The Aqua Blog — Aqua Wealth
Financial Planning, Mortgage Finance & Life Insurance. With over 100 years combined experience, we've got you covered.
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Whether you dream of being a millionaire or just wish you had more money, there are actions you can take to set you on the path to wealth creation. Here are the top tips most commonly recommended by wealth creation experts. 1. Be clear about what you want Create a list of goals, things you want to have and dreams you want to realise. Use words and images to create a vision board of these aspirations and position it somewhere you will see every day. 2. Get right back up each time Setbacks happen and it may seem like you are never going to reach your goals, but it is important to keep plugging away. When things don’t go as planned, look for another way. 3. Put enjoyment first If what you are doing to make money is draining and oppressive, it might create financial wealth but it will never create true wealth. Focus on what...

When it comes to shopping for a property, home loan pre-approval can give you the winning edge. It shows real estate agents that you are serious about buying a home and it places you in a good position to move quickly and get your finances sorted ahead of other buyers. Although it is not a guarantee of how much you can borrow, a pre-approval gives an indication of what you can afford. Like any type of shopping, it helps to know in advance where you can safely buy and where you can only window shop. There is no cost involved to obtain pre-approval and as your mortgage broker we can guide you through the process, helping you to understand your borrowing capacity and the type of home loan that might suit. When to apply Apply for pre-approval once you are ready to take the next step from inspecting and researching properties. Typically, pre-approvals only...

Struggling to save enough to buy a property? You may want to ask your family if they can provide a helping hand in the form of a family guarantee loan. This is when the equity in a family member’s home is used as security on your loan. Also known as a family pledge or guarantor home loan, it is a type of mortgage that allows you to borrow more money and provide less of a deposit. Usually when a loan is more than 80% of the purchase price (80% LVR) you will have to pay lenders mortgage insurance, but a family guarantee means you won’t have this extra expense. It’s even possible to avoid paying any deposit because the equity in your family’s home can act as a deposit. This ‘guarantee’ makes it possible for you to borrow the full 100% cost of the home, plus stamp duty and legal fees. Lenders...

We’re holding onto our homes for longer. That’s the message from a Core Logic RP Data study that shows the average time Australians keep their houses without selling has increased significantly over the past decade. The average length of time a capital city house is owned has climbed by nearly four years since 2004. Comparing homes in capital cities which were sold in 2014, houses are now owned for an average of 10.5 years and units for 8.7 years. In 2013, the average hold period of homes sold was 10.1 years for houses and 8.4 years for units. It’s a trend evident across all capital cities, with Melbourne homes staying with their owners for the longest period – an impressive 11.8 years for houses and 9.7 years for units. Even in Adelaide, where owners kept their homes for only 4.8 years in 2004, this figure has nearly doubled to 8 years. It’s likely...

Cash is on its way out as Australia continues to embrace the use of electronic payments. According to the Reserve Bank of Australia, cash dropped from 70% to 47% of transactions from 2007 to 2013. The demand for coins has declined by a quarter in the last three years and almost 70% of credit card transactions are now ‘tap and go’. Mobile payments This year’s launch of mobile payment services like Android Pay and Samsung Pay is an indication of our increasing appetite for cashless options. Mobile payment gives you the ability to pay for purchases by tapping your phone over the terminal in the same way you would tap your card at the point of sale. You need a card-linked mobile phone and authentication is achieved using either your fingerprint or a one-time use code. Sweden rejects cash Sweden is another country well on its way to becoming a cashless society. Cash is no longer...

With some research, preparation and expert advice, smart property investors can turn an ordinary tax return into one that will help kick off the new financial year with a smile. Claim every allowable expense There are around 20 expenses you can claim as tax deductions, including interest on loans, advertising for tenants, phone calls, cleaning, body corporate fees, legal fees and water charges. Refer to the Australian Taxation Office website for a detailed list. You can only claim deductions for the period during the year that the property is rented or available for rent. If the total borrowing expenses are $100 or less, you can claim a full deduction in the income year they are incurred. It’s difficult to remember every expense you incurred over a year if you don’t keep accurate records. Detailing your income and expenses as they happen rather than waiting until year end will save considerable time and hassle at...

If selling your property was an exam, scoring 100 per cent would bring the reward of less stress and more money. Here’s a cheat sheet of mistakes to avoid in order to pass your exam with flying colours! 1.Don’t Wrongly Price Your Property Over-pricing or under-pricing is a common mistake that occurs when property owners fail to do sufficient research about what buyers are looking for and what they are expecting to pay. Look at comparable sales in your area and use this data when you are discussing prices with your real estate agent. 2. Not tidy up Mess, dirt and clutter turns buyers off because it makes it harder for them to envisage themselves living in the property. Remove junk, personal items and family photos off countertops, shelves and walls. 3. Don’t Spend too much on renovations While a coat of paint or re-carpeting can help improve the value of your property, it’s never a...

If there’s any doubt in your mind about the value of property as a creator of wealth, new research from CoreLogic RP Data has found that you can’t go past property when looking for a profitable long term investment. Researchers used an automated valuation process to obtain current property valuation estimates, and from there calculated equity levels for homes around the country. The results clearly showed that in Australia, the average property is now worth almost double the amount of debt against it. This means property owners in either city or regional areas with a mortgage have accumulated 48.4% equity in their properties on average, which is the equivalent of $242,642. New South Wales and Victoria have the highest average level of home equity at 56.6% and 49.3% respectively. The ACT came next at 42.8%, Queensland at 39.9% and South Australia at 39.4%. Even the lowest equity level, in Tasmania, was still an impressive...

On 3 May 2016, the Turnbull Government delivered its first Federal Budget. And it is also the last Federal Budget to be delivered by the current Government given the impending election. According to the Treasurer, this year’s Budget is not an ordinary Budget – rather, it is an economic plan that focuses on three key actions: Sticking to Government’s plans for jobs and growth; Fixing specific problems in the tax system (including major superannuation reforms); and Continuing to ensure the Government lives within its means.   [action full_width='yes' content_in_grid='no' type='simple' icon='fa-download' icon_size='fa-2x' icon_color='#ffffff' custom_icon='' background_color='#a68e19' border_color='' show_button='yes' button_text='Find out more about what the 2016 Federal Budget means for you' button_link='https://aquawealth.com.au/wp-content/uploads/2016/05/2016_Federal_Budget_-_Client_Overview.pdf' button_target='_blank' button_text_color='#ffffff' button_hover_text_color='#a68e19' button_background_color='#a68e19' button_hover_background_color='#ffffff' button_border_color='#ffffff' button_hover_border_color='#ffffff'][/action]...

When it comes to personal protection, Australians are making a worrying return to a ‘she’ll be right’ approach, with fewer than one in five checking their levels of personal insurance. BT’s Australian Financial Health Index1 (AFHI) found that overall, the nation’s financial wellbeing has remained relatively stable. However after positive shifts in attitudes towards insurance in 2012-2013, the more recent 2014 AFHI found an uplift in levels of confusion and indifference in regards to personal protection. See the infographic here. We’re more likely to insure our car than ourselves As a guide to how personal insurances often play second fiddle to other types of cover, 76% of Australians claim to insure their car, yet only 33% also claim to have life cover and just one in five (20%) claim to have income protection insurance. Indeed, tangible assets are typically seen as more worthy of insuring than ourselves. One in three (35%) Australians rate their home...