Buying acreage and building dual occupancy

Hiya

With the squeeze on land lots sizes in Sydney, i am thinking of a strategy of selling my PPOR , then UPSIZE to acreage and building a big dual occupancy on the outskirts of Sydney...that will mean the extended family inlaws and all can stay together

That will also mean more money sunk into my main PPOR...BUT if i sunk in A LOT, that may mean i am eligible for the Pension...(pls keep morals/ethics out of this discussion! for the moment)

Please poke holes in my strategy , good or bad idea?

Many thanks!

 

^^ This?

Would you like the lifestyle in the acreage?
Is living on pension your goal? (not ethics question, just though pension $ are measly...)

 

Potentially good idea - you can get 5 acres or so with a house for around $1mil still.

but you may lose the main residence CGT exemption if you are renting out the second property.

 

Thanks for the reply...
1 million? really? 5 acres? flood free?

 

Do you really want to live with the in-laws?
Do they really want to live wth you?
Marg

 

Yes. Look at the Picton surrounding suburbs.

 

Inlaws here mean my son in law ..plus grandkids (pleez!!!)

If dual occ is quite independent and separate why not?

 

But if dual occ is quite separate then it won't be included as part of the main house exemption?
It will be assessed by Centrelink as an asset and may exclude you from the pension?
Marg

 

Could potentially incur land tax as there there is investment property associated with ppor... Depending on portion, it could be significant land tax payable yearly versus cgt payable when you sell.