you could probably work it out based on approx floor area. 66% of the house is being rented out. A owns 50% – 16% is rented outB owns 50% – 50% is rented outSo A should be able to get 16% of the income and claim 16% of the costs.B 50%.Also beware of losing the CGT exemption.

I suspect that so-called offset account is just a redraw facility. Is there a separate account for the offset, ie a separate loan number? If not then it would not be an offset.If it is not an offset, then unfortunately you have paid down the loan and taking the money out would be new borrowings and therefore the interest would only be deductible…[Read more]

Get proper advice, but my opinion……..Tax deductibility depends on the purpose the borrowed funds are used for. Interest on money borrowed for the property should be deductible if the property is income producing. So it should follow that if you borrow now to pay rates, do repairs or improvements for that property the interest on these…[Read more]

I gave the reason not to join the two loans. If you mean cross collateralise the loans, then don't do this either.Imagine you later decide you want to sell one, but the main loan for this one is secured by both properties. You will thereby need the banks permission to sell. They will need to do a valuation and reassess your loan. If the remaining…[Read more]

You mean, if you purchased the house off your husband? Yes that would work. Because you could borrow to buy it and the interest would be deductible – but with little negative gearing benefits if you are on low incomes. Also probably have to pay stamp duty depending on which state the property is in (not in Vic possibly). solicitor and loan costs too.

see my answer to Zara's post. https://www.propertyinvesting.com/forums/getting-technical/finance/4332871?#comment-214928

Yes, by paying out the loan in full you will not be able to claim any interest on that property. Not even if you withdraw the money from the account because deductibility is determined by the use of the money.The problem you have is the flat is in your husband's name and he is on a high income. So the rent (less deductions) will be added to his…[Read more]

I wish the bank would service my loans. I have to pay them myself for some reason.I am confused by your post, but if you buy a $300,000 property with a $300,000 loan and deposit $60,000 then you would probably have close to $60,000 equity – maybe more because equity = value less loan.

I believe a property cannot be your main residence until you live in it. But I also recall reading something about "as soon as practical"…… not sure where now. There probably won't be much gain over the short period before you move in, so not much to worry about.

Villas would be counted. Land tax is payable on the land component only. Main residences are usually exempt and investment properties up to a certain value are exempt. I am not sure of the rules for WA, but in NSW there is no exemption for trusts. eg. In NSW  you owned a house worth $500,000 with a land value of $300,000 there would be no land…[Read more]

I guess you could do the conveyancing yourselves. You are basically buying off yourself so you wouldn't need to do the usual checks etc. Just a transfer.Land tax will depend on which state the property is in. If NSW then 1.6% tax of the value of the land will be applied for trusts with no tax free threshold.The bank must release the property as…[Read more]

Please get proper advice before you do that.Firstly there will be little asset protection, especially in the early years, because of the clawback provisions of the bankruptcy act.Land tax may also be payable where it otherwise wouldn't be. If you will continue to live in the house, then there are many legal implications involved as well as tax…[Read more]

Try this one http://www.sosmail.com.au/They can even scan your mail for you.Maybe it is best to get a family member to get the mail and then only forward the essential ones.

Whatever you do don't join the two loans or you will create a tax mess and end up paying even more in tax.  2 or 3 would be an option. Probably 3 would be better and put the $50k into an offset account attached to the new loan. If you use your cash now you may find you need it down the track.

If you have a 50% share then you will get 50% of the income or loss. Same with your mum. So mum will use this loss to offset her other income. You will only be able to use your loss to offset your income.

can't give that up! But it is prime locations.

a friend of mine has just purchased his 2nd positive geared property in Sydney – 15% yield. His other property was positive geared on 100% borrowings from day 1 and it has doubled in value within about a year.So it is still possible.

I don't know that it matters for your tax purposes. I think you can depreciate items based on their values – but not sure on this.

Thanks Dan

Banks will want to see 2 things1. the deposit, whether 5% or 10%. You will need to physically be able to pay this2. The genuine savings. Many lenders want to see you save up 3 or 5% of the purchase price over a number of months. Some lenders will treat rent paid as counting towards savings. Some may count other debt paid too – but i am not too…[Read more]