29 Jul 2016
CAPITAL GROWTH AND RENTAL INCOME
People look to purchase property, to either benefit from an increase in value (Capital growth) or to receive income from the investment property.
Capital growth is the difference in the value of your property from when you initially purchase it, to when sell it or have it re-valued. This normally takes a number of years to enable the property to appreciate.
When purchasing a property for Capital Growth, you tend to look for properties that are in established areas, normally have a fair land component and have strong attributes.
Properties that are going to show a strong income return, normally are new properties in new areas that are close to transport, schools and low maintenance living.