The ProPerTy ShoP PUBLICATIoN - ISSUe TWeNTy NINe

www.thepropertyshop.com.au 6372 2222

In this issue of Property News:• Creating an inviting home for prospective buyers• Property sales on the move forward• What tax deductions are you entitled to?

The past few years has seen an avalanche of gloomy stories in the media about the state of the property market. Rising property prices and successive interest rate rises have combined to create historically low levels of residential housing affordability in many parts of Australia.

This situation, allied to recent returns on stock market investment, has led to a decline in property investment and in the proportion of Australians entering the market as first home buyers. But what, if anything, have the movements and trends in the property market meant in our local area?

See page 3 for full details

What is the state of the property market

in your area?The hard-working team from

The Property Shop make sure that they stay on top of the latest

property market information in order to deliver the best possible

service to their clients.SOLD

SOLD

58 Market Street, Mudgee NSW 2850phone: 6372 2222 fax: 6372 4444email: info@thepropertyshop.com.auweb: www.thepropertyshop.com.au

Disclaimer Notice: Neither Hugh Bateman, The Property Shop, nor Newsletter House Pty Ltd, nor the publishers and editors of articles in this issue, accept any form of liability, be it contractual, tortious or otherwise, for the contents of this newsletter or for any consequences arising from its use or any reliance placed upon it. All the information contained in this publication has been provided to us by various parties. We do not accept any responsibility to any person for its accuracy and do no more than pass it on. All interested parties should make and rely upon their own enquires in order to determine whether or not this information is in fact accurate. ©Newsletter House Pty Ltd 2011Ph: 02 4954 2100 www.newsletterhouse.com

Letter from the EditorDear Reader

Recently our Property Management team have been run off their feet in endeavouring to meet a very strong enquiry for houses, units and flats for rental.

We have been anticipating a step up in demand for rental properties in both Mudgee and Gulgong for some time now and the strongest enquiry is yet to come.

With the expansion of the Ulan West Mine and ramping up at Moolarben Mine, we are yet to feel the full impact of the demand for rental property in both towns.

Rental values have increased over the past months based on the shortage of certain types of property.

An appeal goes out to all landlords, property owners or prospective investors of property to give our award winning Property Management team a call if you have a vacant property coming up. I know they are keen; they will be at your doorstep in a flash!

The sale of land is very buoyant at present with stages in the Southside Residential Estate and Yallambee Estate in south Mudgee sold out and brand new releases are now available in both estates.

It is interesting that these two estates are where the main market for acquisition of residential land appears to be in Mudgee at the moment. Some of the homes being built in these areas are simply spectacular.

As the months cool down, we look to a warming real estate market in both Mudgee and Gulgong.

In the meantime …love where you live!

Regards

Hugh Bateman

Principal

Give your buyers a warm welcome

Even if the weather is cold and the skies are grey, there are plenty of ways to make your home inviting for prospective buyers.

Light, warmth and colour are three things that can work in your favour when selling a house in winter, so be sure to make the most of them.

LIGHTPeople like to see what they are

buying, so make your home as light as possible. It will probably be too cold to have the windows and doors open, but you can still make sure there’s plenty of light throughout all the rooms. Open curtains, pull up blinds and turn on lights in areas such as hallways where the outside light doesn’t penetrate. Table lamps also provide light as well as adding a cosy touch.

WARMTHWhen prospective buyers are inspecting,

don’t skimp on the heating with the idea of saving a few dollars on the electricity bill. Selling the house would be much more profitable! Keep the interior at a comfortable temperature, so that people will realise it

is an easy home to heat. By making sure the heating is pleasantly effective you will not only give people a positive impression - you will also encourage them to linger and have a good look, rather than rushing away because the house is cold. If you have a heater that simulates the flames of an open fire, turn it on too, to enhance the impression of warmth and cosiness.

COLOUR

As well as using colour generally to increase the attractiveness of your home, you can use it in winter to create an impression of warmth throughout your rooms. Brightly coloured cushions arranged on the lounge, chairs and beds will compensate for the grey day outside.

Arrange some bright placemats on your dining room table, put a couple of bowls of fruit out and find some fresh flowers if possible. And, even though your garden may not be in complete, colourful bloom, you can always display a couple of photographs of it at its best, to show anyone who wants to see its full potential.

Handmade, Spanish inspired meals for only $10, with professional friendly service from owners Shawn and Katrina. Why not relax with a glass of local wine or cold beer in our upstairs courtyard or just pop in for a coffee and one of our beautiful cakes in our ground floor surrounds.

After something different for breakfast?Try our $10 breakfast menu available on Saturday and Sunday, or our famous bacon and egg roll with coffee for only $10.50 which is available every day until 12.00pm.

(At The Property Shop)

Tuesday/Wednesday 8am – 5pmThursday/Friday/Saturday 8am – LateSunday 8am – 12pm

If you would like to sell your property please call our sales team on 6372 2222 and rest easy in the knowledge that our team of experts will look after you!

www.thepropertyshop.com.au

Hugh BatemanPrincipal

Lucas SheppardProperty Consultant

Damian KearnsProperty Consultant

Peter VanagsProperty Consultant

View properties for sale at www.thepropertyshop.com.au

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What does the changing market mean for property buyers and investors?

Despite the market fluctuations, Mudgee property sales are

on the move forward The team of professionals at The

Property Shop study the property market carefully so that they are fully informed when it comes to advising their clients about current conditions. They believe that helping property owners to make informed decisions about the best course for them is a crucial part of the service The Property Shop offers. The 2850 report collated by The Property Shop exclusively for Mudgee provides their sellers with a snapshot of capital growth of houses and units, rental yields, outlook and also market analysis.

It provides sellers and buyers with up to date real estate trends for the town such as Auction clearance rates, days on the market and highest prices for units and houses.

Although trend information and statistics provide a great starting point when it comes to making decisions about your property, the property market is changeable and varies widely in different areas of

town. That’s why it is crucial that you seek professional advice when it comes to buying or selling property. The team at The Property Shop are fully experienced in marketing and selling property, and are also very knowledgeable about the latest market conditions in your local area.

Setting the correct price at which your property will sell quickly and will achieve the highest possible price for you in the prevailing market is just the beginning of a successful sale. The The Property Shop team are great communicators and negotiators with strong track records in their area. They understand how to attract buyers using their highly professional marketing skills, and how to negotiate a sale.

If you want the latest information on sales in your area, and top quality advice on buying or selling property, contact the helpful team at The Property Shop.

So what is the state of the

property market?

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The Property Shop Property Management staff are committed to protecting your investment and obtaining the best possible return. Please feel most welcome to contact us for an obligation free appraisal of your rental property..

www.thepropertyshop.com.au

Call us today on 6372 2222!

Want to rent your property?

June LewisCommercial/

Strata Manager

Graeme Kurtz Residential Property

Management

Bernice OffnerResidential Property

Management

Ray PetersResidential Property

Management

With tax time approaching, landlords need to be clear about what deductions they can claim in relation to investment properties.

No doubt you’ve had some expenses in relation to your property during the past financial year but they won’t necessarily all be tax deductible.

Before putting in your tax return, it’s essential that you understand what you can claim on your investment property and what you can’t.

While you should, of course, do your tax return in consultation with your accountant, here are a few tips to help with your preparation.

KEEP RECORDSMake sure you have records for every claim you make and that

you keep those records for five years. Among the records you should retain are details of rental income and expenses, insurance details, depreciation reports, records of ownership and the costs of acquiring the property. Even if you dispose of the property, you should also keep records for five years.

REPAIRS AND MAINTENANCEYou can claim deductions for the costs of repairing and

maintaining your rental property in the year you pay them as long as they relate directly to wear and tear or other damage that occurred due to renting out the property. You can’t claim the total costs of repairs and maintenance in the year you paid them if they did not relate directly to wear and tear or other damage that occurred due to renting out your property. These are capital expenses you may be able to claim over a number of years as capital works deductions or deductions for decline in value.

TRAVELGenerally, the cost of travel you incur to inspect or maintain rental

properties or to collect rent is an allowable deduction. However, you can’t claim travel if you go to the property for private purposes such as a holiday, or to carry out work when the property is not genuinely available for rent or to make repairs for damage that occurred before you made the property available for rent.

BORROWING COSTSYou can claim as an immediate deduction the interest on a loan

to buy a rental property or to buy land on which to build a rental property. There are other expenses that are deductible over a number of years including borrowing costs such as stamp duty charged on the mortgage, loan establishment fees and title search fees.

For a full run-down on the claims you can make in relation to your investment property, visit the Australian Taxation Office’s website at www.ato.gov.au or call 132861.

Make sure you know what deductions you’re entitled

to claim as an investor

What can you claim on your rental property?