No! If you buy together they calculate your ability to pay together. You are in effect liable for half the loan. So with a husband and wife they look at incomings (wages, rent etc). And outgoings (interest etc) to see your ability to borrow.Yes that's the reason magazines suggest buying in partnership if the bank will not lend you money alone.

In NSW you have to advertise at the same rent. Otherwise landlords could ask for exhorbitant rent and not worry as the tenant will be paying. Don't like your chances of winning if it goes to court. I do agree though that they didn't only realise last week that they were having a baby. And if they did why do they need a bigger place NOW if the…[Read more]

Don't forget to take into account that you will pay capital gains tax when you sell the new place if you rent it out first. Also doing the renos before you move in will increase the capital gain while it was rented so can increase the CG further (if you get an evaluation prior to moving in). In that case you would be better off not getting a…[Read more]

Your existing PPOR will be positively geared while you will not receive any tax deductions on your new property. This does not put you in a good position taxwise. Change the existing loan to interest only. In hindsight you should have been paying interest only with extra funds in an offset account. That way you could have puuled the money out to…[Read more]

Agree with the above. It depends where you want to live. If you want to live in an area that has a low yield you are better off renting and buying in another area. You can deduct expenses etc. Getting a co-investor for a family home is not worth the trouble (in my opinion). Too complicated with the amount each pays and tax for the other person if…[Read more]

Hi, the thing is, without attaching it to a wall (structural) you need supports to stop it from tipping over. My son's friend had a free standing wall made to make the lounge into a bedroom in a terrace in the city. It was like a proper wall but had supports coming out of the bottom to support it. It looked big and ugly but they were happy as they…[Read more]

Send an Email to a depreciator with details of the age of the property, construction, any reno's etc. They will tell you whether it's worthwhile doing. Seeing as you'll only get 6 months depreciation and you will likely sell unless you have recent reno's, or property is near new I'd say you would come out in front (money wise).

I think you need a balance. Sure lots (me included) wished we'd started earlier but not to the exclusion of living. You can't put everything off till "later". My wake up call was my friend. Her dream was to travel extensively to Europe for her 50th (I had a similar dream). She got cancer at 48 and was dead before she reached 50. That year I took…[Read more]

Don't put extra money on the loan if you are going to rent it out. This will reduce your claimable interest. You could put it in an offset account.

Well done. It looks great.  Was it difficult getting a smooth finish on the ceiling where the arch was removed? Did you replace the gyprock or repair it?It's rewarding isn't it!

Only issue with not using a qualified tradie is knowing if it's a load bearing wall. Not too hard to pick but I've seen people remove walls without the correct beams (or none) and roofs collapse. Having said that we did ours ourselves. Those bloomin support beams weigh a ton. 

What part of Sydney? It's a big place. What other things are you looking at doing?I have some tradies out west.

When are they due to be weened from the mother?

You neglected to add management fees. Some of these managed blocks charge a huge amount. Check whether you can lease it independently.  Banks will usually lend 60-80% on that size. Depending on the bank.Also what's the CG indications?  What's been the growth in the past? I know it sounds attractive but you need to look at ALL the information.You s…[Read more]

As it has risen substantially in price I'd get an evaluation. It may not go up in price in the forseeable future. If you don't get the valuation, when you sell they will apportion GST as a %.The repairs are not claimable. Once you have a tenant any repairs are claimable against the rent.From the time it is available for rent you can claim any…[Read more]

Try  http://www.depreciator.com.au           I use them all the time. Quick efficient well priced

Dragonflyz wrote:
. I really wish the whole IP process was straight forward but when I read all the differing opinions in these forums, it is anything but… no wonder so many people don't even bother! Thanks again.

haha. You are right it's anything but straight forward. Everyone has the way "they" do it. Don't fall into the trap of trying to…[Read more]

Didn't you put in a kitchen? I wouldn't call that cosmetic.

Hi, sounds like you are VERY eager to start. Good on you. Wish I wasn't a procrastinator. Took me many years before I bought. I'm not a fan of LMI but then I've never had an equity problem so maybe things would be different if I was in your position. But with 95% lends you need to be mindful of property price changes over time. If your LVR is low…[Read more]

streamlineinvesting wrote:
Below is an example of something you could easily do. http://www.realestate.com.au/property-house-nsw-tamworth-107250602Property for $130,000, with your deposit loan of about $95,000. Interest only that would be $555 a month in interest (7% IR). Currently receiving $210 a week in rent, $910 a month. So a gross profit…[Read more]