Corin works in the Mudgee coal mine, has been very time poor due to the long work hours or extended shifts. Corin asked us how we could help him reduce the amount of tax he was paying whilst growing his property portfolio, we sat down and built a comprehensive plan for Corin that would allow him to build a property portfolio and reduce his taxable income.
Corin was able to do this without using a cent from his own pocket, how we did was helping Corin re-finance his current property so he could access his equity to fund the purchase of a dual-key investment property in the Hunter Region, NSW. The benefit of using equity in an existing property for Corin was that he could access the required deposit without using any of his savings and also get further tax deductions on the interest repayments, lowering his taxable income again.
Further to Terry Ryder's recommendation there are few key reasons as to why we selected a dual-key property in the Hunter Region:
It is the largest regional economy in Australia.
It is the fastest growing region in NSW outside of Sydney.
Land prices have appreciated 11% in the last year despite a slowdown in most other NSW locations.
Given the recent diversification in industry, the region is well placed to benefit the macro trends affecting the Australian economy.
Multiple suburbs with vacancy rates below 1%.
The advantage of dual-key properties is that you have 2 income streams from the 1 property, allowing you to pay down the debt twice as fast and boost your cashflow to support rapid portfolio growth.
Corin is now onto his 2nd property with WT Capital, we are setting up his self-managed super fund (SMSF) to purchase another investment that will be completely paid off by the time he retires, providing weekly cashflow to his super fund.
The guys at WT Capital were awesome from start to finish. Anyone working shift work in the mines knows how hard it is to get anything done outside of work. The guys took care of every single thing for me from the start to the very finish. I had always been looking for a way to legally reduce the amount of tax I was paying, as I wanted to put as much back into my property to help set myself and my family up. The property the guys hand-picked for us was great and the depreciation has been a great way of getting more money back every year.
Purchase Price: $590,000 Rent achieved per week: $700 Tax rebate year 1: $12,000 Rental yield after tax: 8.2%
In all honesty, I’ve never really dealt with services like WT Capital and I was still really nervous about the whole thing. I was worried about getting scammed and being made a fool of, but that didn’t happen. Matt and the team at WT Capital listened and never discounted any of my concerns. Actually having Matt come down to Victoria and be with me when I put my deposit on my property… it really did exceed expectations. For stability, security, personalised one to one service.. that’s why I would recommend WT Capital.