Claiming depreciation is an important part of any property strategy. Just like a car, properties lose value over time. This is depreciation.

You are allowed to claim depreciation as part of the losses incurred on your investment. The building itself can be depreicated as can internal fittings and fixtures. Certain items can be claimed over certain periods of time. It can differ from item to item. Your accountant will be able to help you with these specifics.

This is one reason why it can be more beneficial to purchase a new investment property. Just like new cars depreciate the most in the first few years, new properties depreciate the most when new. Purchasing a new property allows you to claim the most amount possible in those first few years.