Build a team of people around you that are experts in their fields
Written on the 5th of June 2009 by Hot Property Specialists Buyers Agency
Whether buying a home to live in or buying investment properties,
the key elements remain the same.....
Build a team of people around you that are experts in their field.
E.g. If you have a tooth ache you would not go to your local pool shop to fix it!
Forward planning when purchasing property, whether it is for an investment or your own home, can ensure you achieve the best results possible – minimizing your risks and maximising your returns.
Listed below are important people you should speak to before purchasing your next property. Ensure you find people that you feel comfortable with and trust as you will need to work very closely with them.
Your Buyers Agent – Hot Property Specialists Buyers Agency
Buying the right property at the best possible price is a full time job. An experienced specialist that lives and breathes buying properties in any market, and who understands your personal property goals can work with your best interests at heart. Get the Property Gurus on your side.
Your Accountant
Your accountant should be advised of your intentions - before you place an offer on a property! They will know your personal situation and can advise you about the best name or entity you should be buying in. They will analyse your specific position, helping you to minimise your tax and best protect your assets.
Your Wealth Coach / Financial advisor
There are a lot of financial advisors in the market place who will advise you towards investing in shares and managed funds and yes, there are still some that push you towards olive, tee tree plantations or lamas, - but are these right for you? If you feel that this is not right for you then find a different company that understand you goals for the long term, not just where they receive the biggest kick back from. Whether it is for an investment property, managed funds or any other type of investment, a wealth coach can assist you with your overall wealth creation and life goals by guiding you through all of the opportunities then working closely with you to achieve your goals. There are Wealth Coaches in the marketplace that you pay them for their services and education - this may be the
Best way to get independent and unbiased help.
Your Mortgage Broker
Having Formal pre- approval before you even start looking at properties is advisable. There is no point wasting your time or money looking at properties that are worth more than you can actually buy.
Knowing your borrowing capacity and having a budget of what your monthly outlays will be will help ensure you are not getting in over your head, and into financial trouble further down the track. Your mortgage broker will discuss the different types of loan structures and borrowing options and find the best loan type available on the market that is ideal for your personal situation. They may also speak to your accountant to find out some more information regarding your personal situation. A mortgage broker is paid by the lending institution that you select to borrow money from so you don’t pay them directly - however there are costs associated with borrowing money. Your broker should provide you with clear estimates of your upfront costs and any cost involved over the term of your loan.
Your Solicitor
When buying property in Queensland it is essential that your solicitor understands Queensland conveyancing and preferably is based in Queensland. It is a good idea to check with your Solicitor that they know how your Buyers Agent works (That is, we are working on your side not the sellers) as a few Solicitors have never worked with a Buyers Agent before. Your Solicitor and ourselves will work closely together to ensure the buying process runs as smoothly as possible for you. Your solicitor will undertake the conveyancing process and advice on the legal aspects of the contract. They will conduct searches such as local council, bankruptcy, Energex and easements and advise you about the findings as well as ensure all parties are adhering to the requirements of the contract.
Your solicitor will also arrange for the payment of the Transfer Duty (also referred to as Stamp Duty). This is payable at settlement or 30 days after the contract date, whichever occurs first.
Stamp duty – The transfer duty table from the Office of State Revenue is below.
There are limitations to their scope of work and each inspector provides a slightly different service. Some building inspectors are just that, a building inspector, and will perform a visual inspection of the property to ascertain any structural issues. You may also need to get a pest inspector as well, but there are companies that will do both and this can make things easier for you. Before engaging their services, make sure you ask questions - some inspectors will go into great detail and whereas others may only do a brief written report. It is best practice to use only a licensed inspector who will provide a written report and photo’s of any issues they may find. Please remember that most older homes here in South East Queensland may not have some form of termite protection - so you may need to budget for this. Chemical termite barriers can range in price from $2,800 depending on the size of the property. Other property related inspections such as electrical, plumber and pool inspections can also be arranged but these type of inspections need to be noted as a condition on the contract.
Your Quantity Surveyor (for investors)
Tax Depreciation Schedules are essential for investors. A Tax Depreciation Report can be arranged to take place just after settlement. This should help you to save money, often thousands of dollars, over the life of your property. You will pay less tax as the report takes into account the general wear and tear on your building places a value on them today and depreciating them accordingly. By not having a Tax Depreciation Report done on your investment, your property will end up costing you money as you risk missing out on substantial annual depreciation claims and this can also affect your capital gains liabilities when you go to sell. You should expect to pay approx $450-$500 for a depreciation report from a reputable quantity surveyor.
Like a jigsaw puzzle, it’s important to have all the pieces (experts) in the right places to complete the whole picture.
**This information is based on our experience as buyers’ agents but at no time is it to be relied upon and you should seek the advice of your legal advisor.
Your Wealth Coach / Financial advisor
Building & Pest Inspector 
