Rough estimate of tax deduction?

Hi all

I hope I am not asking too much with this estimate but the idea is that it will help me budget how much rent pw I could pay as a tenant.

I'm planning to leave my home in Melbourne South East Suburbs and use it as investment property, at the same time I will be a tenant somewhere else. In an ideal world the rent I receive from my property would be the same I would use at most for the place I'm moving to should I want to break even.

In reality I will have to pay PM, landlords, at the very least but I will be able to deduct interest on the mortgage, depreciation, etc.

Is there some sort of online calculator that could give me an indication on how much money could I get back on deductions at the end of the FY so I could potentially use it to bump up the budget I can use to pay my own rent as a tenant?

Would this numbers help?

My current home (soon to be PI) will produce $400 pw rent
PM will charge around 8-9% of the weekly rent + GST , let's not consider their endless service fees to make the exercise simple

The house is a 4 Br, 2 Bathroom, 2 Garage house build in 2005 and valued at $500,000

I paid $10,000 in mortgage interest last fy.

Would it be fair to quote Building and landlord insurance say in $1000 ?

Would this information help to guesstimate the money back in my tax return?

At the moment I can only estimate that from a $400 weekly rent, using a PM 9% fee+ GST, I would end up with $360 pw to use towards the rent I would pay as a tenant, not very appealing if I am willing to live closer to Melbourne CBD.

Thanks for any suggestion.

 

Depends...How much of a depreciation deduction...A QS report may help increase tax deductions without impact on cashflow.

We have a tool for clients - Free. Its call My Inv Property Estimator that helps do these things for a proposed rental

 

Thanks Paul.

This is a great tool.

 

I wouldn't pay 8-9% for property manager by the way. I have tried lots for my various IPs in melbourne - **** ones and good ones - and you can still get good ones if you negotiate well for around 6-7%. You can also usually negotiate on the leasing fee as well as the ridiculous statement fee. Everything is negotiable. Having said that you should interview a few to get a feel for their expertise and service level.

 

Nothing like been around people that has already walked the path.

Thanks everyone
J