With another Australian federal election approaching, property investors are again facing political uncertainty. One major political party has flagged its intent to abolish negative gearing—a move that often sparks anxiety in the real estate community. However, for savvy investors using Coleman Invest’s cash flow positive investment strategy, this policy shift presents little cause for concern.
Negative gearing allows investors to offset investment property losses against taxable income. But why rely on making losses in the first place? Smart investing, as championed by Coleman Invest, focuses on cash flow positive properties—assets that generate income beyond expenses from day one. This approach insulates your investment portfolio from any political whims that target negative gearing.
Here’s why cash flow positive, brand-new investment properties paired with tax depreciation benefits are your strongest defense against policy changes:
1. Immediate Positive Returns: Unlike negatively geared properties, cash flow positive investments earn you money immediately, safeguarding you from needing government policies to justify your investment.
2. Tax Depreciation Advantages: Brand-new properties offer significant depreciation allowances that reduce your taxable income without relying on negative gearing.
3. Growth and Stability: Investing in newly constructed, high-growth locations ensures your property not only appreciates in value but remains appealing to tenants, maintaining consistent rental returns.
4. Government-Proof Strategy: By relying on real income rather than tax-driven strategies, your portfolio remains robust regardless of legislative changes.
At Coleman Invest, our focus remains clear: build wealth through strategic, cash flow positive investments designed to perform in any political climate. By choosing brand-new properties with substantial depreciation benefits, you’re not only enhancing your returns today but future-proofing your portfolio against uncertain government policy.
The upcoming election needn’t concern informed investors. Embrace cash flow positive investing today, and keep your investment strategy resilient, profitable, and thriving.
