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MONEY<br />

WWW.WSBA.COM.AU<br />

Low-risk strategies for property investing<br />

NEGATIVE gearing has commonly been the driving factor<br />

for many property investors, but there is another<br />

model for property investors to follow - positive gearing.<br />

This is where the rent covers the costs and the property<br />

actually produces an income. These properties are commonly<br />

found in regional areas with good growth prospects.<br />

The rent is higher than the costs, something that is difficult<br />

to achieve in the more expensive capital cities where prices<br />

are high compared with rents.<br />

Negative gearing is where rental income doesn’t cover expenses<br />

and the landlord has to subsidise the investment from<br />

personal income.<br />

With negative gearing, you can claim a tax deduction for<br />

the losses, but it still costs you real money, typically thousands<br />

of dollars a year.<br />

The strategy works if property prices go up enough to compensate<br />

for the losses.<br />

Many property investors are relying on big capital gains<br />

when the property is sold to more than make up for the losses<br />

along the way.<br />

In the current climate, investors need to rethink how they<br />

are going to make it pay. Come along to our seminar to discover<br />

lower-risk strategies for property investing.<br />

For more details, see advertisement below.<br />

R.I.P NEGATIVE GEARING:<br />

INVESTING IN POSITIVELY GEARED PROPERTY<br />

Breakfast<br />

Positively Geared Properties<br />

Negative gearing has commonly been the driving<br />

factor for many property investors, but there is<br />

another model for property investors to follow –<br />

positive gearing. This is where the rent covers the<br />

costs and the property actually produces an income.<br />

These properties are commonly found in regional<br />

areas with good growth prospects. The rent is<br />

higher than the costs, something that is difficult<br />

to achieve in the more expensive capital cities<br />

where prices are high compared with rents.<br />

Come along to our seminar to discover<br />

lower-risk strategies for property investing.<br />

WHEN<br />

Thursday<br />

29 September 2016<br />

from 7:30 AM<br />

to 8:30 PM (AEST)<br />

WHERE<br />

Carnegie Financial Planning<br />

Suite 202, Level 2<br />

34 Charles St<br />

Parramatta 2150<br />

EVENING<br />

SESSION<br />

6pm<br />

same day<br />

& place<br />

Find us on Facebook<br />

Like us and Join our Community<br />

Visit our website<br />

www.carnegiefin.com.au<br />

Carnegie Financial Planning Pty Ltd ABN 94 128 285 110 is an Australian Financial Services Licensee No.389528<br />

44 WESTERN SYDNEY BUSINESS ACCESS SEPTEMBER 2016

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