Capital Defence Homes - Connecting Defence Home Investors

3 ways to increase the return on your DHA property

Front Twilight

3 ways to increase the return on your DHA property

Email this to someoneTweet about this on TwitterShare on FacebookShare on LinkedIn
Sticky
Jan 11, 2019
0

If you’re a DHA investor, it’s only natural that you’d want to maximise the return on your investment property. So often there are simple things investors could do that would put thousands of extra dollars in their pocket come the end of the financial year.

Here’s our three top tips to help increase the return on your property:

1. Have a depreciation schedule completed

Even though many properties appreciate (increase in value) each year, from an accounting and ATO perspective the buildings and their assets actually age and decline in value each year.

Every year the lost value of those assets is claimable by owners as a tax deduction.

New rules have come into effect and many investors are wondering how the changes affect them. Tax depreciation specialists Capital Claims have published two blogs on the changes to help investors better understand if and how they are affected by the changes:

Click Here > Can I still claim depreciation on my investment property since the new legislation passed?
Click Here > Still unsure about claiming depreciation since the new legislation?

If you’d like to more information about maximising the return on your investment property through depreciation, contact the team at Capital Claims by emailing them on info@capitalclaims.com.au or call on 1300 922 220.

2. Complete upgrades to your property

Making relevant and thoughtful upgrades to your property can increase both the capital value and rental return.

Depending on the climate, adding heating or cooling or both will make the property much more attractive to a prospective tenant or buyer. Adding reverse cycle air conditioning could easily increase the rent by $10 – $20 per week representing a return on investment of 30 – 50%.

3. Challenge your DHA rent review ‘secondary review’

Depending on the version of lease, most DHA investors are entitled to a market rent review at the start of each calendar year.

The secondary review is a mechanism whereby investors can get a second opinion from their own selected valuer, should they not be satisfied with the initial rent review. If investors opt for a secondary review, they are required to notify DHA and supply a complying valuation as per the conditions of the lease.

Note – If you’re a current investor and would like a suggested valuer to carry out a secondary review, please get in touch with us. We’d be delighted to point you in the right direction. Email us.

Other blogs related to this topic:

DHA rent review 2017 >

Capital Defence Homes is an agency dedicated to helping investors buy and sell DHA leased properties in the Canberra region. Found this blog useful? Sign up for our investor news blog here.

If you’d like to learn more or you have a specific question, we’d love to hear from you. Drop me a line via email or call 0421 040 082.

View our current investments >

Best wishes,

Jonathan Irwin – Director
Capital Defence Homes
www.capitaldefencehomes.com.au

Comments are closed.