why is this investment loan not tax deductible?

Discussion in 'Loans & Mortgage Brokers' started by Green Grass, 29th Jul, 2015.

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  1. Green Grass

    Green Grass Member

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    Thanks. Presumably it is only the interest costs that would not be tax deductible.
     
    Green Grass, 29th Jul, 2015
    #21
  2. Mick C

    Mick C Well-Known Member

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    Too late....that's why we always push hard for Interest only loans with offset....this is the EXACT issue we see when ppl pay down their loan- tax issues.

    The only way to do this is to

    1. Cope it....

    2. ( will be costly and i suggest you seek advice) - Sell it and buy something else as IP

    3. ( will be costly and i suggest you seek advice) - Sell it to your trust ( ie your self) pay Stamp duty again etc...


    Many ways...but your best to seek independent "personal" rather than general advice via your accountant and professional team
     
    Mick C, 29th Jul, 2015
    #22
  3. Till Kingdom Come

    Till Kingdom Come Well-Known Member

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    Why can't just continue living in the current apartment and rent out the newly purchased one? Is there any reason why partner wants to move out?
     
    Till Kingdom Come, 29th Jul, 2015
    #23
  4. dabbler

    dabbler Well-Known Member

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    Lots of info on prior site about this, but why don't you get it straight from the horses mouth.
     
    dabbler, 30th Jul, 2015
    #24
  5. Green Grass

    Green Grass Member

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    The PPOR purchase is a house she wants to live in rather than rent out and would have a low yield.

    Plan now is to sell the unit, retain some of the equity rather than putting it all into new PPOR and then buy a separate IP.
     
    Green Grass, 30th Jul, 2015
    #25
  6. HD_ACE

    HD_ACE Game-Changer

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    If you/they are going to do this then look at paying the ppor down with the cash from the sale and reborrow for the new investment deposit and all costs. Better off financially.

    Subject to servicability etc.
     
    HD_ACE, 30th Jul, 2015
    #26
    Terry_w likes this.
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