If you’re interested in success, more money, or property investment, today’s show is for you.
First, we’re going to talk about the single greatest trait of successful property investors, in fact of people in any field.
Then, I’m going to chat with Ken Raiss about land tax.
That’s a tax I don’t like paying, but let’s understand a bit more about it, what you can do about it, and if it can ever be avoided.
And finally, this week my mindset moment is a special session where I’m going to give you some hints to help you achieve your goals in any area of life, not just investment.
The single greatest trait of successful property investors
If you cornered me and asked me to come up with one single trait that I have found in common amongst the successful investors I’ve come across… what would that be?
It’s that they make decisions and take appropriate action.
In his classic book “Think and Grow Rich”, Napoleon Hill outlined 17 principles that he found to be responsible for the success of the world’s top business leaders of his day.
Way back in the 1930s, Hill discovered that all of the most successful people had the habit of making swift and committed decisions.
This principle, which is just as relevant today as it was almost a century ago, holds the key to determining the level of success you will achieve.
I’ve found successful investors gather the necessary information quickly, make an informed decision, and then take appropriate action.
And even when they don’t have all the information they need, they believe it is better to make a decision with some information, than not to make a decision at all. They then take action and gather the balance of the information as they move on.
How do successful investors manage to take decisive action?
The fact is that successful investors are faced with just as much uncertainty in their lives as the rest of us, however, they manage to take action because they have focus.
They have clarity about where they want to be.
They know exactly why they are investing in property.
They have a time tested property strategy, a finance strategy to see them through the ups and downs of the property cycle and a tax and asset protection strategy to protect their assets.
To make the most of our current turbulent economic and property markets strategic property investors will need:
- Unbiased economic insights.
- Education based on proven property investing principles and strategies.
- Guidance from expert investors who have been there, done that.
- Insider information so you can spot market trends that are “hidden” from the average investor.
That is why it is critical to learn from experienced and successful property investors, from someone who has already achieved what you want to achieve and has retained their wealth in the long term.
What is the land tax? With Ken Raiss
Who should pay it?
Does it apply to my home?
And can I reduce this major property cost which seems to eat into my rental income disproportionally?
These questions are often asked by serious property investors who already have or are in the process of building a significant property portfolio.
So to answer your common Land Tax questions, I had a chat with Australia’s leading tax strategist Ken Raiss, Director of Metropole Wealth Advisory.
Land tax is generally levied on the unimproved capital value of the land – not the total property value.
Each state has different rules and thresholds of when the land tax will be applied.
As is the case for most taxes, it is up to the taxpayer to advise the relevant state department that they are subject to land tax based on self-assessment by submitting either a land tax registration form or a land tax variation form.
The land you own and occupy as your home is your principal place of residence (PPR) and is exempt from land tax.
There is a threshold (a dollar value) at which land tax will become payable.
What is my property is in the name of more than one entity, for example, a couple?
The couple is seen as a partnership and only one land tax threshold is available.
If either of the persons has land in their own right then at the secondary level only the proportion held together is included when determining the liability in total.
When purchasing land or property it is important to apply for a land tax clearance certificate to ensure you will not be liable for someone else’s tax or to give you the opportunity to have any liabilities adjusted at settlement.
Links and Resources:
Ken Raiss: Metropole Wealth Advisory
Join us at Wealth Retreat 2020 –find out more here
Some of our favourite quotes from the show:
“One of the big things that holds many people back, I’ve found, is fear.” – Michael Yardney
“You must become a master at visualization.” – Michael Yardney
“Your brain doesn’t know the difference between something that’s actually happening to you and something you’re imagining. – Michael Yardney
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