Hi Rob,

Yes rounded up 47 = 50 but that rate will only apply over $70K – and affects a smaller proportion of the total income – and up until that time the tax rate of 26% is a fair way from 50c/$.

Using the gross salary figures provided most of the income is taxed at the much lower rate and as such tax payable is considerably…[Read more]

Hi dhen,

Talk to the PM and find out why they have been unsuccessful and how many iinspections have they done.

Being winter there tends to be fewer tenants looking and as such you may need to consider reducing your rent.

Also ring other PMs and see what they are saying about the Orange market – compare the rent with other agents, see what is…[Read more]

Hi all,

Condition 11.7 of the REIWA General Conditions of Sale of Land documents states ‘The property is sold in the same state and condition as inspected by the Purchaser or the Purchaser’s agent on or immediately before the date of contract’

And 11.8 ‘The Vendor shall give the Purchaser a reasonable opportunity to inpect the Property within 7…[Read more]

Hi all,

Couldn’t we call this the law of supply and demand – as the price of money (interest rates) change up and down then the number of renters and/or buyers changes in accordance with the movements in the money market.

Interesting to read in this mornings Australian – Sydney and Brisbane rents have risen over the past 12 months (evidenced by…[Read more]

Hi Rob,

Your points are well made however the figures are ‘out’ a fair bit.

Bear in mind under the new tax scales coming into effect in July 1 of 2004 the highest marginal tax rate of 47% only kicks in when gross taxable salary exceeds $70000/annum. Up until then the tax rate is closer to an average of 26.5% – i.e $18612.

As such on $100k tax =…[Read more]

Hi Miss Curiousity,

There is no right or wrong answer for everyone – ultimately what you are talking about is a philosophical difference and as such there are conflicting points of view.

In the end you are investing in property to make money – whether that be via a rental sream, via growth or a combination thereof can only be determined by…[Read more]

But Yack – it is English[biggrin]

Derek
derekjones1@bigpond.com

Property Investment Support Available. Ongoing and never stopping. PM welcome.

Hi OZstar,

Definitely see your local council and they will be able to tell you what your rights are. It is possible the ‘appeals’ period has closed and you have missed the opportunity to get plans adjusted to suit your needs too. On the otherhand maybe not…..

While you are there the local council will also be able to tell you what is required…[Read more]

Hi Y,

Be aware that you are dealing with other people’s property and there are ‘correct’ ways of disposing of their rubbish and supposedly ‘unwanted goods’.

Vaguely remember somewhere that you need to determine who owns the stuff and give notice (either directly or when the owners are unknown through public notice in the paper) that you will be…[Read more]

Hi Banderos,

Where you looking?

For example I have Perth suburbs stats that go back 30 years but only on 10 year cycles showing annual average growth rates. Unfortunately it is not transmissible.

Residex may be your best bet.

Derek
derekjones1@bigpond.com

Property Investment Support Available. Ongoing and never stopping. PM welcome.

HI sixpac,

Not an accountant but here goes.

The property you sold September 1-04 is CGT free as it is your PPOR.

The block bought on 1/1/04 isn’t CGT free as you have a declared PPOR which you sell on 1/9/04.

You can transfer PPOR status to the block from the moment you sign a contract to build a new home. However the ‘dual PPOR’ rule of 6…[Read more]

Hi Misty,

Check with your state’s builder’s registration board.

As a rule of thumb statement new properties have a maintenance period within which time you need to contact the builder and inform them of any maintenance required.

There is also a structural period of ~6 years depending on which state you are in.

If you have any issues with…[Read more]

Hi Wayne,

Could be a wild goose chase but it may be worth a search of the Chamber of Mineral and Energy’s or Mines Department or WA Government website (if such a thing exists) – gien the size of WA – you’ll probably need the name of the mineral to be mined to be of assistance.

All the best in your hunt.

Derek
derekjones1@bigpond.com

Property…[Read more]

Hi Monopoly,

The best deal is the one that is the best price relative to the local market and with the capacity to add value and/or meet an appropriate rental return that suits your beliefs.

Given you haven’t mentioned rent I assume rental returns are not an issue for you. If it was then rates of return and/or capacity to add to market rents is…[Read more]

Hi Shane,

There is no clear cut decision as each person/couple have their own reasons for doing whatever it is they are doing.

For example we, after a great many years, living in work related rental properties decided to build our home and set ourselves up with our own little piece of Australia.

Making aggressive additional loan repayments and…[Read more]

Hi Kp,

You are entitled to ameand your previous four tax returns and as such it should be financially advantageous to go back to your accountant armed with this new information and see what he/she thinks.

If they say no – find another accountant.

Derek
derekjones1@bigpond.com

Property Investment Support Available. Ongoing and never stopping.…[Read more]

Hi Mike,

Thanks for that my computer wasn’t talking very nicely to the ATO last night – I have askde Jaffa to add this link to his sticky links list in help needed forum.

Derek
derekjones1@bigpond.com

Property Investment Support Available. Ongoing and never stopping. PM welcome.

Hi Jaffa,

Recommend this one in legal and accounting – it is an issue few and far between accountants are aware of and as such anyone out there buying land and building property will benefit enormously.

https://www.propertyinvesting.com/forum/topic/11153.html

Derek
derekjones1@bigpond.com

Property Investment Support Available. Ongoing and…[Read more]

Hi David,

If the purpose of the property was always to be an investment property then you can claim under the ‘purpose of the loan rule’ – it is possible to claim the interest on a block of land loan that was purchased to build an investment property – your situation isn’t a lot different.

Recommend (politely) your accountant do a search of the…[Read more]

Hi all,

The case in case in question is referred to as the ‘Steele CAse’ and there are a number of entries in the ATO website giving specific details about the hows and how nots of interest on vacant land being deductible.

As often is the case in these instances Dale Gatherum-Goss (Melbourne based IP savvy accountant) can provide the shortened…[Read more]