National Rental Affordability Scheme

Information for Investors

Benefits of investing in NRAS

NRAS investors can expect to benefit from the annual NRAS Incentive, rental yields and capital gain.

NRAS is intended to be a commercial, profitable investment for participants, while also assisting Australia to increase the supply of affordable housing.

With higher returns on direct residential property than returns on office or industrial property over the last 10 years,¹ residential property can be a profitable investment.

While global house prices have fallen substantially globally, the Australian housing sector has shown resilience, primarily due to strong fundamentals – low vacancy rates, high population growth, insufficient housing stock, high employment and sound lending practices.

Demand for residential property is high with the National Housing Supply Council’s State of Supply Report 2010 estimating a current housing supply deficit of 178,400 homes across Australia.

Partly due to the shortfall in supply, the residential rental market represents a good long-term investment. Independent financial modelling of the NRAS Incentive shows that it can provide market rates of return at levels that are strongly competitive with other asset classes.

Compared with a conventional residential investment property, in certain markets the NRAS Incentive can provide a better cash return to investors than the receipt of full market rent.

In addition, investors are able to apply property expenses and non-cash deductions and allowances against a lower assessable rental income, increasing the negative gearing benefit.

NRAS can counterbalance the risk and volatility of equity markets and assist in providing a balanced portfolio. It offers great flexibility, with investors encouraged to develop portfolios with diverse dwelling types across different locations.

With more than 1.5 million households eligible to rent NRAS properties, the vacancy risk is negligible.

Contact a Property Investment Mentor to discuss NRAS Obligation Free No Cost To You

Or

Continue Reading How Can Investors Participate in NRAS

Login



Contact Us






captcha

Australian Office
Level 29, 221 St Georges Tce
Perth WA 6000
Phone: (61) 8 9214 3894
Fax: (61) 8 9480 3705
Email: info@quantuminvestor.com.au

Singapore Office
8 Temasek Boulevard Penthouse Level,
Suntec Tower Three,
Singapore 038988
Phone: (65) 6829 2266
Fax: (65) 68292121
Email: info@quantuminvestor.com.au

Contact Us






captcha

Australian Office
Level 29, 221 St Georges Tce
Perth WA 6000
Phone: (61) 8 9214 3894
Fax: (61) 8 9480 3705
Email: info@quantuminvestor.com.au

Singapore Office
8 Temasek Boulevard Penthouse Level,
Suntec Tower Three,
Singapore 038988
Phone: (65) 6829 2266
Fax: (65) 68292121
Email: info@quantuminvestor.com.au