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Hi, where does the 2600 tax saving come from? You buy from your wife so the income now is yours, not your wife's. To get 2600, you need to have -ve gearing of more than $10000 a year. If your sole purpose is to save on tax, there are other ways to do it. Eg, if your wife doesn't work, you can...

Hi Kai, you need to look at the numbers to see if they are worth all the hassle. You can get your 50% = $165K + costs tax deductible by buying from your spouse. So then the property becomes an investment. The rent will go towards your income. At 50% LVR, there'll be very negligible -ve...

Hi, it's not a mistake to pay cash for PPOR. I did that too, before I bought other properties. A paid off PPOR is a great base for investing. I used it to borrow for 3 PIs and 2 small commercial properties, all inside 4 years. The mistake here is to extend the borrowings for PPOR hence not...

Hi, the point is, why such a convoluted plan to get to point B from A? If the end result is to live in a bigger PPOR, then park all existing equity in the new house aka sell current PPOR, realise about 300K after costs then buy 550K house with 250K borrowings. If necessary to have offset...

Hi, this is what your 'plan' really is: 1) Borrow 704K offset by 114K loan amt = 580K 2) Current house becomes a rental say @4% yield = 13000 p.a. I don't think you need to pay tax on interest offset by the 114K but you pay interest on 580K = $34800 + rates/insurance etc on new PPOR None...