Investment - SMSF

Is buying into a timeshare property a good investment? Timeshare schemes are a type of investment known as ‘managed funds’. Generally this means that the scheme...
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Are there any hidden costs associated with buying a holiday home with a SMSF?

People often underestimate their expenses and outgoings when buying an investment property.  These costs can include:
  • Owners Corporation/Strata levy costs
  • Letting and management fees
  • Property and landlord insurance
  • Caretaker and cleaning costs
  • Electricity, land tax, water and council rates
  • Potential investors need to consider that their holiday homes could sit vacant for weeks on end and therefore should have funds in reserve to maintain their mortgage repayments.   
Consistent advertising, regular property maintenance, furniture replacement and linen hire are other expenses to consider.

Owners also have to balance the high-cost demands of guests who seek the luxury of finer furnishings, pay TV, modern kitchens, air conditioning, multiple bathrooms, barbeques, DVD players and games facilities.
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