Capital Defence Homes - Connecting Defence Home Investors

Investing in a Defence (DHA) home. So how does it work?

White house compressed

Investing in a Defence (DHA) home. So how does it work?

Email this to someoneTweet about this on TwitterShare on FacebookShare on LinkedIn
Sticky
Oct 15, 2015
0

“I’ve seen the ads, I’ve heard about it on the radio and my friends have been talking to me about it for years. So tell me, how does it all work?”

Many people asking this question have become one of the more than 13,000 investors with a Defence home. Understanding how a Defence home investment works and that it will work for you is very important. Once people understand the facts about the investment, making the choice to acquire one is often the logical next step. So what are the facts and how does an investment with DHA work?

Fast facts about DHA –

  • DHA is owned and backed by the Australian Federal Government. Established in 1987, DHA provides housing for Australian Defence members and their families.
  • To supply suitable housing for Defence families, DHA develops, buys and leases a number of different styles of accommodation in capital cities and regional centres around Australia.
  • DHA manages the properties through Housing Management Centres (HMCs) across the country. The Canberra region office is located in Dickson.

Fast facts about the investment –

  • DHA sells a number of properties each year to investors. The properties are sold subject to a                   long-term lease back to DHA – typically running for 9, 12 or even 15 years.
  • According to the lease, DHA provides a number of rental guarantees, carries out day-to-day management, completes maintenance and repairs plus make good (re-painting and re-carpeting) at the end of the lease. See more information here.
  • DHA collects a fee from the monthly rent for these services. Houses attract a fee of 16.5% including GST and body corporate/strata properties attract a fee of between 12 and 14% including GST. It may sound a little high but keep in mind the fee covers a lot more than services rendered by a traditional agent. See more information about the fee here.
  • Investors sometimes choose to sell their property partway through the lease. Capital Defence Homes can help these investors get a great outcome and facilitate the sale of their DHA property. It’s our whole focus. See more information here.

In summary, an investor gets a long-term secure lease backed by the federal government, dependable rent with regular market reviews, comprehensive property management/maintenance service and make good at the end of lease (re-painting and re-carpeting)—all covered by a single fee. The package is actually great value.

A Defence home really is a tried, tested and proven way to invest in property. Thousands of investors have seen great results, many going on to purchase multiple Defence homes. Repeat investors are happy investors.

Have a question? Like to chat about a DHA Investment? Need help selling your Defence home? Drop me a line at jonathan@capitaldefencehomes.com.au or call on 0421 040 082.

Make sure you register for our ‘New Property Alerts’ to be amongst the first to receive our latest investment opportunities. Register here.

Stay in touch by connecting with us on Facebook here and LinkedIn here.

Let’s chat/catch up soon!

Jonathan Irwin – Director
Capital Defence Homes
0421 040 082
jonathan@capitaldefencehomes.com.au

 

Comments are closed.