Yes.

But this is a very rough guide.

Another rule of thumb is 5 times annual income = borrowing cap

A friend bought an apartment in Indonesia. Later found out it wasn't in his name. He has spent 6 years trying to get it back and has paid for it again in bribes and fees etc and has a Supreme Court ruling that it is his, but still cannot get it into his name. I went to Jakarta with him to sort it out, but could not get a straight answer from anyone. 2 years later it may be nearly there.

It is extremely frustrating in dealing with the corrupt and bureaucratic ways over there.

China would probably be better, but still corruption is rife – and you may have even missed the boat.

Yes, I miss being a broker!

Its a choice you have to make. To do it or find excuses not to do it.

There is no reason to go to regional areas  – in fact I would suggest you don't and if you did this wouldn't work as there would be little capital growth. You could do all in that example while working full time.

very generally.
80% of rental income, and
30% of salary
must be greater than repayments of all loans.

Hi

If it is worth $420,000 then you could buy your wife's share which would be $210,000 (assuming 50% ownership).

That means you could borrow $210,000 on top of your share of the existing loan $43,000 = $253,000 debt. you could borrow stamp duty and other costs too.

Your wife would end up with $167,000 approx cash which you could use to pay for the new house with.

If in Vic it may be able to be done without stamp duty. If NSW stamp duty would probably apply. So you would need to work out if the tax savings would be worth the costs involved.

"Have you tried property investing?"

No, this is a knitting appreciation site!!!!!! I bet know one even even considered investing in property before. What's it like?

Your accountant cannot estimate depreciation. Have you had a QS in and done a report?

Also any borrowing expenses or travel expenses? (includes driving to the accounant). Phone calls? interest ?

Prove.

But add in non cash deductions such as depreciation and the tax he saves by negative gearing and the true cost may be much lower.
Say $3000 depreciation and borrowing costs, loss = $12,500
Tax back at 30% = $4,000

Cost is about $5,568 pa

Still painful tho