Property Investment Q&A

  • Q:I’ve been paying off my PPOR diligently over the past three years and have brought down my LVR to 60%. My broker advised that I could top it up to 90% and use this as a deposit to buy a new house or two units as an investment. I also have some cash (about $60,000) sitting in my offset account so I’m wondering if it would be better to use this money rather than take out about $70,000 from my PPOR? read more

  • We are considering moving into our investment property to cut our spending and improve our short-term savings. What are the tax implications of this? read more

  • I’m looking at purchasing another investment property and my initial thought was to stay local where I knew the area; however, I think it would be better for me to look to Sydney or Brisbane. How can I purchase in another state when I live in Western Australia? read more

  • My husband and I are considering buying a property through auction but are a bit nervous. How seriously should we take things said by the auctioneer or agent at the auction? Are their words binding, even if they differ from what’s in the contract? read more

  • My wife and I recently bought an investment property. It has a smallish bathroom so we were thinking about converting the internal laundry into a second bathroom. Is this a wise investment move for adding value to the house? read more

  • My wife and I are looking at carrying out a $100,000 extension to add three rooms to our home. It’s our intention to set up a business housing foreign students from the local university. One of the rooms plus an ensuite would be used exclusively by students for at least five years. read more

  • We’re living in our principal place of residence (PPOR), and bought an investment property (IP) this January. We’ve leased the IP for the past six months and are now thinking about demolishing it and building a new home, which would become our new PPOR. read more

  • We’re planning to rent out our principal place of residence (PPOR) for a couple of years while we go travelling and then move back into it later. We then want to renovate and sell it. What are the applicable taxes in this situation? Can we still claim a capital gains tax (CGT) exemption? read more

  • My husband and I have owned an investment property for about 10 years now. We lived in it for five years and rented it out for three years. My husband has lived in it for the past two years. Do we have to pay capital gains tax if we sell it now? What can we claim as tax deductions? read more