{"id":13897,"date":"2017-09-08T01:00:25","date_gmt":"2017-09-07T15:00:25","guid":{"rendered":"http:\/\/realestatetalk.com.au\/?p=13897"},"modified":"2017-09-08T01:00:25","modified_gmt":"2017-09-07T15:00:25","slug":"the-extra-value-from-adding-a-bedroom-or-bathroom-dramatically-improving-returns-from-a-property-cherie-barbers-failsafe-formulae","status":"publish","type":"post","link":"https:\/\/channels.realty.com.au\/realtytalk\/the-extra-value-from-adding-a-bedroom-or-bathroom-dramatically-improving-returns-from-a-property-cherie-barbers-failsafe-formulae\/","title":{"rendered":"The extra value from adding a bedroom or bathroom + Dramatically improving returns from a property + Cherie Barber\u2019s failsafe formulae"},"content":{"rendered":"<p>&nbsp;<br \/>\n<strong><em><u>Highlights from this week: <\/u><\/em><\/strong><br \/>\n&nbsp;<\/p>\n<ul>\n<li>The benefits of creating an offset account.<\/li>\n<li>Ways to ensure you don\u2019t overcapitalize on a renovation. Cherie Barber\u2019s formulae.<\/li>\n<li>How to dramatically increase the returns from a rental.<\/li>\n<li>How can crunching the numbers help investors with their purchase decisions<\/li>\n<li>Airbnb success story and news about a new company that helps with the Airbnb experience for property owners.<\/li>\n<li>Why get a depreciation schedule before you buy? How accurate is an early estimate?<\/li>\n<li>Free tool to calculate how much value is added to a property with extensions and renovations.<\/li>\n<\/ul>\n<p><strong>Transcripts :<\/strong><\/p>\n<h2>Offset account benefits &#8211; Andrew Mirams<\/h2>\n<p><strong>Kevin:<\/strong>\u00a0 I want to answer a question that came in from Simon at Caulfield. Simon asks about an offset account. Could we please explain what it means? We mentioned it in the show on a few occasions. Joining me on the line to discuss that, Andrew Mirams from Intuitive Finance.<br \/>\nGood day, Andrew.<br \/>\n<strong>Andrew:<\/strong>\u00a0 Hi, Kevin. How are you?<br \/>\n<strong>Kevin:<\/strong>\u00a0 Good, mate. I shot that question to you from Simon. Just explain for him what an offset account is, mate.<br \/>\n<strong>Andrew:<\/strong>\u00a0 I think it\u2019s a good question because still, it appears that the offset accounts and do they really work are common questions that we get asked quite regularly.<br \/>\nThe first point is what is an offset account? Traditionally, it\u2019s now basically like your savings account. A lot of people will have a second savings account or something like that, but it can just be your normal day-to-day savings account. What we do is we take them, we attach it to your loan, and then whatever the balance is sitting in that account actually fully offsets against the interest you pay on your loan.<br \/>\nLet\u2019s just say, for example, you have a $500,000 home loan and you have a balance of $10,000, it\u2019s effectively saying you only pay interest on the $490,000, so it saves you the difference between what you have in savings and what you have in the loan.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Mate, are there any questions that someone should ask themselves before they step into one of these, an offset account?<br \/>\n<strong>Andrew:<\/strong>\u00a0 Yes. I think wherever you\u2019re going into a normal package or something, if you can get an offset, we\u2019re big advocates of them because we see the ease of management, so not having to shuffle money around. All your money goes into the account and effectively starts working for you to assist you to reduce your loan interest. So, I think they are great things.<br \/>\nBut at the same time, you have to watch. The banks sometimes will charge you a fee for having it. Sometimes the rate might be slightly higher, so you have to make sure that you have to be able to justify the benefits.<br \/>\nIf you never have more than $100 in your account, it\u2019s probably not worth having an offset account. But if you tend to sit on thousands of dollars from month to month, or you\u2019re a good saver and you\u2019re regularly adding more money, absolutely, I think an offset account is a great facility to have to help you reduce your interest on your loan.<br \/>\n<strong>Kevin:<\/strong>\u00a0 In the event where an account may vary quite a lot \u2013 lots of ins and lots of outs \u2013 is there any advantage in having an offset account in that situation, Andrew?<br \/>\n<strong>Andrew:<\/strong>\u00a0 It tends to just depend on the average balance. Our high income earners, a lot of them get paid on a monthly basis, so they get a big lump sum once a month and then they slowly work their way through their living expenses to the end of the month, and it can diminish. That\u2019s very normal.<br \/>\nWhile you have all of that money in your account, it\u2019s like paying off your loan, just living out of your loan. That\u2019s kind of what it is. If you have a reasonable fund going there, I think it can definitely save you interest.<br \/>\nTo give you an example, Kevin, just say you had a $500,000 home loan at an interest rate of 4% and you just had $10,000 sitting there as an average balance offsetting against it. Over the life of the loan, that\u2019ll save you just shy of $23,000. I know I\u2019d rather have that in my pocket than in the bank.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Absolutely yes. There\u2019s a good demonstration. We\u2019ve had a number of questions about this, and I think you said it at the outset too, that offset accounts is one thing that you\u2019re asked quite regularly about.<br \/>\nWe\u2019re also asked about loan redraws. We\u2019re out of time right now, but what I would like to do is do a special interview with you on that. We might actually do that as a video, Andrew, and then we can post that up on your website, on your channel on Real Estate Talk as well.<br \/>\n<strong>Andrew:<\/strong>\u00a0 Absolutely. I think that\u2019s a great idea because there are some key differentials that you need to understand.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Watch out for that. It\u2019ll be on Andrew\u2019s channel. We\u2019ll put it up there for you this Sunday, actually, the difference between offset accounts and loan redraws. That\u2019s on the Intuitive Finance channel on Real Estate Talk. Just have a look for it. That\u2019s what we\u2019ll call it: \u201cWhat\u2019s the Difference Between Offset Accounts and Loan Redraws?\u201d You can just put that into the query box.<br \/>\nAndrew, thanks for your time, mate, and we\u2019ll catch you again soon.<br \/>\n<strong>Andrew:<\/strong>\u00a0 My pleasure, Kevin. Have a great day.<br \/>\n&nbsp;<\/p>\n<h2>How to improve on Airbnb returns &#8211; Bessie Yin<\/h2>\n<p><strong>Kevin:<\/strong>\u00a0 As investors chase better returns on their investment properties \u2013 and why wouldn\u2019t they? \u2013 it naturally raises the question of short-term stay. I guess when we talk about that, we\u2019ve heard stories of disruptors and so on and how Airbnb is disrupting the industry around the world. But I have to say that they\u2019re offering some pretty good returns.<br \/>\nIn our association with <em>Your Investment Property<\/em>, we undertook an exercise recently and looked around at how dynamic that improvement in return can be, and we came across a company called Made Comfy.<br \/>\nMade Comfy sits between you, as the property owner, and Airbnb to manage that process for you because generally, they found that people who invest in property are quite busy, they don\u2019t have the time to devote that it takes to make sure that the tenant is right, that it\u2019s checked, and that the property is okay.<br \/>\nAs part of that process of looking into Made Comfy, we came across a person who has actually used Made Comfy quite successfully, Bessie Yin. I caught up with Bessie to find out from her just how successful it\u2019s been.<br \/>\nBessie, thank you very much for joining us. How did the idea come about for you to actually work with Made Comfy and Airbnb?<br \/>\n<strong>Bessie:<\/strong>\u00a0 In September 2016, I started to look for an Airbnb agency online. I searched in Google, and I found two or three agencies listed on that. I called them up one by one, and at the end, I felt that Made Comfy is the one. It\u2019s very professional. It has a bit of knowledge and experience in this short-term lease market.<br \/>\n<strong>Kevin:<\/strong>\u00a0 I understand they also helped you with finding the right area to invest short-term in. Is that right?<br \/>\n<strong>Bessie:<\/strong>\u00a0 After the first one, I was talking to them about maybe I want to try again. The sales manager, Julian, recommended a few best-selling properties in the Airbnb market.<br \/>\n<strong>Kevin:<\/strong>\u00a0 How important is it for people to check with their body corporate to make sure that they\u2019re allowed to do this?<br \/>\n<strong>Bessie:<\/strong>\u00a0 Yes, it is very important to check with body corporate first.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Tell me when you first struck the relationship with Made Comfy, what was your expectation about occupancy?<br \/>\n<strong>Bessie:<\/strong>\u00a0 I was thinking probably around 70%, and then the first few months, it\u2019s really almost fully booked, so it came as a very happy surprise.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Just harking back on something we said earlier is that Made Comfy can actually help you work out where, if you want to build your portfolio, that you can get the best short-term return as well.<br \/>\n<strong>Bessie:<\/strong>\u00a0 I felt that they were a great help in terms of finding a good suburb to do a short-term lease. Also, they have provided me some advice in terms of how to boost up the booking rates and how to give a better experience for the guest. Yes, I\u2019m pretty happy with them.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Good on you, Bessie. Thank you so much for your time, and great talking to you.<br \/>\n<strong>Bessie:<\/strong>\u00a0 Thank you, Kevin.<br \/>\n<strong>Kevin:<\/strong>\u00a0 I think for any investor who is looking to get a better return for their property, this is something you should look into.<br \/>\nWe\u2019ve produced a special podcast where we talk to Bessie as we did there. We also talk to the operators behind Made Comfy, what it\u2019s all about, and we\u2019ve delivered that as a special podcast, which you can see now on the site. Just simply go to <em>Your Investment Property<\/em>, their channel.<br \/>\nWe\u2019ve also made it a little bit easier for you by putting a link inside the transcript for this interview, so just scroll down. You\u2019ll see the link there. That\u2019ll take you straight to the podcast. It\u2019s also on the website for <em>Your Investment Property<\/em> as well.<br \/>\nI strongly suggest you have a look at that because it might be a way for you to make better returns from your investment property.<br \/>\n&nbsp;<\/p>\n<h2>Free tool to calculate value &#8211; Kent Lardner<\/h2>\n<p><strong>Kevin:<\/strong>\u00a0 Every property investor wants to get as much out of their property as they possibly can, so we always get around to talking about adding things, like a granny flat or an extra bedroom or even an extra bathroom. Wondering then, how much value does that add? Is there any way for you to tell before you go in? Because of course, the risk here is that you may just over-capitalize. That\u2019s what I want to talk with my next guest, Kent Lardner From view.come.au, one of our supporters.<br \/>\nKent, you\u2019ve done a lot of work on this over the years, haven\u2019t you? Welcome to the show, by the way.<br \/>\n<strong>Kent:<\/strong>\u00a0 Thank you very much, Kevin. It\u2019s great to be here.<br \/>\nYes, done plenty of work in this space, and typically, what we do is we try and model houses based on what we call attributes. We try to predict the house price based on things such as number of bedrooms, the street type that it\u2019s on, and how many bathrooms it has.<br \/>\nSo, a lot of that modelling and a lot of just, actually, plain and simple research can answer those questions.<br \/>\n<strong>Kevin:<\/strong>\u00a0 You would know because that\u2019s what you do, but as a consumer, is there a tool somewhere that will tell me, if I just simply plug in one extra bedroom, what will it do?<br \/>\n<strong>Kent:<\/strong>\u00a0 Yes, we\u2019ve created a property page for effectively, every address in the country on View. If you go to the site and just follow the Research link, you can enter in your address, and then from there, scroll down the page and you can change the bedroom count on that.<br \/>\nSo, if you\u2019re currently a two-bedroom and you want to do a \u201cwhat if\u201d analysis \u2013 \u201cif I added a bedroom and make it three\u201d \u2013 you can change it, and then hit the button that says Update. What it will do is it will automatically return to you what we think are well-matched comparable sales.<br \/>\nThen what the user would do is cycle through and say, \u201cNo, I don\u2019t like that one; get rid of it,\u201d because the matching algorithm can only see things such as distance and time and size. It can\u2019t really see quality.<br \/>\nThat\u2018s where the human eye comes in, and actually, you go through and cycle through and pick the three comparable sales that work the best for you, and that will give you a price estimate instantly.<br \/>\nSo, through that tool, you can understand really quickly, within a few seconds, what the price change could be through adding a bedroom or adding a bathroom.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Wow. That is a great tool for someone who is looking at renovating or doing some work on the house before they get into it. As I said at the introduction there, the great risk there is that you will always over-capitalize.<br \/>\nKent, can I ask you, with something like a granny flat, which is fairly new on the horizon, is there any way to estimate what value, if any, that would add to a property?<br \/>\n<strong>Kent:<\/strong>\u00a0 I think there are probably a couple of approaches you can take with that. What I\u2019ve always done with granny flats is the first thing I do is look at what the rental return could be. So, it\u2019s not really a capital gain calculation; it\u2019s more what is the rental return?<br \/>\nBut when you look at it, if it looks and feels part of the house, you can actually add it as a bedroom, add it as bathroom, and expand the size of your house \u2013 so, treat it as if it is part of the house \u2013 and that can give you a rough idea what the additional attributes can add.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Are there any other additions we can add to a property that will add value? You mentioned there about a bathroom, and so far, we\u2019ve only just focused on bedrooms, but what about if I were to put an ensuite into a property? Have you got any estimate on what that would add?<br \/>\n<strong>Kent:<\/strong>\u00a0 Yes. Typically, we do the whole integers, but a lot of the American sites, you will probably see them, they do one or 1.5 bathrooms to capture the ensuite. We found in Australia that the measurement of what is a bathroom and what\u2019s an ensuite a little bit challenging. Most of the property data providers, most of the databases in Australia, typically, just count in whole bathrooms \u2013 one, two, or three \u2013 so it\u2019s always a little bit of a challenge with the ensuite.<br \/>\nAn interesting thing with bathrooms, however, is most of the time a one-bathroom property is very different to a two-bathroom property because typically, the older houses that are yet to be renovated are one-bathroom, whereas suddenly, when you move up to a two-bathroom property, the price jumps up considerably, and usually, that\u2019s because they are the renovated properties. So, it\u2019s quite a different sub-market as soon as you move to that two or three bathrooms.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Sorry to stay focused on one thing, Kent, but I\u2019m really keen to hear from you how I can make sure that I\u2019m not over-capitalizing when I do an improvement on a property.<br \/>\n<strong>Kent:<\/strong>\u00a0 I think the big thing is that the risk increases as you get larger and larger, so jumping from a two-bathroom to a three-bathroom has a greater risk of over-capitalizing when you compare that to, say, going from one bathroom to two. Or jumping from four bedrooms to five.<br \/>\nI think the key is that the lowest risk, greatest opportunity is always best in a higher-priced market with a smaller house.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Great advice, Kent Lardner. Kent is from View.com.au. Wonderful opportunity for you to go in and experience the site, and Kent, you did say that every property in Australia effectively is listed on the site, so you can go in and interrogate it from there. Is that correct?<br \/>\n<strong>Kent:<\/strong>\u00a0 You can, and it\u2019s all free.<br \/>\n<strong>Kevin:<\/strong>\u00a0 How good is that? View.com.au. They are one of our supporters, and we thank them for that. Kent, thank you so much for your time.<br \/>\n<strong>Kent:<\/strong>\u00a0 Thank you, Kevin.<br \/>\n&nbsp;<\/p>\n<h2>Cherie Barbers failsafe formulae<\/h2>\n<p><strong>Kevin:<\/strong>\u00a0 I want to answer a question now that came in specifically for Cherie Barber, and Cherie joins me.<br \/>\nHi, Cherie.<br \/>\n<strong>Cherie:<\/strong>\u00a0 Hi, Kevin.<br \/>\n<strong>Kevin:<\/strong>\u00a0 It\u2019s great to be talking to you again, Cherie.<br \/>\n<strong>Cherie:<\/strong>\u00a0 Thank you.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Cherie, this comes from Kane. He says, \u201cI\u2019ve found a good property in regional Victoria that I want to renovate and sell for a profit. What steps can I take to ensure that I don\u2019t over-capitalize? Could you ask Cherie for me? I paid $250,000, and well-renovated properties in the town are selling for between $325,000 and $390,000.\u201d<br \/>\nSo, what would your tips be to Kane, Cherie?<br \/>\n<strong>Cherie:<\/strong>\u00a0 Okay. Well, first of all, it\u2019s good that he\u2019s done his research. I say before you buy any property, make sure that you know what the value of the un-renovated house is worth. But at the same time, if you\u2019re going to be flipping, where you\u2019re going to be selling at the end, he needs to know what the resale property values are.<br \/>\nSo, if he\u2019s bought a house for $250,000, he needs to be reselling around the $340,000 mark to cover his renovation and all of his project costs, like his holding cost, resale costs, and so forth. So that\u2019s great. It seems to me that he\u2019s actually already in that range, which is really good.<br \/>\nThe next thing is to make sure that he spends an appropriate amount of money for the actual renovations. On a $250,000 house, the general rule of thumb for a cosmetic renovation is that you spend 10% of the property value. So, that means his renovation budget is $25,000 \u2013 not a cent more \u2013 and that\u2019s to completely transform that house, inside and out.<br \/>\nNow, I guess some of the ways, in terms of not over-capitalizing \u2013 obviously that\u2019s a very tight budget \u2013 he might go through the house and make a list of everything that needs to be done, and he might cost that up at $40,000. So, then he needs to say to himself, \u201cOkay, I don\u2019t have enough money to actually do everything. What are the things that are going to add value?\u201d So, certainly things like painting, ripping up the carpets, polishing floorboards, cosmetically updating the kitchens and bathrooms.<br \/>\nI guess if I can give him one big piece of advice, I always say to my students around the country, before you start any renovation, ask yourself what can truly stay in the house and what has to go. Because obviously, everything that you keep is going cost you less money to put back in.<br \/>\nSo, things like your kitchens and bathrooms can be cosmetically refreshed through products like laminate paint, tile paint, bench-top resurfacing kits. You can buy all of these products for under $100 a tin. And this where you spend hundreds of dollars, not thousands of dollars.<br \/>\n<strong>Kevin:<\/strong>\u00a0 It seems to me, that as well as doing the research on the property, you also have to research all of the materials that you will be using in the renovation, because as you\u2019ve just highlighted, you can actually very easily over-spend just on those, Cherie?<br \/>\n<strong>Cherie:<\/strong>\u00a0 Oh, 100%. And there are certain things\u2026 For example, I always say to my students, when you\u2019re selecting your fixtures and fittings, really shop around. Go out and be an absolute scrooge, getting the best price on your fixtures and fittings, because $50 you save here, $100 there, it all adds up to thousands and thousands of dollars over the course of the whole renovation.<br \/>\nAnd it\u2019s also the type of fixtures and fittings. \u00a0I generally say, shiny fixtures and fittings add more value than matt or satin type fixtures and fittings. I\u2019ll try and give you a practical example. In the bathrooms, even when I\u2019m doing my low-budget TV renovations, I\u2019ll always put polished tiles on the bathroom walls because they look more expensive than matt tiles.<br \/>\nEven things like larger tiles look more expensive than smaller tiles. They still cost you the same amount of money, on a square meter basis, but one has a perception of value, one doesn\u2019t. There\u2019s lot of little tricks in renovating.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Yes, there certainly are. The other point that I wanted to raise too, and you raised it right at the start there when you were talking about Kane\u2019s budget. It would be so easy for him to have a budget of, say, $50,000 on that reno, and then say, \u201cWell, I paid $250,000, there\u2019s $50,000 on top of that; that\u2019s $300,000. If I can sell it for $350,000, I\u2019m still going to make a profit,\u201d but as you\u2019ve just pointed out, that\u2019s only just a portion of your costs.<br \/>\n<strong>Cherie:<\/strong>\u00a0 It is. This is where a lot of people go wrong. They think just about the actual renovation and they don\u2019t consider their project costs. There\u2019s stamp duty, there\u2019s holding cost, legal fees. There are sometimes building and pest inspection fees, sometimes council fees, agents fees to resell the property. They\u2019re called resale costs. And you should always have a contingency, and all of those costs, add up to be more than the actual renovation itself.<br \/>\nI call them the total cost of a project, and that\u2019s what most people forget about and they get to the end of their project and they think they\u2019re going to sell for X amount and they don\u2019t. And this is where a lot of people lose money renovating or they break even.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Tremendous talking to you, Cherie. Thank you very much. If you want to contact Cherie, or go to one of her workshops, you\u2019ll get all the information at her website, RenovatingForProfit.com.au. One of our experts, Cherie Barber.<br \/>\nCherie, thanks for your time.<br \/>\n<strong>Cherie:<\/strong>\u00a0 You\u2019re welcome. Thank you, Kevin.<br \/>\n&nbsp;<\/p>\n<h2>Calculate depreciation before you buy &#8211; Brad Beer<\/h2>\n<p><strong>Kevin:<\/strong>\u00a0 We quite often discuss the benefits of obtaining a depreciation schedule once an investment property has been purchased, but are there any advantages in discovering what deductions can be claimed before you buy? Brad Beer from BMT Tax Depreciation joins us.<br \/>\nBrad, are there any ways that investors can discover the depreciation potential of a property without obtaining a full depreciation schedule?<br \/>\n<strong>Brad:<\/strong>\u00a0 Yes, Kevin, very easy to do that. The amount of data that we have these days and also the sheer hundreds of thousands of depreciations schedules we\u2019ve done, we\u2019ve probably seen a property similar. So, we\u2019ve built some things so that we can come up with an estimate of how much deduction might be available to a property that you\u2019re looking at buying.<br \/>\nThat might be through a simple estimate that can be done on a calculator that\u2019s on the website, that we put some information in about, that\u2019s free for you to use as many times as you like. It spits out an approximate number. Obviously, it\u2019s based on the information that you put in.<br \/>\nThe other thing is we can have a look at the information that you do have available. Once we know the address of the property, we can pretty much see most things about it these days, if it\u2019s been rented before, and come up with a fairly close approximate number of what sort of deductions would be available.<br \/>\n<strong>Kevin:<\/strong>\u00a0 It\u2019s pretty shocking, but we do realize that there are still a number of property investors who don\u2019t do a depreciation schedule. Just to give me a bit of an idea, what information is included in a comprehensive depreciation estimate?<br \/>\n<strong>Brad:<\/strong>\u00a0 The important thing is the approximate number in the first year or the first five years, because the reason you need to know that is so that you can go in and crunch those numbers. But we can do it fairly quickly and easily over the phone with some information that we can see pretty quickly.<br \/>\nBut then sometimes if you are buying in a development, then there may have actually been one prepared for the developer or for the guys who are selling it that has a bit more detail because we have things like schedules of finishes on new stuff and things that give us a bit more detail.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Can you give me a bit of an idea about how crunching those numbers can help investors with their purchase decisions, Brad? Have you had some experience with that?<br \/>\n<strong>Brad:<\/strong>\u00a0 I\u2019ve spent 19 years in this business. I\u2019ve been to lots of different property expos and everything under the sun as far as learning about property investment, and I guess it almost saddens me to see that people don\u2019t crunch their numbers on everything before they buy property. And the fact that they don\u2019t buy a depreciation schedule for some time after is concerning.<br \/>\nI think whenever you\u2019re buying property there\u2019s a lot of things to consider: the area, the drivers in those areas that are going to give you that growth.<br \/>\nLook, I\u2019m the depreciation guy. Depreciation is not the most important thing and you shouldn\u2019t buy for depreciation, but you should really know what that cash flow looks like for you, after tax, given your income on a specific property you\u2019re looking at, so that you really crunch the numbers and know what that\u2019s going to look like for you to make sure that you can afford it and you have that risk covered.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Are depreciation estimates also useful for developer\u2019s agents, mortgage brokers, and loan providers, Brad?<br \/>\n<strong>Brad:<\/strong>\u00a0 All of these people are involved in this transaction prior to an investor buying, or maybe not always, all of them \u2013 if it\u2019s second-hand property, usually not a developer, obviously. But when someone is either selling, financing, or building a particular product, an investment property or potential investment property, it\u2019s very easy for us to provide some sort of numbers to a potential purchaser to help them crunch those numbers.<br \/>\nSo, if you\u2019re in any of those property expertise, you\u2019re involved with these people who may be buying investment properties, knowing that exists and being able to actually talk about it \u2013 \u201cWell, depreciation is important. Have you thought about it? You have to crunch your numbers properly\u201d \u2013 they can get that information very easy from us.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Okay. Give us that website again, because you mentioned there are a number of calculators on the website as well, Brad?<br \/>\n<strong>Brad:<\/strong>\u00a0 It\u2019s BMTQS.com.au. There\u2019s a tax depreciation calculator part there, that\u2019s very easy. It\u2019s an app also. You can download it and use it. It\u2019s free, as many times as you like. Just make sure you use that to crunch your numbers. Or if you have an existing property, you can use to that see that you\u2019re getting all you get and amend if necessary or see whether it\u2019s worth having a look at. But, very easy to find.<br \/>\n<strong>Kevin:<\/strong>\u00a0 Good on you, mate. Thanks for your time. That\u2019s BMTQS.com.au. Brad Beer, thanks for your time, mate.<br \/>\n<strong>Brad:<\/strong>\u00a0 Thanks, Kevin. Much appreciated.<br \/>\n&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>&nbsp; Highlights from this week: &nbsp; The benefits of creating an offset account. Ways to ensure you don\u2019t overcapitalize on a renovation. Cherie Barber\u2019s formulae. How to dramatically increase the returns from a rental. How can crunching the numbers help investors with their purchase decisions&#8230;<\/p>\n","protected":false},"author":176692471,"featured_media":11939,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[10,11,13,24],"tags":[101],"class_list":["post-13897","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-kevin-turner-sponsored-channels","category-kevin-update","category-latest-story","category-shows","tag-podcast"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>The extra value from adding a bedroom or bathroom + Dramatically improving returns from a property + Cherie Barber\u2019s failsafe formulae - Realty Talk<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/channels.realty.com.au\/realtytalk\/the-extra-value-from-adding-a-bedroom-or-bathroom-dramatically-improving-returns-from-a-property-cherie-barbers-failsafe-formulae\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The extra value from adding a bedroom or bathroom + Dramatically improving returns from a property + Cherie Barber\u2019s failsafe formulae - Realty Talk\" \/>\n<meta property=\"og:description\" content=\"&nbsp; Highlights from this week: &nbsp; The benefits of creating an offset account. 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