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Does property investing have to be a house? Could it be a boat?

Discussion in 'General Property Chat' started by Paterson00, 18th May, 2016.

  1. Paterson00

    Paterson00 Well-Known Member

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    Hi all,

    I know firstly that property investing is largely carried out for capital gains so a boat would not give me this advantage as the depreciate like a rock but if I looked at it as a holiday let type business as in people could rent the boat as a holiday home and I could get to use it for maybe a month of the year, could I pick up the same benefits?

    This would simply be using the rent to offset costs but it would mean that mooring fee's, renovations etc could all be claimed as a tax deduction or at least a portion of it.

    This idea came to me from a boating podcast I listen to where one lady in the UK ran a small but succesful business this way. She was saying that replacement linen etc would all be tax deductible if the boat was rented out. In her example the boats she rented out were mostly used as floating apartments in marina's and the boat was not used to travel, simply it stayed in the marina and was used as alternantive accomodation.

    I love boating so would happily rent out a boat if it meant that I could pick up the usual benefits of property ownership.

    Thoughts and mocking welcome, give me your best shots.

    Happy Wednesday people.
     
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  2. thatbum

    thatbum Well-Known Member

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    Lots of talk about deductions, but where's the part where you actually make the money?
     
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  3. Ace in the Hole

    Ace in the Hole Well-Known Member Premium Member

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    Investing and business are different beasts.
    e.g. I run a business to fund my investments.
    I'd reckon any boat owner would admit that boats are the furthest thing from an investment as you can get.
     
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  4. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    As a geologist............... thats the first time I have heard the work rock and depreciate used in the same sentence;)

    ta
    rolf
     
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  5. Paterson00

    Paterson00 Well-Known Member

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    In reality i doubt i would but if i have a boat sitting in a pen not being used then i have the expense anyway so why not offset some of that cost by renting it out. If I've got to pay out say $10k in expenses to hold it but get $5k in rent would this not be negative gearing?
     
  6. Paterson00

    Paterson00 Well-Known Member

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    Ok iron ore then
     
  7. Paterson00

    Paterson00 Well-Known Member

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    B.O.A.T... Bring Out Another Thousand. .. it's true too
     
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  8. JDP1

    JDP1 Well-Known Member

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    I think buying a cabin on a cruise ship is one of the best investments known to mankind :p:D
     
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  9. Agent99

    Agent99 Well-Known Member

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    There are some nice houseboats for hire, some 12 berth all ensuite for around $7k a week, $3500 weekend however initial purchase cost is quite high. ie new around $650k Plus, second hand a few years old around $450-600k Plus in good condition.
    20m x 8m wide with spa on top deck, have to market strongly and very high traffic on furnishings.
    Not sure I would want to stay just in a marina but would be good for those who dont wish to park one against a tree on the bank of a river :eek:
     
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  10. chylld

    chylld Well-Known Member

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    Cars?

    2015 Porsche 911 GT3 RS, cost $400k new

    Current asking price?
    [​IMG]
     
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  11. Paterson00

    Paterson00 Well-Known Member

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    Some lovely boats in France where you can cruise the french canals. Far cheaper too.

    Boating cruise holidays on the river and canal in France
     
  12. Paterson00

    Paterson00 Well-Known Member

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    Titanic was a great investment if you were insured.
     
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  13. hobo

    hobo Well-Known Member

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    .... and not onboard.....
     
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  14. datto

    datto Well-Known Member

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    There's probably money in stealing boats and rebirthing them.
     
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  15. MTR

    MTR Well-Known Member Premium Member

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    you should meet my husband you would hit it off, his dream is to live on a boat, I look at a boat and I get sea sick
     
  16. MTR

    MTR Well-Known Member Premium Member

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    can you buy me this:)
     
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  17. Hanison

    Hanison Well-Known Member

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    In the words of the late Felix Dennis.

    " If it Floats, Flies or Fornicates, always rent it "
     
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  18. Angel

    Angel Well-Known Member

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    No. Being experts on Negative Gearing here, we all know that we purchase an investment with the intention of it gaining value.
     
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  19. datto

    datto Well-Known Member

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    Forget the Porsche or the boat (bankruptcy on a trailer).

    Get the last commodore to roll off the oz production line (est. cost 165K), you'll be in bogan heaven! (with Brockie):

    Holden’s $165,000 Commodore with supercharged Corvette power

    Guarantee to appreciate just like that 7 litre one they made about 10 years ago lol. Who cares about money anyway.

    Imagine driving around Mt Druitt in that thing. You'll need a stick to hit the women off as you cruise along Jersey Rd to Maccas....vroom vroom.
     
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  20. Paterson00

    Paterson00 Well-Known Member

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    Happy to meet that guy. I'm planning a retirement based around travel. I'd like a large amount of that to be by boat. Tell your husband to look up the French canals as a place live for a while. Sounds like we'd get on.

    There is a way of offsetting the cost of a boat ownership through renting it out as a charter. I've only just discovered this so I've not looked into it just yet too much but it seems that the only way to make any claims is if the boat runs as a profit making entity rather than a loss. No negative gearing here but who cares. Offsetting some costs is great news enough.
     
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