Few Best Types Of The Property Investment

Contrary to belief, there are various options in which to hold property. The best property investment, one wishes to have is largely determined by the level of personal involvement during the life span of the investment, as well as the reason for the investment. Owning property for the purposes of renting to third parties may require substantial personal involvement as opposed to investing in a holiday home. Some investors may be interested in property due to its capital growth component as well as its ability to generate attractive yields and returns over time. For others, it may be to pursue non-financial objectives, such as being able to control a tangible asset. 

Thus before one decides to invest in property one needs to clearly define the reasons behind the investment. Furthermore, from an investment perspective considerations of ownership tax and management issues are of vital importance. 

This decision needs to be considered carefully as shifting from one type of ownership to the next may be very costly. The property advisors Gold Coast process is a lengthy process which one would not like to encounter more frequently than necessary. In this newsletter, we discuss the most prominent ways in which investors can hold property.

Freehold Ownership

Ownership would be registered in the deeds office in the name of the owner. Freehold property may be owned by both companies and individuals alike. The advantage of this type of ownership is that the owner has maximum control over his/her investment and may dispose of the property as they wish.

Leasehold

Leasehold, also referred to as renting property does not give ownership to the tenant, however throughout the duration of the lease or rental agreement, the lessee (person who pays rent for the property) will enjoy virtually the same benefit as in the case of freehold above. It allows them to use and occupy the property for the duration of the agreement.

Sectional Title

Under Sectional Title, there are several owners owning different sections of the property. An example would be owners of townhouses and clusters all built on the same portion of land, albeit in various sections. Each owner has exclusive ownership of his own section as well as shared ownership in the communal property such as the swimming pool, clubhouse and staircases.

For best property investment are good options to consider for individuals who may not qualify for mortgage bonds as well as those who do not wish to settle permanently at a particular residence.