My PPOR is paid off. I bought it for $400k, now its worth $430k. I've been pondering upgrading to a nicer house to live in and rent my current PPOR out. The house I'm looking at is $550k. Now I'm wondering is it possible to transfer the equity of my PPOR into the new house so I can negative gear 100% the $430k house?
Also regarding stamp duty. will I save $ on stamp duty if I bought land and build? I heard you only have to pay stamp duty on the value of the land?
If the property is in VIC you could possibly sell it to your spouse for no stamp duty. if NSW full stamp duty would apply. But it may still be worth at as your spouse could borrow 100% and then claim the interest.
On a loan $400,000 that would amount to another $24,000 pa in tax deductions (approx).