Does Anyone Still Rent?
- Thread starter LisaS
- Start date
Hello,
Question: to have a trust do you need any investment properties while you rent and how do you structure it.If you dont have any IP's can you still set up a buisness from your home to claim rent you are paying?
Do you need to register a buisness ?
If your IP's are not in the trust how can you do this?
Thanks Dom
Question: to have a trust do you need any investment properties while you rent and how do you structure it.If you dont have any IP's can you still set up a buisness from your home to claim rent you are paying?
Do you need to register a buisness ?
If your IP's are not in the trust how can you do this?
Thanks Dom
I still rent, and unlike all of the others, I do it because i can't afford to buy a place i'd like to live in Money's all tied up in investments. But it's so cool that the rest of you are renting by choice! wow!
Cat
Money's all tied up in investments. But it's so cool that the rest of you are renting by choice! wow!Cat
Well, the new exemption for Stamp Duty for PPOR's means I may be able to afford my own home!!
Guess all you folks who are still choosing to rent will still rent?
Cat
Guess all you folks who are still choosing to rent will still rent?
Cat
That could be a very big factor in NSW from now. A lot of people will probably be choosing to get out of the rental market- which is probably what the pollies meant when they mentioned taking the heat out of the investor market.Cat09Tails said:Well, the new exemption for Stamp Duty for PPOR's means I may be able to afford my own home!!
Guess all you folks who are still choosing to rent will still rent?
Cat
Maybe Queensland and other states become even more attractive now?
Cat09Tails said:Well, the new exemption for Stamp Duty for PPOR's means I may be able to afford my own home!!
Guess all you folks who are still choosing to rent will still rent?
Cat
Hi Cat
If you read the release carefully, the exemption isnt for PPORs.. its for First Home Buyers. If you have previously owned a PPOR at any time, or claim a residence as your PPOR, you are ineligible for the exemption.
I dont think stamp duty is what bothers most of the people in this thread who choose to rent.. its the ongoing shortfall between mortgage repayments and rental payments. For me personally, its the $250 a week I save by renting rather than purchasing my place that makes it attractive, and in turn enables me to purchase further investments...
Saving a few thousand up front on the purchase isnt that big of an issue.
Best wishes,
Jamie
Hi Julie,
Sorry, but you dont qualify for any of it
Eligibilty for the FHOG requires that you
(a) have not owned a PPOR and lived in it after July 2000 (youre safe on this one)
AND
(b) have not owned ANY property prior to July 2000 (this is where you miss out)
The Govt apparently defines a first home buyer as someone who meets both the criteria above ... you should have bought something yourself before you got married
Jamie.
Sorry, but you dont qualify for any of it
Eligibilty for the FHOG requires that you
(a) have not owned a PPOR and lived in it after July 2000 (youre safe on this one)
AND
(b) have not owned ANY property prior to July 2000 (this is where you miss out)
The Govt apparently defines a first home buyer as someone who meets both the criteria above ... you should have bought something yourself before you got married
Jamie.
Just to clarify, I know I won't be eligible for the FHOG. But Jamie (hiya Jamie ) thinks I might be eligible for the exemption on stamp duty because I have never owned a PPOR, not have I ever registered an IP as a PPOR. Am I right here, Jamie? Others?
Cat
) thinks I might be eligible for the exemption on stamp duty because I have never owned a PPOR, not have I ever registered an IP as a PPOR. Am I right here, Jamie? Others? Cat
Cat09Tails said:
Hi Cat
I will still be choosing to rent and invest in IP's, mostly based on Spidermans summary per below. I am also going with Options 3 & 4, I did consider buying my own PPOR but worked out for now I would be worser off and better off renting where I like and investing the rest.
Spiderman said:
I did hear a story over the weekend of a friend of mine in Melbourne who earns $40k and rents on her own in St Kilda for $250 a week and then spends the rest on shoes!!!
Things could be worse I guess!
Good luck with the purchase of a home that you are looking for and I hope you work out your Stamp Duty exemptions etc.
Cheers
Corsa
Hi all,
Looking back, I wish that I had have thought of this before the recent price increases. Problem is that at the time we started to purchase, what we were paying in rent we could have paid the same for a home loan and hence got us off the rental merry-go-round. I am extremely glad that we did though as the first place we bought has doubled in price and we now have 2 IP's. Our greatest problem is the PPOR repayments. Fair enough we can afford them but we could rent a place for $250 a week and still be saving $150 a week!!! This would be nice but on the flip side, we have an awesome PPOR and I can't convince the wife of the benefits of renting. It seems that nice, big, cosy house outways $$ in the pocket...
Dos
Looking back, I wish that I had have thought of this before the recent price increases. Problem is that at the time we started to purchase, what we were paying in rent we could have paid the same for a home loan and hence got us off the rental merry-go-round. I am extremely glad that we did though as the first place we bought has doubled in price and we now have 2 IP's. Our greatest problem is the PPOR repayments. Fair enough we can afford them but we could rent a place for $250 a week and still be saving $150 a week!!! This would be nice but on the flip side, we have an awesome PPOR and I can't convince the wife of the benefits of renting. It seems that nice, big, cosy house outways $$ in the pocket...
Dos
Cat09Tails said:Just to clarify, I know I won't be eligible for the FHOG. But Jamie (hiya Jamie
Cat
anyone able to provide more info on this? curious to know if this is the case and if so, whether or not im eligible also
julie
DAAJ said:Hello,
Question: to have a trust do you need any investment properties while you rent and how do you structure it.If you dont have any IP's can you still set up a buisness from your home to claim rent you are paying?
Do you need to register a buisness ?
If your IP's are not in the trust how can you do this?
Thanks Dom
If you operate a business from your residence then you can claim part of the rent as a tax deduction, along with other expenses such as utilities, rates etc. This deduction will depend on the percentage of the property used for income producing purposes.
It doesn't matter whether you own the house or whether you rent from another person, however if your IP's are not in a trust then you will not be able to rent to yourself and claim the interest and costs as a tax deduction.
Hi All
AMP have a calculator on their website that calculates a rent vs buy scenario based on your financial details.
www.amp.com.au/au/3column/0,2338,CH3638%255FNI9790%255FSI56,00.html?via=AMPAUTopNav
This is a good way to model the cost benefits to suit your particular situation.
Cheers
Corsa
AMP have a calculator on their website that calculates a rent vs buy scenario based on your financial details.
www.amp.com.au/au/3column/0,2338,CH3638%255FNI9790%255FSI56,00.html?via=AMPAUTopNav
This is a good way to model the cost benefits to suit your particular situation.
Cheers
Corsa
Corsa's link works if you copy & paste it into a window...or use: http://www.amp.com.au/au/3column/0,2338,CH3638%5FNI9790%5FSI56,00.html?via=AMPAUTopNav
Cheers,
Aceyducey
Cheers,
Aceyducey
