Terms Relating to Property Investment and Management

Lease/ Tenancy Agreement

An agreement for possession, not ownership, of a property for a set period.

 

Lease/ Tenant

One who leases/rents a property from a lessor owner

 

Tenancy Agreement Document

Document that sets out details of the property to be rented and the terms and conditions agreed to between landlord and the tenant.

 

Landlord

The owner of the property being rented.


Negitive Gearing

Where the costs associated with your property investment exceed the income recieved over the tax year. This loss can be used to off set other income in that years tax return.

For more information on what rental property expenses you can claim on your tax, visit

www.ato.gov.au/investment

 

Net Yield

This is the income on your property less certain expences such as rates, insurance, maintenance and body corporate levies.


Depreciation

This is a non cash allowance that you may be able to claim on your tax which reflects the limited life of an asset.

 

Capital Gains Tax

This is the tax based on the difference between the purchase and selling price, less inflation, applied upon the sale of an investment property

 

Contact us 08 85322000 for a copy of Investment Landlord pack.