In this edition: How long will it take for your property to rent? 2015 Pool Safety Deadline is Fast Approaching Who Pays for Water Use in Your Rental Property? Lucky Break, Or Just Plain Old Smart – Investors Get Savvy with Depreciation!

August 2015

For or Against??? Where the RBA Weighs in on the Negative Gearing Debate… Notice Periods A Selection of Properties Recently Leased Quote Calendar of Events

Dear Landlord,

This issue comes with

a reminder to all pool and

spa owners in QLD of the

2015 Pool Safety deadline

o n t h e 3 0 t h o f

November so you can be

sure you are compliant at

home and with your

investment properties.

2015 Pool Safety Deadline and August Rental Updates

W e h a v e a l s o

included articles that

would hopefully remove

the confusion on when

you can and cannot

charge for water on your

proper t ies and on

QLD notice periods to end

a Tenancy. We know

these can get confusing

sometimes so this should

be a good reference point

for you.

We thank you for all your

support and we value all

your feedback on how we

can improve our service to

you.

Best Regards,

Your property manage-

ment team

Our finance specialist

Joshua Vecchio can help with;

Interest in Advance, Home

Loan Health Check, Depreciation Reports and

much more.

Call him now on 0432 989 866

www.propertyrentalsbrisbane.com FREE Information Guide For Landlords & Tenants

How long will it take for your property to rent? That of course depends on the time of the year so here are the latest statistics for July. BRISBANE STATISTICS The Market

Source: rentfind.com.au

2015 Pool Safety Deadline is

Fast Approaching

Now is the time to act.

Swimming in pools is a great

Queensland past time and

something everyone should be

able to enjoy safely.

However, statistics have shown

that the leading cause of death in

children aged one to four is

are able to sell their property

without a pool safety certificate,

instead, issuing a Form 36 Notice

of No Pool Safety Certificate to

the buyers. This form allows for

the sale of the property without a

pool safety certificate with the

onus then falling on the buyer.

Buyers will then have 90 days to

obtain a pool safety certificate

and the new owner will cover all

associated costs.

drowning. The pool fence

legislation that was introduced in

2010 is just one initiative that will

make pool fencing more effective

and help keep pools a safe and

fun place.

Owners of existing Swimming

Pools and Spas in Queensland

have until the 30thof November

2015 to have a complying pool

fence.

Selling or Leasing a Property

with a Pool

If an owner is selling or buying a

property with a pool or spa, a

Pool Safety Certificate must be

acquired by a licensed Pool

Safety Inspector. Owners selling

a property should provide a pool

safety certificate at the time of

settlement. Alternatively, owners

Brisbane, QLD July 2015 Annual Change

Median Weekly Rent - House $415 1.2% increase

Median Weekly Rent - Unit/Apartment $380 0.0%

Days Vacant (Avg) 17.3 1.9 increase

Days on Market (Avg) 29.5 3.0 increase

www.propertyrentalsbrisbane.com FREE Information Guide For Landlords & Tenants

Al l renta l proper t ies in

Queensland must have a Pool

Safety Certificate before tenants

are able to enter into the lease.

The certificates are valid for 2

years.

Selling or Leasing a Property

with a Shared Pool

A shared pool is any pool or spa

that is in a property with short-

term occupiers such as a hotel,

motel or hostel. Unlike other

rental properties, the Pool Safety

Certificate issued on a shared

pool is valid for 1 year only.

P o o l S a f e t y R e g i s t e r

Under the new legislation, a state

based pool safety register has

been created and contains a list

of all regulated pools in

Queensland. The register is an

up-to-date tool which lists all

properties in Queensland that

have a pool safety certificate as

well as a list of all licensed Pool

Safety Inspectors. To see if you

pool is registered, visit the

Queens land Poo l Safety

Register.

Source:

Be Safe Pool Fence Inspections

be required to pay excess water

charges.

You should be able to

demonstrate the presence of

water efficient f ittings by

providing copies of:

plumbing reports

Receipts

Packaging

warranties or instruction

manuals for taps and

showerheads.

Water billing periods are unlikely

to align with tenancy agreements.

It’s important that both you and

the tenant note water meter

readings on the entry and exit

condition reports to calculate

water consumption.

Source: RTA Booklet – Managing

General Tenancies in Queensland

v3 May 2015

Who Pays for Water Use in

Your Rental Property?

Section 166

You cannot charge for water

unless the property is individually

metered.

You are allowed to pass on the

full cost of water consumption

(including bulk water charges)

provided:

the rental property is

individually metered (or

water is delivered by

vehicle), and

the rental property is water

efficient, and

the tenancy agreement

states the tenant must pay

for water consumption.

Your property can be made water

efficient by installing 3 star WELS

rated products (including toilets)

or through the use of add-on

devices such as aerators or flow

restrictors.

If the property is not water

efficient, but the other two

conditions are met, you are

responsible for paying for a

reasonable amount of water

consumption but the tenant may

Lucky Break, Or Just Plain

Old Smart – Investors Get

Savvy with Depreciation!

Property investors are using tax

depreciation in higher numbers

and more quickly than ever

before, new data suggests.

www.propertyrentalsbrisbane.com FREE Information Guide For Landlords & Tenants

Tax depreciation specialist BMT

has reported that 15 per cent

m o r e p e o p l e o r d e r e d

depreciat ion schedules in

2014/2015 compared to the

previous financial year.

BMT found that it took investors

an average of 281 days to order

a depreciation schedule after

purchasing their property during

2013/2014.

However, that figure dropped to

an average of 245 days during

May, a decrease of 12.8 per cent.

BMT chief executive Brad Beer

said the data suggests an

increasing number of investors

are becoming more sophisticated

in understanding methods to lift

their yields.

“If an investor has not claimed

depreciation on an investment

property in the past, they are able

to claim for some of the years

that they missed out on and this

might result in savings of up to

tens of thousands of dollars,” Mr

Beer said.

Quantity surveyors are able to

create schedules that detail the

depreciation deductions available

In the 28-page submission, dated

J u n e 2 0 1 5 , t h e b a n k

acknowledges that negative

gearing, combined with other tax

concessions, may have the effect

of encouraging investors to incur

debt on property that they might

otherwise avoid.

“The interaction of negative

gearing with other parts of the

taxation system may have the

effect of encouraging leveraged

investment in property,” the

submission stated.

With this in mind, the RBA states

that any review of negative

gearing should also encompass

related aspects of the tax system,

such as tax rates on capital gains

and the ability of superannuation

funds to add geared properties to

their portfolio.

“The Bank believes that there is a

case for reviewing negative

gearing, but not in isolation. Its

interaction with other aspects of

the tax system should be taken

into account,” the submission

read.

For or Against??? Where

the RBA Weighs in on the

Negative Gearing Debate...

A submission by the RBA to a

federal inquiry has fueled the

debate surrounding negative

gearing, with the central bank

advising ‘there is a case for

reviewing’ the tax mechanism

used by thousands of Australian

investors.

The Reserve Bank of Australia

has weighed in to the debate on

negative gearing with its

submission to the House of

Representat ives Stand ing

Committee on Economics’ Inquiry

into Home Ownership.

for many items in an investment

property over varying time

frames.

The Australian Taxation Office

allows investors to claim this

depreciation as a tax deduction

against income that received

from the property.

Source:

smartpropertyinvestment.com.au/

16 July 2015

www.propertyrentalsbrisbane.com FREE Information Guide For Landlords & Tenants

NOTICE PERIODS

The notice periods in QLD for Ending a Tenancy can get confusing.

Section 329 covers the time periods required when a Lessor or

Lessor’s Agent issues a Notice to Leave to the Tenant.

We have included below the prescribed time periods for Notice.

Section 329

The RBA acknowledged that

negative gearing, in principle,

may have the effect of assisting

rental affordability, and that “the

ability to deduct legitimate

expenses incurred in the course

of earning income is an important

principle in Australia’s taxation

system, and interest payments

are no exception to this”.

The submission has surfaced at

a t im e wh e r e h o u s i ng

affordability, and the impact of

negative gearing, are hot topics.

Increasing house prices in capital

cities such as Sydney and

Melbourne, driven in part by a

flurry of market activity, have put

pressure on politicians to address

the unaffordability issues faced

by first-time home buyers.

Several measures aimed at

curbing foreign ownership and

investor lending have been

introduced since last year.

Federal Treasurer Joe Hockey

has repeatedly ruled out

reviewing negative gearing, with

several media outlets reporting

him as having done so again as

recently as Wednesday.

The ALP has indicated it is

reviewing its stance on the policy.

Source:

smartpropertyinvestment.com.au/ 16

July 2015

12th August EKKA Holiday 17th August Mid Month Accounting 1st September End of Month Accounting

A Selection of Properties Recently Leased

Teneriffe Unit $630 p.w.

3 bed, 2 bath 1 car accommodation

Quote

“Peace cannot be kept by force; it can only be achieved by understanding”.

—Albert Einstein

Petrie Terrace House $595 p.w.

3 bed, 2 bath, 2 car accommodation

RE/MAX Profile Real Estate 141 Boundary Road TEL 07 3510 5222 FAX 07 3876 5544 www.profilerealestate.com.au Bardon QLD 4065 Belinda profilemanager@remax.com.au www.propertyrentalsbrisbane.com PO Box 388, Paddington, 4064 Helen helenbryan@remax.com.au Iszabel profilerentalsteam@remax.com.au Errors & Omissions: These details have been prepared by us on information we have obtained and while we trust it to be correct, is not guaranteed by us and you should rely on your own enquiries.

Paddington House $700 p.w.

3 bed, 2 bath, 1 car accommodation

Calendar of Events