[dodo_lurkerParticipant@dodo_lurkerJoin Date: 2009Post Count: 25]

October 13, 2014 - 7:12 pm

Thanks – Gumtree seems to be the go!

how did you charge for the metal, or were you just happy to have someonne take it away for free?

[dodo_lurkerParticipant@dodo_lurkerJoin Date: 2009Post Count: 25]

June 2, 2013 - 8:25 am

Hi Pimobpi,

Thanks for your post. Certainly makes sense. I guess my subdivision would need to be structured in such a way for that to happen, but sounds like it might be possible. If anyone else on here has any insight, would be much appreciated.

Cheers.

[dodo_lurkerParticipant@dodo_lurkerJoin Date: 2009Post Count: 25]

March 21, 2013 - 4:23 am

Thanks Wilko. A nice post with a helpful example! Your numbers weren't actually that far off!

[dodo_lurkerParticipant@dodo_lurkerJoin Date: 2009Post Count: 25]

January 15, 2012 - 7:45 pm

Exactly – that's why I'm a bit confused about the whole thing! I think he's too focussed on the Tax Savings element to see the bigger picture.

[dodo_lurkerParticipant@dodo_lurkerJoin Date: 2009Post Count: 25]

December 18, 2011 - 10:09 pm

Hi Mike,

Thanks so much for your report. Very useful and appreciate your service!

Cheers,

Andrew

[dodo_lurkerParticipant@dodo_lurkerJoin Date: 2009Post Count: 25]

November 12, 2009 - 5:56 am

I've only just started looking. Probably older units/apartments for my price bracket. In the area I'm looking, a place ~$275K seems to fetch about $230-$250pw, so might have to look around a bit more to get a 5% yield!

How about down your way?

[dodo_lurkerParticipant@dodo_lurkerJoin Date: 2009Post Count: 25]

November 12, 2009 - 5:49 am

Victoria. Plent of stamp duty here!

[dodo_lurkerParticipant@dodo_lurkerJoin Date: 2009Post Count: 25]

November 12, 2009 - 5:44 am

That's not a bad rule of thumb. Still acheiveable at the moment?

[dodo_lurkerParticipant@dodo_lurkerJoin Date: 2009Post Count: 25]

November 12, 2009 - 5:31 am

Thanks for that. .When you say price, is that the price of the house by itself, or inclusive of all costs and legals?

[dodo_lurkerParticipant@dodo_lurkerJoin Date: 2009Post Count: 25]

May 21, 2009 - 5:02 am

Hi Terry,

Was just wondering, for the sake of calculating +CF, where does tax on rental income come into it? For instance, in the OP's situation, should his CF be based on the rent he receives minus costs, or the rent received minus tax minus costs?

Or is the theory simply that the amount of deductions should outweigh any tax owing on the rent?

Cheers.

[dodo_lurkerParticipant@dodo_lurkerJoin Date: 2009Post Count: 25]

May 19, 2009 - 11:37 pm

HI Richard,

Have done some further reading on your point and see the issue.

When set up, I didn't really have a long term investing plan, so it was really only set up with the PPOR in mind. Tax deductibility obviously isn't an issue if the PPOR is the only property involved.

I can see where the issues will be if an IP becomes invovled – although from my readings I could use the Equity Manager, it would just need *really* merticulous record keeping to record the portions used for private and investment purposes??

Sounds like keeping things seperate (Private/Investment) is the way to go though.. would the clean slate approach be best? Refinance with someone else, pay out the equity loan, cop the fees, but move on in a tax effective structure? – what would you suggest?

Cheers,

[dodo_lurkerParticipant@dodo_lurkerJoin Date: 2009Post Count: 25]

May 19, 2009 - 11:09 pm

Hi Richard,

OK, that's not good news! What I have is the ANZ Equity Manager – I was advised it worked the same as an offset.

At present, all I have used it for is to purchase my current PPOR.

What would you advise I should do moving forward? Happy to refinance (and cop any fees) if it allows me to have the correct structure from a tax point of view and investing moving forward. The immediate aim would be to have the current PPOR as the investment property and the new place as our PPOR.

Cheers!

[dodo_lurkerParticipant@dodo_lurkerJoin Date: 2009Post Count: 25]

May 19, 2009 - 1:39 pm

Thanks Richard,

Actually, the loan we currently have is a LOC, basically an equity redraw loan. Currently it's capped at $208K, but I guess we'd look to get that extended out a bit once the property is revalued. At the moment we just pay in our $5600 every month, but can redraw as needed – effectively an offset account.

So, from what you're saying, just need to get my structures right (ie: make sure I'm paying off PPOR rather than IP) and all will be sweet! Is a broker the best person to see about this, or do you think going back to the bank I have the loan with will make things easier?

Cheers!