Property investment glossary for the terms behind every portfolio decision.
Plain-English definitions of the terms Australian property investors need to understand loans, rent, tax, depreciation, strata, cash flow and portfolio performance.
Glossary categories
Start with the kind of term you are trying to understand.
Browse by category first, or jump straight into the full A-Z index below. Every term remains visible as a normal link for readers, search engines and AI systems.
Deductions, depreciation, gearing, CGT and ATO rules.
View termsLVR, equity, loan structures, offsets and borrowing terms.
View termsYield, cash flow, returns and performance calculations.
View termsPurchase, settlement, title and due diligence language.
View termsTenancy, rent, insurance and day-to-day ownership terms.
View termsRates, strata, land tax, compliance and regulatory terms.
View termsTerms by category
Browse the terms that match the question.
Category sections collect related definitions together, so finance terms, tax terms and management terms do not get mixed into one long list.
Tax & Deductions
Deductions, depreciation, gearing, CGT and ATO rules.
9 terms
Capital Gains Tax (CGT)
Tax payable on the profit when you sell an investment property for more than you paid.
Capital Works Deduction (Division 43)
A tax deduction for the construction cost of the building structure itself, claimed at 2.5% per year over 40 years.
Depreciation
A tax deduction for the wear and tear on a building and its fixtures over time.
Depreciation Schedule
A report prepared by a quantity surveyor that lists all claimable depreciation deductions for a property.
Negative Gearing
When the costs of owning an investment property exceed the rental income it generates.
Plant & Equipment (Division 40)
Removable assets within a property, such as carpets, blinds, and appliances, that can be depreciated for tax purposes.
Positive Gearing
When an investment property's rental income exceeds all ownership costs, producing a net profit.
Quantity Surveyor
A qualified professional who prepares depreciation schedules for investment properties, identifying all claimable tax deductions.
Tax Deduction
An expense you can subtract from your assessable income to reduce the amount of tax you owe.
Finance & Loans
LVR, equity, loan structures, offsets and borrowing terms.
8 terms
Cross-Collateralisation
When multiple properties are used as security for a single loan or linked loans, tying them together financially.
Equity
The difference between your property's current market value and the amount you still owe on the mortgage.
Interest-Only Loan
A loan where you only pay interest for a set period, without reducing the principal balance.
Loan-to-Value Ratio (LVR)
The percentage of a property's value that is funded by a mortgage loan.
Offset Account
A transaction account linked to your mortgage where the balance reduces the interest charged on the loan.
Principal & Interest (P&I)
A loan repayment structure where each payment reduces both the loan balance (principal) and the interest charged.
Refinancing
Replacing your existing mortgage with a new loan, typically to get a better rate, access equity, or change loan features.
Serviceability
A lender's assessment of whether you can afford to repay a loan based on your income, expenses, and existing debts.
Returns & Analysis
Yield, cash flow, returns and performance calculations.
7 terms
Capital Growth
The increase in a property's market value over time.
Capitalisation Rate (Cap Rate)
The ratio of a property's net operating income to its market value, used to estimate return on investment.
Cash Flow
The net amount of money moving in and out of your property investment after all income and expenses.
Rental Appraisal
A professional estimate of the weekly or monthly rent a property could achieve in the current market.
Rental Yield
The annual rental income from a property expressed as a percentage of its value.
Return on Investment (ROI)
The total return from an investment property expressed as a percentage of the money you actually invested.
Vacancy Rate
The percentage of time a rental property is unoccupied and not generating income.
Buying & Selling
Purchase, settlement, title and due diligence language.
7 terms
Conveyancing
The legal process of transferring property ownership, typically handled by a solicitor or licensed conveyancer.
Due Diligence
The research and investigation process conducted before purchasing a property to identify risks and verify claims.
Off The Plan
Purchasing a property before it is built, based on architectural plans and developer specifications.
PPOR (Principal Place of Residence)
The home you genuinely live in as your main residence, which can unlock major CGT, land tax, and stamp duty concessions in Australia.
Settlement
The legal process of transferring property ownership from seller to buyer and finalising the financial transaction.
Stamp Duty (Transfer Duty)
A state government tax paid when you purchase a property, calculated as a percentage of the purchase price.
Torrens Title
A system of land ownership where you have full ownership of both the building and the land it sits on.
Property Management
Tenancy, rent, insurance and day-to-day ownership terms.
9 terms
Body Corporate (Owners Corporation)
The legal entity made up of all lot owners in a strata-titled property that manages shared areas and common property.
Bond (Security Deposit)
A refundable payment made by a tenant at the start of a lease, held as security against damage or unpaid rent.
Condition Report
A detailed record of a rental property's condition at the start and end of a tenancy, used to assess any damage.
Lease Agreement (Tenancy Agreement)
A legally binding contract between a landlord and tenant that sets out the terms and conditions of a rental arrangement.
Property Accounting Software
Software that helps property investors track rent, expenses, loans, and portfolio performance in one place.
Property Manager
A licensed professional who manages rental properties on behalf of the owner, handling tenants, maintenance, and compliance.
Rental Arrears
Unpaid rent that is overdue — when a tenant fails to pay rent by the due date.
Strata Title
A form of property ownership where individual lots (units, apartments, townhouses) share common property managed collectively.
Trust Account
A regulated bank account where a property manager holds rent and bond money on behalf of landlords and tenants.
Government & Compliance
Rates, strata, land tax, compliance and regulatory terms.
7 terms
ATO (Australian Taxation Office)
The Australian Government agency responsible for administering tax law, collecting revenue, and managing super systems.
Building Insurance
Insurance that covers the physical structure of your property against damage from events like fire, storms, and flooding.
Council Rates
Annual charges levied by local councils to fund community services, infrastructure, and maintenance in your area.
FIRB (Foreign Investment Review Board)
The Australian Government body that reviews foreign investment proposals, including property purchases by non-residents.
Land Tax
An annual state government tax on the total taxable value of investment land you own, excluding your principal residence.
Landlord Insurance
A specialised insurance policy that covers risks specific to renting out a property, including tenant damage and loss of rent.
Strata Levy
Regular fees paid by apartment or unit owners to fund the maintenance and management of shared property and common areas.
A-Z terms
Find the term, then follow the numbers.
Each glossary term links to a dedicated page with the full definition. The index remains visible as normal text and links for search engines and AI systems.
A
B
Body Corporate (Owners Corporation)
The legal entity made up of all lot owners in a strata-titled property that manages shared areas and common property.
Bond (Security Deposit)
A refundable payment made by a tenant at the start of a lease, held as security against damage or unpaid rent.
Building Insurance
Insurance that covers the physical structure of your property against damage from events like fire, storms, and flooding.
C
Capital Gains Tax (CGT)
Tax payable on the profit when you sell an investment property for more than you paid.
Capital Growth
The increase in a property's market value over time.
Capital Works Deduction (Division 43)
A tax deduction for the construction cost of the building structure itself, claimed at 2.5% per year over 40 years.
Capitalisation Rate (Cap Rate)
The ratio of a property's net operating income to its market value, used to estimate return on investment.
Cash Flow
The net amount of money moving in and out of your property investment after all income and expenses.
Condition Report
A detailed record of a rental property's condition at the start and end of a tenancy, used to assess any damage.
Conveyancing
The legal process of transferring property ownership, typically handled by a solicitor or licensed conveyancer.
Council Rates
Annual charges levied by local councils to fund community services, infrastructure, and maintenance in your area.
Cross-Collateralisation
When multiple properties are used as security for a single loan or linked loans, tying them together financially.
D
Depreciation
A tax deduction for the wear and tear on a building and its fixtures over time.
Depreciation Schedule
A report prepared by a quantity surveyor that lists all claimable depreciation deductions for a property.
Due Diligence
The research and investigation process conducted before purchasing a property to identify risks and verify claims.
E
F
I
L
Land Tax
An annual state government tax on the total taxable value of investment land you own, excluding your principal residence.
Landlord Insurance
A specialised insurance policy that covers risks specific to renting out a property, including tenant damage and loss of rent.
Lease Agreement (Tenancy Agreement)
A legally binding contract between a landlord and tenant that sets out the terms and conditions of a rental arrangement.
Loan-to-Value Ratio (LVR)
The percentage of a property's value that is funded by a mortgage loan.
N
O
P
Plant & Equipment (Division 40)
Removable assets within a property, such as carpets, blinds, and appliances, that can be depreciated for tax purposes.
Positive Gearing
When an investment property's rental income exceeds all ownership costs, producing a net profit.
PPOR (Principal Place of Residence)
The home you genuinely live in as your main residence, which can unlock major CGT, land tax, and stamp duty concessions in Australia.
Principal & Interest (P&I)
A loan repayment structure where each payment reduces both the loan balance (principal) and the interest charged.
Property Accounting Software
Software that helps property investors track rent, expenses, loans, and portfolio performance in one place.
Property Manager
A licensed professional who manages rental properties on behalf of the owner, handling tenants, maintenance, and compliance.
Q
R
Refinancing
Replacing your existing mortgage with a new loan, typically to get a better rate, access equity, or change loan features.
Rental Appraisal
A professional estimate of the weekly or monthly rent a property could achieve in the current market.
Rental Arrears
Unpaid rent that is overdue — when a tenant fails to pay rent by the due date.
Rental Yield
The annual rental income from a property expressed as a percentage of its value.
Return on Investment (ROI)
The total return from an investment property expressed as a percentage of the money you actually invested.
S
Serviceability
A lender's assessment of whether you can afford to repay a loan based on your income, expenses, and existing debts.
Settlement
The legal process of transferring property ownership from seller to buyer and finalising the financial transaction.
Stamp Duty (Transfer Duty)
A state government tax paid when you purchase a property, calculated as a percentage of the purchase price.
Strata Levy
Regular fees paid by apartment or unit owners to fund the maintenance and management of shared property and common areas.
Strata Title
A form of property ownership where individual lots (units, apartments, townhouses) share common property managed collectively.
T
Tax Deduction
An expense you can subtract from your assessable income to reduce the amount of tax you owe.
Torrens Title
A system of land ownership where you have full ownership of both the building and the land it sits on.
Trust Account
A regulated bank account where a property manager holds rent and bond money on behalf of landlords and tenants.
V
Why learn property investment terminology?
Understanding property investment terms is essential for making informed decisions about your portfolio. Whether you are evaluating rental yield on a new purchase, comparing loan-to-value ratios or preparing your tax return, knowing the right terminology helps you communicate with agents, accountants and lenders.
This glossary covers Australian-specific concepts including negative gearing, depreciation schedules, strata levies, land tax thresholds and trust structures that are unique to property investment in Australia.
Next step
Put the terminology into practice.
Run the numbers with free calculators, then let PropBoss keep the portfolio records, files, bills, loans and tax context organised.