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01. This Book
02. Syndicate Boom
03. Get Information
04. Syndicator
05. How much?
06. Depreciation
07. Depreciation Applied
08. Declining Balance
09. Straight Line
10. Paying Taxes
11. Pay Mortgage
12. Income Taxes
13. Paper Loss
14. Tax Shelter
15. Rent?
16. Syndicator Units
17. Wear + Tear
18. Lease-Hold
19. Building
20. Comparison
21. Specialized Properties
22. Growth
23. Leverage
24. Share Growth
25. Why + How
26. Syndicate Agreement
27. Net Lease
28. Long-term Lease
29. No Guarantee
30. Inflation Clauses
31. "Inflation Clause" Works
32. Inflation Clause?
33. Mortgage Due
34. Interest Rates
35. Short Term Mortgage
36. Good Mortgages
37. Refinancing
38. Refinancing Clauses
39. Share of Mortgage
40. Share of Profit
41. Purchase Options
42. How Purchase Options
43. Stunt the Growth
44. "Subordination"
45. Long Term Lease
46. Business Organizations
47. Syndicate Debts?
48. Management
49. Your Consent?
50. Sell Your Unit
51. Investment Trust?
52. Business Syndicate
53. Multiple Properties
54. Dream or Reality?
55. Syndicator's Background
56. Value of Guarantees
57. Look for Yourself
58. Conclusion
Resources
19. Depreciation of a Building
Think of any good, well kept, apartment house in a prime location or of any good office building in the center of your city. Practically all of them are worth a great deal more now than they were 25 years ago. One of the factors behind that increase is certainly the prosperity which we have now while 25 years ago we were in a depression. But another reason is that in a growing nation prime real estate in a good location will, if well kept, increase in value. In fact, it offers a shelter against inflation, since rents will usually increase if all other things become more expensive.
If the trend continues and if you invest in a syndicate which buys choice property, it is entirely possible that while you will be permitted every year to take a depreciation allowance, the value of the property will actually increase, in spite of its age. This is of great importance to you and one of the major attractions of investing in real estate. For income tax purposes you may be permitted to take a loss, even though in fact you may not sustain a loss at all and even though your property may have become more valuable.
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