If this is your first venture into property investment- have no fear!

 Here at RealRenta we are going to break down all the fancy investment terms for you so that you’re not in the dark.

• Capital Gains

The increase on the value of your property from when you originally bought it

• Capital Gains Tax

The tax you pay on your investment property when you sell it

• Negative Gearing

This means that the amount of interest you are paying on your loan exceeds your income from the property.

• Positive Gearing

Your mortgage repayments and all other costs are less than the rental yield on your property

• Equity

Equity is the percentage of cash that you have paid into your property, versus how much it is actually worth on the market.

• Loan to value ratio

LVR is the percentage of money you have to borrow to purchase the investment property.

• Lenders Mortgage Insurance

A non negotiable insurance policy, in case you can’t meet loan repayments or tenants leave you high and dry.

• Stamp Duty

A compulsory government tax imposed on purchases made by a commercial entity and can be enforced on mortgages, gifts and insurances.

RealRenta's Property Management Software will automatically complete many recurring tasks, notify tenants and Owners of upcoming inspections, and can issue reminders and notices when a compliance breach occurs.

Use RealRenta for Free for up to 2 months and  share this with friends and family who have investment properties.