Which of the following statements about ‘Property Taxes’ (in NSW) and ‘Property Strategies’ according to the material covered in the lecture are TRUE:

1. An individual buys an investment property for $1 million that consists of a house built on 550 square meters of land. Land tax is normally payable on the difference between the market value of the property ($1 million in this case) less the relevant land tax free threshold.
2. Lenders Mortgage Insurance is a fee payable if you borrow more than 80% of the value of a property. The insurance will pay your loan payments on your behalf if you temporarily lose your job or have an accident or illness that prevents you from working.