For many Australians, the Australia Day public holiday offers an opportunity to pack up the car, put the kids in the back and to go out and explore some of the fun and interactive sites on offer all around the country.
Whilst every region has its draw-card, we thought we would take a look at some of the more unusual novelty structures featured at different locations around the country.
Not only do these “big icons” offer a fun day out, they also host some surprising hidden deductions that will get property investors thinking about what they too might be able to claim from their own investment properties.
We also took a look at some of the research data available for the areas in which these icons are located.
The Big Golden Guitar – Tamworth, New South Wales
Located on the New England Highway approaching Tamworth, Australia’s home of country music, is the Big Golden Guitar. It sits outside the town’s Tourist Centre.
While the town of Tamworth attracts a large number of tourists for the Tamworth Country Music Festival held annually each year and taking place over the Australia Day week from the 20th to the 29th of January in 2017, the population of the area usually sits at around 58,000 according to figures from Tamworth Regional Council.
The area continues to offers affordable properties for investors interested in buying in this regional centre. According to suburb profile reports from Your Investment Property and CoreLogic for South and North Tamworth, the median house price ranges from $245,000 in the city’s south, to $372,750 in the cities north. Median prices for units vary more significantly depending on location. The median unit price in South Tamworth is just $182,500 whilst units in North Tamworth will fetch up to $390,500.
The rental returns on Tamworth investment properties also vary, with median unit rents ranging from $230 to $280 per week and median house rents ranging from $300 to $330 per week.
In addition to this rental income, investors can benefit from the depreciation deductions they can claim for the wear and tear of the building and the plant and equipment assets contained in their property.
Speaking of depreciation, although that famous Big Golden Guitar is part of the local Tourist Centre, if the property is being used for income producing purposes its owner could take advantage of depreciation deductions.
Our staff conducted a depreciation estimate of the structure of The Big Guitar and discovered an investor could claim around $8,000 in the first financial year and $26,893 in cumulative depreciation deductions over the first five years for this big item alone.
An investor would also be able to claim additional deductions for the Tourist Centre building and assets contained in the building itself.
The Big Funnel web – Jamberoo, New South Wales
Next stop on our tour is The Big Funnel Web Spider. This creepy crawly is one of the featured rides at Jamberoo Action Park, located in Jamberoo on the south coast of New South Wales. It’s the world’s tallest spider sculpture at twenty metres high and is sure to give the kids a thrill as they take a ride on the ProSlide Tornado 6o situated right next to it.
While on the subject of thrills, this “big icon” would provide an investor buyer a massive one. In a depreciation estimate, our staff discovered an investor could claim $25,000 in first full financial year depreciation deductions and $102,378 in cumulative deductions over five years for The Big Funnel Web alone. An investor owner of the Jamberoo Action Park could also take advantage of depreciation deductions for the other structures and assets found throughout the park.
Investors interested in buying property in Jamberoo are also in for shock. According to the suburb profile for Jamberoo from Your Investment Property and CoreLogic, the median house price in the area is $880,000.
Popular with holiday makers and just a couple of hours drive south from Sydney, the area is experiencing an annual capital growth of 5.41 per cent which makes it a worthwhile investment opportunity to consider.
The Big Tasmanian Devil – Mole Creek, Tasmania
It is estimated that between 10,000 to 100,000 individual Tasmanian Devils live in Tasmania and Trowanna Wildlife Park in Mole Creek Tasmania is helping to provide a sanctuary home for some of these critters.
By stark comparison, the population of Mole Creek in Tasmania was just 609 according to the 2011 Census. For this reason, not many are likely to have considered investing in this small town. However, investors will be surprised to learn that the area has experienced an annual capital growth of 10.61 per cent for houses according to the suburb profile from Your Investment Property and CoreLogic. The median house price for the area is around $230,000.
The statue of the Tasmanian Devil erected at the theme parks entrance not only helps to increase awareness about the plight of these endangered animals, it could also help an investor owner to continue their conservation work.
A depreciation estimate completed by our staff suggests an investor can claim $2,000 in depreciation deductions in the first full financial year and $6,723 in cumulative depreciation deductions over five years for this item. Deductions for both structural and plant and equipment items throughout the parks many exhibits would also be depreciable.
The Big Boxing Crocodile – Humpty Doo, Northern Territory
They say you should never smile at a Crocodile, but on our final stop of our tour, we’re stopping in at The Big Boxing Crocodile at Humpty Doo in the Northern Territory.
In 2012, Humpty Doo was named as one of twenty five hot spots by Smart Investor Magazine. A more recent suburb profile from Your Investment Property and CoreLogic advises that the median house price in the area is around $580,000 and the area has experienced an annual capital growth of 6.24 per cent.
For investors looking to buy in the area and wondering what income they could earn, the average median advertised rent is approximately $500. This steady income, combined with reasonable capital growth could make Humpty Doo an area still worth jumping into the ring.
While on the subject of boxing matches, a depreciation estimate of the Big Crocodile by our team discovered an investor buyer of the United Service Station where the Croc is located could claim $2,800 in deductions in the first full financial year for this item. Over five years, an investor owner could notch up $9,412 in cumulative deductions under their belt. Additional deductions would also be available for the structure of the petrol station and the plant and equipment assets inside.