 |
| Friday 04 September 2009 A joke to brighten your day The Lone Ranger and Tonto went camping in the desert. After they got their tent all set up, both men fell sound asleep. 1. Building approvals lift
The Housing Industry Association welcomed the news, saying that the bright July result reflected growth in the three largest states of New South Wales, Victoria, and Queensland, and was in part due to a boost provided by the Federal Government's Social Housing Initiative. Building approvals posted a healthy rise in July with a surge in multi-unit approvals, according to figures released this week by the Australian Bureau of Statistics. The Housing Industry Association welcomed the news, saying that the bright July result reflected growth in the three largest states of New South Wales, Victoria, and Queensland, and was in part due to a boost provided by the Federal Government's Social Housing Initiative. HIA Chief Economist, Dr Harley Dale noted that this is the second month in a row that there has been a strong rise in multi-unit approvals, after a period of weakness. "It will be important to see further signs in coming months of a broadening home building recovery encompassing detached and non-detached dwellings, first time and trade-up buyers, investors, and social housing," said Harley Dale. "There are early signs of this broadening in the recovery base, but we have a long way to go", he added. Total seasonally adjusted building approvals increased by 7.7 per cent in July with detached house approvals up by 1.3 per cent and multi-unit approvals jumping by 28.4 per cent. The number of seasonally adjusted residential dwelling approvals increased in July by 19 per cent in New South Wales, 8.6 per cent in Victoria, and 4.3 per cent in Queensland. Dwelling approvals fell by 9.5 per cent in South Australia, 3.3 per cent in Western Australia, and 15.3 per cent in Tasmania. The trend number of approvals fell by 1.9 per cent in both the Northern Territory and the Australian Capital Territory. 2. Scrapping: Are you entitled to pre-renovation dollars? Are you about to throw out those old kitchen fittings in readiness for a bright and shiny renovation? Did you know that you could claim a tax deduction on the items you are about to `scrap'? Scrapping is the removal and disposal of any potentially depreciable assets from an investment property scenario. In other words, demolition of any existing structure or fixture onsite that would have been eligible for claiming deductions for depreciation or building write-off allowance. Are you about to throw out those old kitchen fittings in readiness for a bright and shiny renovation? Did you know that you could claim a tax deduction on the items you are about to `scrap'? Scrapping is the removal and disposal of any potentially depreciable assets from an investment property scenario. In other words, demolition of any existing structure or fixture onsite that would have been eligible for claiming deductions for depreciation or building write-off allowance. According to quantity surveyors BMT and Associates, many investment property owners are unaware that the old assets within their property, as well as the building itself, can be worth thousands of dollars. BMT Director Bradley Beer says that there are significant tax advantages that can be generated over and above normal depreciation by recording the value of old assets (like carpet and hot water systems) prior to demolition or renovation. "When these are replaced or `scrapped', owners may be entitled to claim them as a tax deduction", Beer says. How does an investor benefit by scrapping? Scrapping of existing structures onsite is a very effective method of obtaining deductions within our tax system. It can provide additional tax credits for investors who demolish or dispose of existing buildings or any part of it which was owned as an investment asset and eligible to produce income. Essentially if an item is scrapped, the written down value (WDV) of the item can be `written off' as a tax deduction in the year the expense is incurred. To calculate the scrapping value, the quantity surveyor or client's accountant identifies the items that were removed or scrapped in the renovation process. Why scrap items? There are several reasons why an item may be scrapped that generally fall under the heading `not fit for purpose'. They include: - Obsolescence; To maximise a scrapping claim focus should be given to items classified under Division 40 (`plant & equipment') as these items have the highest depreciation claim and often the greatest individual value. It is important to note that a valuation of all items, including those to be retained and those to be scrapped in the refurbishment process is required. It is also important to keep adequate photographic records for possible future auditing by the Australian Taxation Office. The concepts outlined above can provide the property investor with a very attractive tool to maximise the tax benefits available from the refurbishment of an existing building, both immediately and in continued ownership. Substantial deductions can be achieved when the correct decisions are made at purchase and during the renovation or redevelopment process. 3. OCR remains at 3.0 per cent
In a statement announcing the decision, Reserve Bank Governor Glenn Stevens said that while some types of capital spending are likely to be held back for a while by financing constraints, it now appears that investment may not be as weak over the year ahead as earlier expected. As was widely predicted, the Reserve Bank this week left the official cash rate unchanged at 3 per cent for the fifth month in a row. In a statement announcing the decision, Reserve Bank Governor Glenn Stevens said that while some types of capital spending are likely to be held back for a while by financing constraints, it now appears that investment may not be as weak over the year ahead as earlier expected. "Higher dwelling activity and public demand will also start to provide more support to spending soon and, hence, growth is likely to firm going into 2010", Governor Stevens said. "Housing credit has been solid and dwelling prices have risen over recent months. "Business borrowing, on the other hand, has been declining, as companies have sought to reduce leverage in an environment of tighter lending standards. Large firms have had good access to equity capital and access to debt markets appears to be improving, helped by the better-than-expected economic conditions and increased willingness on the part of investors to accept risk. He concluded saying that the Board's judgement is that the present accommodative setting of monetary policy remains appropriate for the time being. 4. New homes down slightly in June quarter New residential building fell in the June 2009 quarter, according to figures released this week by the Australian Bureau of Statistics (ABS). Seasonally adjusted work done on new residential dwellings fell by 1.5 per cent in the June 2009 quarter to an annualised worth of $33.2 billion, 6.4 per cent down on a year earlier. New residential building fell in the June 2009 quarter, according to figures released this week by the Australian Bureau of Statistics (ABS). Seasonally adjusted work done on new residential dwellings fell by 1.5 per cent in the June 2009 quarter to an annualised worth of $33.2 billion, 6.4 per cent down on a year earlier. Work on detached houses fell by 2.7 per cent over the June quarter to be worth $22.3 billion in annualised terms. Work done on `other residential building' increased by 1.2 per cent to be worth an annualised $10.9 billion, although work yet to be done fell significantly. The weakness in seasonally adjusted new residential work done in the June 2009 quarter was primarily reflected in Queensland where activity fell by 13.5 per cent and New South Wales where there was a decline of 2.1 per cent. Falls were also recorded in South Australia (-1.2 per cent), Western Australia (-1 per cent), and the Northern Territory where in original terms work done fell by 1.3 per cent compared to a year earlier. New residential work done increased by 6.6 per cent in Victoria and was up by 8.6 per cent in Tasmania and 29 per cent in the Australian Capital Territory. 5. Don't tell me what to do, you old bag!
Instructions printed on the oversize poly-cotton laundry-bag offer a guide for those clueless about colours, fabrics and temperatures throughout the laundry process. 6. No swimming trunks allowed What's an elephant got to do to get a break? It seems performing tricks isn't enough anymore as a French town has banned visiting circus elephants from taking a dip at its beaches. Much to residents' delight the elephants were allowed to last year; however local officials have since decided traces of droppings found in the sea pose a health risk. One of the circus' directors commented to news group France-Today that it's a shame as it gave people the chance to see the animals up close for nothing. Now they'll just have to pay the two euros to visit them at the circus. | > Contact Us > Inspection Times Sat 5 Sept 11 - 11:40am $385,000 31 Cedar Street, Albion Park Rail Sat 5 Sept 12 - 12:40pm $899,000 15 Eastern Avenue, Mangerton Sat 5 Sept 12 - 12:40pm $239,000 10/49 Robson Road, Keiraville Sat 5 Sept 12 - 12:40pm From $138,000 Panorama Land Estate, Shearwater Drive & Whimbrel Ave, Lake Heights Sat 5 Sept 11 - 11:40am $379,000 76 Heaslip St, Coniston For a list of other open for inspection properties contact us or visit us online. > Mail to a friend... Know someone who likes to keep up to date with the latest in property news? Click here, enter their email address and they will receive a copy of this issue and be given the opportunity to subscribe to future issues. |
Building approvals posted a healthy rise in July with a surge in multi-unit approvals, according to figures released this week by the Australian Bureau of Statistics.
As was widely predicted, the Reserve Bank this week left the official cash rate unchanged at 3 per cent for the fifth month in a row. 
Lots of dads like to think they know everything, but when it comes to the intricacies of washing delicate clothes, it's better left to the informed than a best ditch effort.
No comments:
Post a Comment