Paying stamp duty is one of the costliest aspects
of purchasing property. Whilst we have a range of off the plan properties
in Australia, Victoria is generally the best state to buy in.
When investing in property within Victoria it makes sense to buy off the
plan property as that guarantees you a vastly lower amount of stamp duty
that you would have to pay. The stamp duty is calculated based on the
price of the land at the time, and since there is no property there, you
are paying for the land as there is nothing else applicable at that point
of time.
The payment of the property can also be fixed as the price at the time
the contract is signed and not the higher price that would be expected
in a rising market. Once final payment is made at the completion of the
building then you will have made capital gains as the building will have
appreciated in that period of time during which it was being built.
As the purchase of the property is made before it has been built there
are advantages for the investor in that they are able to have more of
a say in the way in which the building is ‘fitted out’.
Such decisions could include the plan of the floor, colours and the style
of any fittings that may appeal to your chosen section of the marketplace.
There are tax benefits to these choices as well because you can get depreciation
on these and therefore keep you financial outlay to a general lower amount
through what you get back in tax.
Visit our website: Off the Plan Properties
in Australia