Capitalising Expenses

Capitalising the expenses associated with an investment property is made possible at the time of organising the loan.

The investor must arrange their loan in such a way that allows for money to be drawn from the loan account to pay for other things such as agents fees, body corporate & council rates, maintenance & repairs.

The capitalising will mean that your loan will increase by about 1% to 1.5% per annum, however will give you an equal amount of cash to use as you will.

Most investors use this extra cash to purchase further investments sooner as the capital growth on these investments is what leads to financial independence.