Feed on
Posts
Comments

real estate reportThis week begin a new series looking at suburbs with the highest increase in median selling prices in 2010, with a focus on two suburbs in South Australia. And in our tax tip we look at how to claim a capital gain or capital loss on property destroyed by bushfires and other natural disasters.

News
House price growth is set to strengthen in 2012, as sentiment and demand for property increases, according to ANZ senior economist Ange Montalti.

The Australian Bureau of Statistics has reported housing finance for owner occupiers increased 2.9 per cent to $14.5 billion in November.

As prices rise, and housing becomes less affordable, land sales volumes are also the lowest they have been in a decade, according to the Housing Industry Association and RP Data.

The Residential Land Report says the volume of land sales fell sharply in the September 2010 quarter, down 57 per cent on the same quarter in 2009.

Suburb in Focus
This week we begin a new series looking at suburbs with the highest increase in median selling prices in 2010, with a focus on two suburbs in South Australia.

First let’s look at Marden, a council area located 6 kilometers north-east of Adelaide’s central business district. With a population of 1,954 in the 2006 census, Marden is a centrally located, largely residential suburb bound in the north by the Torrens River and surrounding parklands. The walk-way that runs adjacent to the river is a popular destination for locals and bike-riders, and also provides a scenic route into the city. Marden is bound in the south by Payneham road, a main artery into the city and well serviced with public transport. The suburb shows off a selection of unique homes, from those dating back to the pre-Federation era to newer developments. Marden also hosts a sports complex, a senior college and a shopping centre.

Turning to the figures, houses in Marden recorded South Australia’s highest increase in median selling price in 2010, rising 45.5 per cent in the twelve month period. 17 properties were sold in the year, recording a median price of $717,500. Over the past 10 years, the median selling price has risen 15.4 per cent.

Our next suburb is Millswood, located 5 kilometers of south Adelaide’s CBD. With a population of 2,079 in the last census, Millswood is an inner city suburb divided by Goodwood Road, which stretches from the southern suburb of Pasadena to the CBD. Millswood is also serviced by a railway line and is positioned next to Adelaide’s only tram line, connecting residents to Glenelg beach. The suburb has a range of larger homes, including character bungalows, with large gardens. The houses are located near a broad range of up-market café’s, restaurants and shopping on King William and Unley Road. Millswood is also home to a number of schools and colleges as well as The Goodwood Oval that runs an active schedule of sporting events throughout the year.

Turning to the figures, houses in Millswood recorded South Australia’s second highest increase in median selling price in 2010, rising 38.4 per cent in the twelve month period. 32 properties were sold in the year recording, a median price of $879,500. Over the past 10 years, the median selling price has risen 13.2 per cent.

Tax Tip
And now to the Tax Tip of the week from Depreciator – the Tax Depreciation Schedule specialists.

Usually any capital gain or capital loss that is incurred from the destruction of a property that is your main residence is disregarded. However, if your dwelling was used to produce income, such as renting it or using it to conduct business, you can make a capital gain or capital loss. You can also make a capital gain or capital loss if the property was not your main residence over the full period you owned it.

The Australian Tax Office says if you sell the land separately from a dwelling the main residence exemption will not apply to any capital gain or capital loss you make from the land. But, if your property is accidentally destroyed and you then dispose of the vacant land on which it was built, you can choose to apply the main residence exemption as if the home had not been destroyed and continued to be your main residence.

As always, do remember to consult with a tax accountant or tax professional before making any tax related decisions.

Story source: www.finnewsnetwork.com.au

Tags: finance, investment, marketing, property, real estate, research

View the original article here

Share and Enjoy:
  • Print
  • Digg
  • StumbleUpon
  • del.icio.us
  • Facebook
  • Yahoo! Buzz
  • Twitter
  • Google Bookmarks

Leave a Reply