You can always pay from a LOC, but whether the interest on this is deductible is the question.

Does it matter if it is paid off? Imagine if you had $360,000 in the offset = no interest.You can't really reduce the repayments and pay it off quicker, but you could extend the loan term maybe – but no point i think

I recall reading somewhere that interest borrowed on funds to pay tax is not deductible – i don't have a reference ATM tho.

The trouble with keeping it as an IP is that you have $100,000 locked up in it. That means $100k less available for your new home which means higher non deductible interest.I suggest you do some sums of your after tax position with selling and keeping.

As long as you don't spend the money leaving it there will result in the same interest as paying off the loan.Maybe you could change it to IO and your repayments will drop dramatically – but  the interest will be the same.

I think that wording is a bit vague. This is something your lawyer should be advising you on – if you get it wrong it could be costly.

You will also need to obtain personal guarantees from the directors of the company you are onselling to – and make sure they have equity to attack. Are they willing to pay 10% deposit up front?

I dont think so. capital costs – off any future CG

That is not the correct question to be asking. You should be asking yourself how much growth potential does this property have?

It depends. If the other party hasn't accepted your offer you could withdraw it.If they have accepted your offer then it will depend on the wording and how strict they are. They may want to see proof of a finance application rejection.How was the subject to building inspection worded? if you just said "subject to satisfactory building inspection"…[Read more]

its very hard when starting off, and especially hard now. I just heard of one guy who got a preapproval with a bank thru a broker and then the bank offered him 0.15% extra if he went direct – its very hard wto get clients and then when you do find one the bank will steal them from you.I would suggest you keep your day job and try it part time.

good luck and let us know how you go.

no, i don't think so. All have to be first home owners to qualify.

what about 3 bedroom houses in Sydney – whalan, Mt Druit. High rental yields too

look up the tax act, s 118-145 Income Tax Assessments Act 1997 for the absence rule.You may qualify, but you cannot generally claim another property as the main residence at the same time.

dean kamanis wrote:
99% in Husbands name 1% in your name,.To achieve max tax advantage ,then 1 year before you decide to sell it reverse it and put most tax advantage in your name.Otherwise my understanding is hold onto the property until retirement and you avoid CGT

What about the CGT consequences?Stamp duty would also be applicable in many…[Read more]

Banks used to do this. not sure on more recent changes, but there would be some lender out there willing.

You should get your solicitor to draw up a loan agreement and mortgage for the vendor – if they want a mortgage (crazy if they don't).

I think it is much easier to get these through on commercial. one of my friend did it about 2 years ago.

Think both long and short term.When you sell CGT will be payble so if it is in the name of the highest income earner this may mean more tax. If the loss is just $100 per month, then maybe it is not worth worrying about trying to save tax now if you will pay much more later