Any tax benefits in Australia when buying property overseas?

[eternit]

Hi,

I am wondering if there are any tax benefits such as negative gearing when buying a property overseas.

I am thinking of buying a property in India as the prices are going crazy there, since there is so much infrastructure being built for 2010.

Any input will be much appreciated.

Thanks.

 

[julia]

eternit

Yes there are negative gearing benefits, have a look at the October edition of Australian Property investor magazine for all the info

 

[alexlee]

Eternit, what do you know about the legal systems, ownership, financing, and buying process in India? And how do you know you won't get ripped off?
Alex

 

[eternit]

Eternit, what do you know about the legal systems, ownership, financing, and buying process in India? And how do you know you won't get ripped off?
Alex

Hi Alex,

I dont know much about the legal systems, ownership, financing and buying process in India. But I am doing research at the moment and have some contacts in New Delhi (I want to buy something closer to their).

I am planning to buy next year around March when I will take a week off work and everything preplanned and go there to see the site and sign papers.

Julia, thanks for the info. I will definitely have a look at API magazine.

Thanks.

 

[firstmillion]

Hi,

I am wondering if there are any tax benefits such as negative gearing when buying a property overseas.

I am thinking of buying a property in India as the prices are going crazy there, since there is so much infrastructure being built for 2010.

Any input will be much appreciated.

Thanks.

Hi Eternit,

I agree, growth in India is better than in Australia. I hv 4 properties in India and all of them hv doubled in the last one year.

Its nice to know that i can get negative gearing benefits with my property in India. Will go and talk with my accountant today

Cheers

 

[sydneyguy]

Hi, when you talk about "property" in india, are we talking houses or apartments?

 

[eternit]

Hi, when you talk about "property" in india, are we talking houses or apartments?

I am talking land. I prefer land since the rental yield is not that good anyway i would instead buy more land...

 

[eternit]

eternit

Yes there are negative gearing benefits, have a look at the October edition of Australian Property investor magazine for all the info

Hi Julia,

The October edition of API magazine is not out yet. Just wondering how you know that there is info in there?

Thanks.

 

[Mry]

She probably wrote it Eternit. She writes most of the the tax articles that go in it.

 

[eternit]

She probably wrote it Eternit. She writes most of the the tax articles that go in it.

Oh wow, interesting.

Thanks for that.

 

[firstmillion]

Hi, when you talk about "property" in india, are we talking houses or apartments?

I have 1 house and 3 blocks of land. I bought all my properties in pre-launch. In India, any project before its sold in the open market, it is sold to the listed buyers / relatives and friends. This is normally sold at 10-15% discount, which gives a straight benefit at the time of the launch which is normally 6-8 months from pre-launch. Normally by the time of the launch, one can also get premium on the launch price. Its a win-win situation.

I recently bought a piece of land 250 sq yards by paying 1500 dollars. Total cost of the land is $8000. Initial payment was apprx 20%. The launch will be in Jan/feb next year. At the time of launch, the land would be worth $11,000.

My house was completed in 3 yrs time and it has given me 250% profit already.

If you know someone, its worth looking at India for investment purposes.

Cheers