CREATING WEALTH AND LIFESTYLE THROUGH

PROFILE REAL ESTATE

... See Page 2 for what’s in this issue

by Grant and Christina Penrose

Issue 27

We hope you and your family enjoyed awonderful break. Grant and I took theboys to New Zealand to visit his familywhich was fabulous. It was great towatch the kids’ faces experiencing newthings and their sheer excitement to beon the plane had us and many of thepassengers laughing too. We spentalmost two weeks without our phones(which must be a record!) and it waswonderful for letting us fully focus onfamily life. The boys’ absolute highlightwould have to have been watching theantics of the Meerkats at the AucklandZoo and the Auckland Snow Planetwhich was the first time they'd everseen the snow or experienced skiingand snowboarding! Our personalhighlight as parents, was watchingthem having so much fun, and theirincreasing enjoyment as they got betterand better. It's been an awesome year for RE/MAXProfile with new sales and listingscoming in every day. The team has

worked extremely hard and we'reproud to be ranked 2nd nationally forthe month of November and are lookingforward to an even better 2015!Another thing we're looking forward tois the upcoming annual awards forwhich we're anticipating some greatresults for the office and teammembers. We are so thankful to havesuch a wonderful team but our greatestthanks goes to you - our clients,without whom none of it would bepossible. It truly is a pleasure andprivilege to be able to help you withyour real estate needs! While somehave predicted increases in interestrates this year, the latest economicprediction is for interest rates to comedown. This implies a great time toconsider purchasing. However it is justas advantageous for sellers - morebuyers, can lead to a lack of propertyon the market, leading to morecompetition for what is available. So ifwe can help you in any way, please just

let us know because it is always a greattime to sell properties with RE/MAXProfile Bardon.

We love to help. :)

With interest rates in mind, we'vepersonally found it to be a good time todo a finance check! If you would likehelp doing this or even a secondopinion please call for some direction.

If you are already an investor ofproperty, you would be well aware thatit is peak season for letting.

We're working double time here atRE/MAX Profile Property Managementhaving applications processed asquickly as we can! If we can assist youin property management don’t delay,call now!

Wishing you a sensational2015!

Christina Penrose

� From Christina � Think like the Rich� $7,600 lost every year. Mortgage owners beware...� Emergency Versus Routine Repairs - Whats the Difference?� Brisbane Market Statistics for 2014� Who Keeps the Cash ... Can a Bond be used to cover loss of Rent?� Property Rentals Brisbane

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In this issue

Happy New Year! 

PROFILE REAL ESTATE

For two months you have workedhard at paying off your debt. Youstuck with your budget – eachweek putting the extra savingsonto your debt repayment. Thenone day you are at the shopsand see something you reallywant – new shoes, the latestiPhone, a dress for your daughter– and your determination to payoff your debt goes out thewindow.

You decide to splurge just thisonce but over the comingmonths you find there are toomany other things you can’tresist spending money on. It’s notlong before you are even deeperin debt and once again lookingfor a way out.

After much soul-searching yourealise that unless you change

the way you think about moneyyou will never get ahead of thedebt cycle let alone start buildingyour wealth.

Becoming wealthy is not justabout how much money youstart with, it is about the rightmental attitude. Thinking longterm, taking responsibility for yourcircumstances and having apositive outlook are just some ofthe mind strategies to master inorder to achieve financialsuccess.

Think long termBe willing to put off gratificationnow in order to have more in thefuture – short term pain for longterm gain. If you spend yourmoney now, you can’t spend itlater.

Think like the Rich

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PROFILE REAL ESTATE

Think long term

Take responsibility for yourcircumstanceDon’t try and justify your situationor worst still, blame others. Createyour own circumstances bychoosing actions that support yourgoals – when you choose thebehavior you choose thecircumstances.

Wear a positive attitudeInstead of thinking that you can’t,it’s too hard; tell yourself that ifothers can do it, so can you.

Make it happenHave a plan for thefuture, make things happen ratherthan let things happen. Knowwhere you are going and how youare going to get there.

Persist until you succeedDon’t quit at the first sign ofdefeat, keep trying until you get itright. People more often makemoney through hard work andpersistence than luck.

Australian Property FinanceJanuary – February Newsletter2015

Persituntil yousucceed

Wear apositiveattitude

Take Responsibiltyfor your circumstance

Make it happen

A simple home loan health checkled two police officers to refinancefor a saving of $7600 a year ininterest.

When police officers Ben Dixonand Sara Peters were looking for ahome loan, they thought thechoice was obvious. They securedfinance through the samecommunity-owned bank most oftheir colleagues used, bought ahouse and were happily paying itoff.

A few years on, and knowing thattheir interest rate was a little higherthan others they had seenadvertised, Ben and Sara visitedan Australian Property FinanceBroker for a home loan healthcheck.

“Being members of a mutual bankthey thought they were beinglooked after and thought theywere on quite a good deal,” theircredit adviser recalls.

This wasn’t the case though.Although they had always received

good service from the lender theyhad been with for nine years, theywere on an unnecessarily high ratethat was costing them bothmoney and years on their loan.

“We were able to reduce their ratesignificantly, and we ended upsaving them $7600 a year ininterest. And the loan was only$450,000 – it wasn’t a big loan,”says their credit adviser.The couple had two options: theycould either reduce theirrepayments and have an extra$7600 each year to play with or tosave, or they could keep theirrepayments at the current leveland pay down their loan morequickly.

“They had a family as well, so themoney could certainly be usedelsewhere, but the aim for them

was to pay their loan off as soonas possible, so they continued tomake the same repayments, andhave been able to reduce theirloan faster,” their adviser explains.

Being able to reduce the debtsignificantly sooner than theyoriginally planned means that thecouple is now working towardspurchasing an investmentproperty.

“The plan is to reduce their debtfirst, and then be able to put fundsaside for an investment purchase.They are absolutely on track toachieve that,” says Ben and Sara’sadviser.

“They are a fairly typical family, andthey thought they were on areasonable deal. It wasn’t untilthey came to me for a home loanhealth check that we were able toshow them that there weresignificant savings to be had bylooking at an alternate lender.”

Speak to Joshua Vecchio fromAustralian Property Finance on0432 989 866 today.

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$7,600 lost every year. Mortgage owners beware...

Routine RepairsEmergencyWhat’s the Difference?

Emergency repairs are repairs for:• a burst water service or a serious water service leak

• a blocked or broken lavatory service• a serious roof leak• a gas leak• a dangerous electrical fault• flooding or serious flood damage• serious storm, fire or impact damage

All other repairs are considered to be routine repairs.

Fast facts:• A tenant/resident must notify the property manager/owneror manager in writing of the need for an emergency repair.In an emergency the nominated repairer can be contacteddirectly if the property manager/owner or manager isunavailable.

• If there is a nominated repairer they should be listed on thetenancy agreement.

PROFILE REAL ESTATE

VERSUS

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Many were hoping for Brisbane toperform well at the start of 2014with affordable real estate, greatweather and coming off a lowbase. According to the HerronTodd White report, “Agents werefeeling the love with multiple open-home lookers and more than a fewauction results that were pleasantlysurprising for the vendors.”

Herron Todd White were spot onwith their predictions to stay withincoo-ee of the CBD and buyinghouse and land, as well as to shyaway from areas beyond the 20kilometre radius as these suburbsneed a super-hot market in the cityto start radiating out.

We have seen an increase in salesactivity over the Septemberquarter for Brisbane City for bothhouses and units compared to ayear ago. According to the REIQQueensland Market Monitor,“Investors and home buyers alikeare looking north of the border formore affordable housing options in

a capital city that has some capitalgrowth still to come.”

The Brisbane house market salesvolumes continue to grow withstrengthening buyer demand.According to the report the unitmarket also continues to performwell. Statistics show that salesvolumes were up seven per centover the September quarter. Thereport further showed that theannual median was up by five percent compared to a year ago andup 9.1 per cent compared to fiveyears ago.

The December 2014 results of theCoreLogic RP Data Home ValueIndex saw combined capital city

home values rise by 0.9% over themonth to take the annual increaseto 7.9%.

According to the CoreLogic RPData Home Value Index, “capitalcity home values increased by 1.6per cent, with Perth (+2.8%),Sydney (+2.3%) and Brisbane(+1.8%) recording the greatestquarterly gains,” over the lastquarter of 2014.

"Furthermore, with so muchinvestment activity increasing thestock of rental housing as well asthe surge in dwelling approvals, wewould expect that rental growthwill remain sluggish across thecapital cities. As a result weanticipate a further compression ofgross rental yields in 2015," MrKusher said.

Source: REIQ Queensland Market Monitor,September Quarter 2014CoreLogic RP Data Home Value Index,December 2014Herron Todd White Month In Review -December 2014

Brisbane Market Statistics for 2014

PROFILE REAL ESTATE

• a failure or breakdown of the gas, electricity or water supply to the property

• a failure or breakdown of an essential service or hot water, cooking or heating appliance

• a fault or damage that makes the property unsafe or insecure

• a fault or damage likely to injure a person, damage property or unduly inconvenience a resident of the property

• a serious fault in a staircase, lift or other common area or premises that undulyinconveniences a resident in gaining access to, or using, the property

• If the property manager/owner/manager or the nominatedrepairer cannot be contacted, the tenant can arrange asuitably qualified person to carry out the repair. Thetenant can pay the repairer themselves and get themoney back from the property manager/owner/manageror get the repairer to bill the property manager/owner/manager. They should forward all receipts to theproperty manager/owner/manager who must pay themback within 7 days.

• If the tenant pays for emergency repairs the cost mustnot exceed the value of 2 weeks rent.

• If the tenant and property manager/owner/ manager donot agree about the emergency repairs, or if the propertymanager/owner/manager has not reimbursed the tenantwithin 7 days, they can apply to QCAT for a ruling.

• A tenant should not stop paying their rent to force theproperty manager/owner/manager to undertake repairs.This is a breach of the tenancy agreement

Source: www.rta.qld.gov.au

Want FREE “do it yourself” instructions for showingoff your home so buyers will fall in love with it andpay your dream price?

Visit our facebook page: www.facebook.com/howtosellyourhomeforadreampriceinrecordtimeor order a copy of our book from our website www.propertysalesbrisbane.com/our-book/ or simply callor sms free book to 0418 747 997 with your email address today

Just six weeks after the startof a Moorooka tenancy inJune 2013, policeexecuted a search warrantto investigate “unlawfuluse of the premises”.

Presumably havingformed a “reasonablebelief” that the homehad in fact been used for anillegal purpose, the landlords served anotice to remedy breach, relying also on thetenant’s failure to return the entry condition report, asmashed window and damage to window blinds.

Two days after the expiration of the breach notice, aNotice to Leave was served via post requiring thetenant’s to vacate the premises on 5 September.

In compliance with the notice, the tenant departedwell before its expiration date, leaving the keys withthe owners’ agent.

It took landlords, Lisa and Stephen Castieau, sevenweeks to get the premises cleaned up and newtenants installed and then only at $10 less per weekthan their predecessor had been willing to pay.

They applied to QCAT for payment to them of thebond of $1.5k, plus additional sums for the cost ofcleaning and repairs and for loss of rent “until theexpiration of the lease” and then re-letting theproperty, a total of $4.5k.

Tribunal member Paul Favell examined theprovisions of the general tenancyagreement and the ResidentialTenancies and RoomingAccommodation Act.

While the landlords were clearlyentitled to the cost of repairs and

cleaning, there was no justification inmember Favell’s view, for the award of lostrent etc after a tenancy had been dulyended under a notice to leave procedure.

Given the provisions of RTRAA s 277 – which specifya tenancy is ended on the expiration of the notice - alandlord would need to point to a contract term thatwould create such an obligation on the tenant.

He noted that the only tenant obligations in thetenancy agreement enduring after the end ofoccupation were to return the premises to their pre-tenancy state and to pay the cost of cleaning and ifappropriate, for pest treatment.

Member Favell also disallowed the claim for the costof changing locks. “No reason has been establishedfor that expense since it is submitted that the keyswere returned as required under the agreement.”

The landlords were successful to this extent of $774with $705 being refunded to the outgoing tenant.

Castieau v Gubecka [2013] QCAT 644 Member Favell21/11/2013Source: Carter Capner Law Blog – December 2014

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Seduce yourBUYER with thehome of theirdreams!

record time!sell

BY GRANT & CHRISTINA PENROSE

How to your home for adream price in

PROFILE REAL ESTATE

Who Keeps the Cash… Can a Bond Be Used to Cover Loss of Rent?

The Market

Property Rentals Brisbane

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For the lease of our house, we contracted with RE/MAX ProfileReal Estate. Both Brittney and Helen immediately impressed uswith their knowledge of the market, further to theirprofessionalism and commitment to their words. They werequick to follow-up on all stages of the process, and kept usinformed of developments at each point in time. We greatlyappreciated their efficiency, extensive knowledge and openand immediate communication, and would not hesitate torecommend their services to our friends and family.

Suvena Indooroopilly

What our clients say:

Brisbane Dec 2012 Dec 2013 Dec 2014

Median Weekly Rent - House $395 $410 3.8% $420 2.4%

Median Weekly Rent -Unit/Apartment $380 $390 2.6% $390 0.0%

Days on Market (Avg) 27.8 27.6 0.2 30.6 3.0

Days Vacant (Avg) 16.5 16.1 0.4 17.8 1.7

Recently Rented

PADDINGTON - $1,150 per week 4 bed – 3 bath – 1 car accommodation

EATONS HILL - $490 per week3 bed – 2 bath – 2 car accommodation

CHAPEL HILL - $780 per week4 bed – 2 bath – 2 car accommodation

TOOWONG - $450 per week2 bed – 2 bath – 1 car accommodation

One month'sFREE MANAGEMENT

if you list your property before the 28th February 2015.

Call our property management team today on 3510 5222; you’ll be glad you did.

Source: rentfind.com.au

PROFILE REAL ESTATE

Materials and articles in this publication are general comment, not advice. The information is believed to be accurate and reliable but no responsibility is taken for any opinions expressed or for errors or omissions. Readers should not act on the basis of the material without taking professional advice relating to their particular circumstances.

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These are some of our teams most recent sales.Let us work for you! Call us today!

FOREST LAKE VICTORIA POINT TOOWONG CHAPEL HILL

WYNNUM WEST KENMORE TOOWONG GUMDALE

KENMORE AUCHENFLOWER

SPRING HILL

FOREST LAKE

BOWEN HILLS

DURACK

GREENSLOPES KENMORE

BRIDGEMAN DOWNS BARDON THE GAP KENMORE

MITCHELTON FERNY HILLS MT CROSBY ST LUCIA

KENMORE WOOLOOWIN PETRIE TERRACE BOWEN HILLS

PROFILE REAL ESTATE

PO Box 388, Paddington QLD 4064Office phone: 07 3510 5256www.profilerealestate.com.auChristina 0418 737 327 christinapenrose@remax.com.auGrant 0418 747 997 grantpenrose@remax.com.au