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Yes... Increased return = increased risk. Are they prepared to potentially lose money? http://www.whittakermacnaught.com.au/content/ten_commandments.shtml

What they may mean is they may be $6k better off now but the property will be subject to CGT when they sell so may be better to not claim it??? Have a look at p8 of the ATO guide to rental properties. It goes into detail about what they can & can't claim when renting to a family memeber at a...