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House & Land - Gold Coast | Property Investment


What to consider when investing in a house & land package in the Gold Coast


Gold Coast land and house packages are a very shrewd investment strategy due to the huge population growth, strong commitment to development and infrastructure, booming tourism industry and proven investment record.

The Gold Coast is Australia's sixth largest city and fastest growing regional centre. The population of the Gold Coast was recorded at 518,178 in 2006 and will rise to 886,665 in 2031 according to the Queensland’s future population 2008 edition.

Here are the important questions to ask when buying a Gold Coast house and land deal in Queensland for investment purposes

Where is the property located?


Gold Coast’s beautiful beaches, affordable lifestyle and world-class sporting and entertainment facilities are a popular drawcard for families, couples and empty nesters looking for a sea change.

Traditionally, new house and land deals are located in a central location that has a high rental demand. It is important to research your desired Gold Coast region and find out:

  • the rate of population growth and the demographics of the location
  • whether major developments or infrastructure planned for the Gold Coast location will affect your property
  • what is the capital growth of the area you wish to buy a house in and
  • what the average rent and yield of similar new houses in the area.

Remember investing in property is a long term strategy and the property market is a cyclical market so make sure you check previous reports as well as current reports and projected planning reports for the area.

What is the potential rental income and yield for your new house and land package?


Demand for beachside properties with large outdoor spaces, bigger bedrooms and storage space are driving up demand for houses in the Gold Coast. Desirable properties for tenants include the following:

  • close proximity to one of many Gold Coast beaches
  • within 10kms of the Gold Coast CBD
  • located near restaurants and cafes
  • within a short distance to one of Gold Coast’s many popular shopping strips such as Pacific Fair
  • access to nearby schools or universities such as Bond University, Griffith University or Gold Coast TAFE
  • near to public transport and highways and
  • in a region with a diverse industry and employer base.

Buying a new house for investment purposes that checks most of these boxes will result in a low vacancy rate, higher gross rental yields and strong capital growth.

What is the capital growth of the area?


Gold Coast house and land deals generally have a greater potential for capital growth than apartments because of the land content.

The advantage of buying a house and land package is also the greater potential to add value to the property such as landscaping the garden, knocking down walls to create open space living and restoring the roof. You are not restricted by a Body Corporate as you would be in the case of an apartment, unit or townhouse but you do have to comply with local planning laws.

This can increase demand for your new house, drive up prices and increase the potential for capital growth.

Other factors affecting capital growth in the Gold Coast are as follows:

  • If the house is bought off the plan and there is a long settlement period, there may also be potential for capital growth when the property is finally completed.
  • The location of the property. Historically, the best performing houses in terms of capital growth have always been beachside properties or within 10km of the Gold Coast.
  • Demographic changes such as population growth and increased popularity for beach side houses or inner city living.
  • Population growth, scarcity of land and future lack of affordability in the Gold Coast.

It’s important to research the capital growth potential of the area that you are planning to buy in as capital growth is the one of the main reasons why people purchase new houses as investment properties.

What are the tax advantages of buying a house and land package?


One of the major drawcards for buying a new house and land package in the Gold Coast is that there are considerable tax benefits and savings.

If you own an investment property, you may be able to deduct capital works deductions which apply to the period your property is rented or is available for rent and are generally be spread over a period of 25 or 40 years.

Any legitimate expense incurred in running your investment property should also be tax deductible against your overall income. These can include:

  • capital works deductions such as installing a gazebo, removing an internal wall or adding a garage;
  • depreciation – the ability to claim the cost of replacing fixtures and fittings such as carpets, curtains and so forth in advance of actual replacement;
  • loan interest and related bank fees;
  • insurances;
  • property management fees;
  • repairs and maintenance of fixture and fittings;
  • any legitimate expense incurred in running your investment property;

Consult your accountant before buying an investment property to find out all the possible tax deductions you may receive.

What are the costs of buying a house and land package?


As well as the usual costs of buying an investment property, a house for investment purposes is also subject to land tax and it is calculated annually as at midnight on 30 June of the year preceding the year of assessment (i.e. 2010 assessment is based on land holdings at 30 June 2009) in Queensland.

The advantage of buying a house over an apartment, unit or townhouse is that it does not attract any strata fees, have the high maintenance costs of an apartment such as lifts, gyms and pools and is not under the control of a restrictive body corporate.

Additional expenses to factor in your budget when buying a house and land package for investment purposes include:

  • stamp duty and other relevant taxes
  • conveyancing
  • fees
  • loan application and valuation fees
  • mortgage insurance (if applicable)
  • a tax depreciation report and
  • building and home contents insurance.

Other ongoing expenses include council and water rates, property management fees and landlord’s insurance.

Buying a Gold Coast house and land package is a very shrewd investment strategy as houses are consistently good performers in the coastal region of the Gold Coast. The demand for beach living and a laidback lifestyle, a strong population growth and a strong commitment to infrastructure is driving up the prices of houses in the Gold Coast region.

There is also a bigger resale market for houses are attractive to both investors and owner occupiers such as retirees, young families and couples.

Find Investment Property has listings for some of the Gold Coast house and land packages currently available so start searching to find your next property deal and add a Gold Coast off the plan property to your investment portfolio.


Find Investment Property is the best property investment resource online and features the latest new apartments and off the plan investment properties. Whether you are looking to buy investment property or looking for the best property investment research, Find Investment Property has the real estate investment properties you need.