Spare cash for spare rooms

Viewing 10 posts - 1 through 10 (of 10 total)

Broman
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@broman
Join Date: 2012
Post Count: 5
June 7, 2012 - 6:35 am
I just come over this article about an easy way to make money
http://au.news.yahoo.com/today-tonight/consumer/article/-/12440435/spare-cash-for-spare-rooms
Terryw
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@terryw
Join Date: 2001
Post Count: 16,213
June 7, 2012 - 8:56 am
Watch out for the CGT implications.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Broman
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@broman
Join Date: 2012
Post Count: 5
June 7, 2012 - 9:00 am
I am also wondering, any comment?
Terryw
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@terryw
Join Date: 2001
Post Count: 16,213
June 7, 2012 - 9:05 am
Well, if you are renting out a room of the main residence you will lose the CGT exemption status for that portion of the house – for the period it is rented out.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Broman
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@broman
Join Date: 2012
Post Count: 5
June 8, 2012 - 2:20 am
But I don’t think it lost exemption if I rent it out for just days when I am not in the city.
Terryw
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@terryw
Join Date: 2001
Post Count: 16,213
June 8, 2012 - 2:22 am
If you are absent from your main residence then you may be able to claim the exemption still (in some cases), but not if you are living in the property at the same time as renting rooms.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Broman
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@broman
Join Date: 2012
Post Count: 5
June 8, 2012 - 2:27 am
thanks Terry, I think I will list my place on those website and just open for rental when I am not in the city
Chrissst
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@chrissst
Join Date: 2012
Post Count: 5
June 11, 2012 - 3:15 am
Hi Broman,
Have you tried? How is that?
Thanks,
renel
Member
@renel
Join Date: 2012
Post Count: 40
July 11, 2012 - 11:56 am
A bit off track – We are just getting our spare room ready to become hosts to students and asylum seekers. Each placement is for 4 to 6 weeks. Its not renting out the room as such, more of a boarding situation. The money you receive is to cover the extra bills etc, so its not a profit making thing. I keep seeing on tv all the people living in 'tent cities' around oz and am wondering why the two ideas can't be meshed. That is, renting out a spare room for people that would otherwise be living in tents, on a temporary basis ( 1 to 3 months?) unitl they got on their feet. From what I understand they are paying some serious cash to be able to pitch a tent on some grass in the middle of winter. I am trying to find out if an organisation already assists with this….
M.Investigator
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@m.investigator
Join Date: 2012
Post Count: 134
September 12, 2012 - 11:40 pm
This is a very promising business prospect. $3,000- 4,000/month for short term rentals compared to $700-S1,000/month long term rentals. Not a bad idea. What a relief to pay off the mortgage! Best is to place adverts on websites.