Investing in New Properties

Did you know owners of new investment properties are eligible to claim depreciation on the building structure and the fixtures and fittings in their property?

The effective life of a new building for ATO purposes is 40 years (some exceptions apply). This means a brand new property is able to claim the entire construction cost over the life of the property.

For example a property purchased for $450,000 and built in 2010 can claim $15,824 depreciation in the first year, $14,017 in year 2, $12,113 in year 3, $10,981 in year 4 and $10,342 in year 5 (based on the diminishing value of depreciation).

Source: BMT - Maverick Magazine, Issue 28

Gen Ys say YES to Units

Inner city high rise apartments are becoming the property purchase of choice for younger buyers. The trend, which is being spearheaded in Melbourne, is a result of buyers being priced out of the urban housing market but not wanting to move to the outer suburbs.

Sydney is another market that is highly likely to see growth in the apartment market, as a result of off-the-plan stamp duty concessions introduced at the beginning of July.

Source: Your Investment Property Magazine

Congratulations!

Congratulations to David O'Grady - State Winner, Leading Agents of Australia - Salesperson of the Year 2010

Market Snapshot

• Nationally house prices increased by 2.4% in the June quarter


• Melbourne out on top with 4.4% growth


• Annual growth is at 15.6%


• Rents increasing by 6% annually


• Country councils and eastern suburbs of Adelaide were leading areas for median price growth

Source: Financial Review

A BIG THANK YOU

Thank you for supporting emerging local artists at GALLERY AT 60.

The opening was a huge success with a significant number of pieces sold. The raffle & silent auction also raised $1150 for Time For Kids.

If you know of any artists who may like to be a part of future exhibitions please ask them to contact Diana Gilbert at dianag@jockgilbert.com.au

We look forward to seeing you at our next exhibition!

Gallery At 60

Jock Gilbert Real Estate is proudly supporting emerging artists.

Join us for our exhibition opening, featuring

Emily Solomon, Margot Solomon & Jen Wright

On Thursday 24th June 6 - 8pm at 60 Kensington Road Rose Park. Exhibition will be opened by Amanda Blair.

Raffle to support 'Time for Kids' www.timeforkids.com.au

Exhibition hours: 25th June - 9th July, Mon - Fri 9-5pm

Australia's Biggest Morning Tea

Join us on Tuesday May 25th 2010 at 10.00am for the Jock Gilbert Real Estate Biggest Morning Tea and help us raise money for the Cancer Council.

Join us for tea/coffee, cakes plus raffles and prizes, in support of Cancer Council's research, prevention, education and support services.

Alternatively you can host your own morning tea. It's easy to organise, fun and completely flexible to suit your environment.

By taking part you can help Cancer Council support the 1 in 2 Australians who will be diagnosed with cancer before the age of 85.

To attend our morning tea on Tuesday May 25th please phone 8364 1700 or email laurenl@jockgilbert.com.au


Visit http://www.biggestmorningtea.com.au/ for more information or to donate.

Market Update

First Home Buyers a Small % of Market

First home buyer numbers have decreased to 18.1% of all owner occupiers down from 26.8% in February last year, on a national scale. The average first home buyer loan size has also fallen from $290,100 in December 2008 to $282,100 currently.

Housing Loans

Home loan volumes are also declining with owner occupier housing loans falling by - 1.8% for the month of February. They are down -16.1% over the year.

Million Dollar Properties

Nationally there were 19,417 house and unit sales priced at or over one million dollars last year. This was 21 per cent lower than what was recorded in 2007.

Source RP data

What type of smoke alarm do I need?

The type of smoke alarm you need depends on the age of your home and when you purchased it:

- If you owned or had a residential rental property before 1 February 1998, you are required to fit a replaceable battery powered smoke alarm.
- If you purchased your home or residential rental property on or after 1 February 1998, your smoke alarm must be fitted within 6 months of date of purchase of the property and you are required to fit a:
- 240 volt, mains powered smoke alarm OR
- a 10 year life, non-replaceable, non-removable, permanently connected battery powered smoke alarm.
- If your home or the residential rental property was built on or after 1 January 1995, you are required to fit a 240 volt mains powered smoke alarm.

JDRF - Spin to Cure Diabetes


It's on again! Last year Jock Gilbert Real Estate entered their inaugural team for the Spin to Cure event to support the Juvenile Diabetes Research Foundation (JDRF).

We're back again for this year's event on April 23rd in Rundle Mall.

The Spin to Cure Diabetes is an outdoor stationary bicycle competition. Each team, made up of five people, must "spin" for 40 minutes in a stationary "race" to see who can rack up the most mileage. Each team member has only 8 minutes to spin as hard and as fast as they can with the team that spins the furthest declared the winner.

To help JDRF find a cure for type 1 diabetes, you can make a donation online. No matter how large or small, your gift will help JDRF continue to move research from the laboratory through to a clinical reality for the 140,000 Australians currently living with type 1 diabetes.


For more information on the event and to find out how you can help please visit www.jdrf.org.au/spin

We're the biggest!

Travelling around the globe Australia came out on top when it comes to the size of our homes. In 2009 the average size in square metres of new homes in Australia was 214.9sqm. New Zealand 196.2sqm - Greece 1126sqm - Italy 81.5 - UK 76.2sqm.

Source The Weekend Australian, Feb 20 2010

Toorak Gardens - highest median rent in 2009

The median rent in Toorak Gardens in 2009 was $580 per week - almost $100 more than the year before and the highest in the state. Henley Beach South had the next highest median rent of $550 while other eastern suburbs, Wattle Park, Millswood, Dulwich and Rose Park were close behind.

The cheapest weekly rent in both 2008 and 2009 was paid in Elizabeth.

Rental stock levels rose in 2009 due to the first home owners grant causing renters to leave the rental market and buy their first home.

Source The Advertiser, Feb 17 2010

Happy New Year

2009 - National Property Picture


National property values were up 10 percent over the first 10 months of the year. However the number of transactions are down even though demand for property is growing thanks to record population growth and improved confidence in the broader economy.

Outlook for 2010

- fairly upbeat
- expect investor and 'upgrader' numbers to continue to improve
- consumer confidence remains high
- medium to long term growth prospects remain healthy