Aviate pushes investment property
Lower income investors should not overlook the value of investment properties, according to the managing director of specialist investment property company Aviate Group, Neil Smoli.
Smoli said that while many people associated owning an investment property with the wealthy - typically assuming it was out of reach of the average Australian - this perception was fundamentally flawed "given that people with lower incomes require ongoing financial security just as much, if not more, than those in higher income brackets".
"In many ways, it makes more sense for individuals, couples or families with a comparatively lower income to invest in property, as it can provide financial security and reliable returns well into the future - not just for the purchaser, but for generations thereafter," Smoli claimed.
"There are also tax advantages and long-term capital growth opportunities to be accessed, while repaying any finance secured to make the initial investment is subsidised by rental income," he said. "Property as an investment aligns with the aims and objectives of many investors because of the comparatively low volatility associated with it as an asset class."
Smoli said a common misconception among some potential investors was overestimating the deposit or level of accessible finance they required to proceed with an investment property purchase.
"Taking a cautious approach to an investment is always advisable," he said. "However, in order to achieve enhanced financial security and create real wealth, people should consider alternatives to leaving their money in the bank where it remains largely inactive," Smoli said.
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