize items into labeled boxes or containers to make unpacking at your new home easier. Pack Smart: Proper packing is crucial to protect your belongings during transit. Use sturdy boxes, packing paper, bubble wrap, and packing tape to secure your items. Label each box with its contents and the room it belongs to, making unpacking a breeze. Hire Professional Movers: Consider hiring professional movers to save time and stress. Do your research, read reviews, and request quotes from multiple moving companies. Ensure the company you choose is licensed and insured for your peace of mind. Take Care of Valuables: Keep your important documents, jewelry, and sentimental items separately. Transport them yourself in a secure bag or box to ensure they're safe and easily accessible. It's always better to be cautious with your most treasured possessions. Change Locks and Test Security: As a security measure, change the locks on your new home before you move in. Test alarms, smoke detectors, and security systems to ensure everything is in working order. Inform Schools and Healthcare Providers: If you have children or dependents, inform their schools or daycare centers about your move. Also, update your healthcare providers and transfer medical records to ensure uninterrupted care. Be Kind to Yourself: Moving can be stressful, so don't forget to take care of yourself throughout the process. Get enough rest, eat well, and don't hesitate to ask for help when needed. Moving is a team effort, so lean on family and friends for support. Moving home may seem like a daunting task, but with proper planning and these essential reminders, you can navigate the process with ease. Embrace this new chapter in your life and make your move a positive and exciting experience! #MovingTips #NewHomeNewChapter #StressFreeMove

Property Management

Oct 12, 2023

What's the difference between Landlords Insurance & Landlords Building Insurance?

Embarking on the journey of property rental necessitates a safeguard for your investments – insurance. Opting for the right insurance coverage for a rental property is instrumental in protecting your valuable asset. This comprehensive guide aims to shed light on the distinction between Landlords Building Insurance and Landlords Insurance, facilitating an informed choice with comprehensive insurance coverage. What is Landlords Building Insurance: Landlords Building Insurance is a shield guarding your property against structural damage such as natural calamities, fire incidents, or theft. This aspect of insurance should be viewed as a protective measure ensuring safety against physical destruction or harm to the property. Requirements for this insurance type and relevance can be different based on the specific property condition and location. Real-life instances like a building catching fire or a severe storm emphasize the acute need for procuring Landlords Building Insurance. What is Landlords Insurance? Broadening the insurance horizon to offer increased coverage is Landlords Insurance. This insurance type surpasses the restrictive domain of building coverage by incorporating: Loss of Rent: Landlords Insurance safeguards against financial bumps due to lost rental income, a consequence of tenant default, or severe property damage. Accidental Damage: Insurance policies encapsulating accidental damage shield landlords from unexpected costs incurred through impromptu repairs or replacements. Death of a Tenant: Landlords Insurance underpins financial support in the unfortunate circumstance of a tenant's demise, helping manage associated costs. The benefits of Landlords Insurance? Landlords Insurance, in its comprehensiveness, offers several key advantages compared to relying solely on Landlords Building Insurance. This includes a sense of security knowing that a varied spectrum of risks and potential financial losses is covered. With an understanding of the key differences between Landlords Building Insurance and Landlords Insurance, landlords can make an informed decision that best suits their needs. Evaluating your insurance requirements as a landlord and securing appropriate coverage for rental properties is instrumental in efficient property management. *While we have taken care to ensure the information above is true and correct at the time of publication, changes in circumstances and legislation after the displayed date may impact the accuracy of this article. If you need us we are here, contact 08 9537 1220 if you have any questions.

Property Management

Oct 10, 2023

A Comprehensive Guide for New Landlords: Securing a Tenant and Managing Your Investment Property

A Comprehensive Guide for New Landlords: Securing a Tenant and Managing Your Investment Property Welcome to the world of property investment! As a new landlord, you will need to learn about the numerous aspects of managing and maintaining a rental property. This comprehensive guide will help you navigate the process, ensuring both you and your tenant have a positive experience. 1. Vetting Prospective Tenants Finding the right tenant is crucial for a successful property rental experience. You want someone who will treat your property with respect and fulfil their financial obligations. Take these steps to vet prospective tenants: Request a rental application that includes personal information, employment history, rental history, and references. Run a credit check to obtain an understanding of the applicant's financial stability. Verify the applicant's employment status and income level. Check their rental history, including references from previous landlords and property managers. Conduct a background check to assess any criminal history. 2. Collecting a Bond A bond serves as security against property damage or unpaid rent. Here's how to handle bond collection: Familiarise yourself with local laws and regulations on bond amounts. Clearly outline the bond amount in the lease agreement. Collect the bond before the tenant moves in. Lodge the bond with Bond Administration within 14 days of receiving the payment. 3. Repairs and Maintenance As a landlord, it's your legal obligation to provide a safe and habitable property. Implement the following steps to manage repairs and maintenance: Perform regular maintenance activities, including landscaping, pest control, and minor repairs. Address emergency repairs promptly. Maintain an open line of communication with tenants, encouraging them to report any maintenance or repair issues. Schedule routine maintenance to prevent bigger problems down the road. 4. Conducting Regular Inspections Routine inspections help you monitor the condition of your property, ensuring tenants are adhering to the terms of the lease agreement. Keep the following in mind: Ensure you give the tenant 7 - 14 days written notice using a Form 19; notifying them of your intention to inspect the premises. Use an inspection checklist to ensure consistency. Document inspection findings, including photos of any damage (date stamped) Communicate any required action items with the tenant. 5. Knowing Your Rights and Responsibilities As a landlord, you should be well-versed in local rental laws and adhere to your responsibilities, while also understanding and enforcing your rights. Some key responsibilities include: Providing a safe, liveable, and clean property. Respecting the tenant's right to quiet enjoyment. Giving proper notice before entering the property. Addressing maintenance and repair issues promptly. 6. Tax Obligations Rental income is subject to taxation. Some helpful tips regarding taxes include: Declare your rental income on your yearly tax return. Deduct relevant expenses, such as repairs, maintenance, management fees, and mortgage interest. Consider seeking professional advice to maximize deductions and ensure compliance. 7. Engaging a Professional Property Manager A professional property manager can alleviate the burden of managing your investment property. They can handle tasks such as finding and vetting tenants, collecting rent, coordinating repairs, and managing legal aspects, giving you peace of mind and freeing up time. The team at Aqwasun Estate Agents are here to help! 8. Securing Landlord Insurance Landlord insurance acts as a safety net, covering property damage and lost rental income, among other things. Do thorough research and select a policy that best suits your needs. In conclusion, being a successful landlord requires an understanding of various aspects of property management. By following this guide, you are well on your way to a rewarding investment property experience. Consider engaging a professional property manager to provide additional support and expertise. *While we have taken care to ensure the information above is true and correct at the time of publication, changes in circumstances and legislation after the displayed date may impact the accuracy of this article. If you need us we are here, contact 08 9537 1220 if you have any questions.

The Blog

Should you keep your money in super or buy property through an SMSF?

TOP 10 QUESTIONS TO ASK A POTENTIAL PROPERTY MANAGER

Understanding Property Condition Reports in Western Australia

The Aqwasun Advantage: Dedicated to Helping Clients with Their Homes

Renovating Your Home on a Budget: Tips and Tricks for Australian Homeowners

Moving Home? Don't Forget These Essential Reminders!

What's the difference between Landlords Insurance & Landlords Building Insurance?

A Comprehensive Guide for New Landlords: Securing a Tenant and Managing Your Investment Property