We are paying off our first home, a 2br townhouse with courtyard. It's really nice but I want more outdoor space for two toddlers. A house in our street is now available for rent, at 480pw. very old cottage, big level backyard pure north facing....heaven!
In terms of rent prices, another unit in our block rented in May 2011 at $475pw. A comparable one - all original - but with a tiny courtyard (ours is four times as big) rented in May for about $430-40. The $375 one is a 2br but with a new kitchen, new bathroom, and timber blinds, whilst ours is original from 1991.
So - am I correct in thinking that we may be better off financially - or on a par - if we rent?
Theoretically, assuming no vacancy just for the exercise, if both were rented at $480 pw, then what could we tax deduct????
Yes or no:
1. All utilities on this house (water)
2. Council rates
3. Body corporate fees
4. Repairs here
5. Depreciation on all furnishings etc - do we need receipts as proof of purchase?
6. building eg we have a plan to put in an ensuite - probably not now but down the track, so the loo and vanity,could we tax deduct them?
7. A new shower, bath, ?
8. New oven, stove?
9. New benchtop?
10. Fence screening eg lattice?
We rent ours out either as is for $440 pw OR we hook in in the next week and get a new shower, vanity, paint a few walls (not all need doing), get new stove and blinds and aim for 480 also.
Thoughts?
I'm also posting about bigger jobs and whether it's better to hook in and do them now (ie get a builder to do it), or rent out for six months immediately, and plan the other, bec I don't think they'll be done in a week!
- ensuite
- another bedroom
- courtyard - expanding the porch to be more of a deck.
In terms of rent prices, another unit in our block rented in May 2011 at $475pw. A comparable one - all original - but with a tiny courtyard (ours is four times as big) rented in May for about $430-40. The $375 one is a 2br but with a new kitchen, new bathroom, and timber blinds, whilst ours is original from 1991.
So - am I correct in thinking that we may be better off financially - or on a par - if we rent?
Theoretically, assuming no vacancy just for the exercise, if both were rented at $480 pw, then what could we tax deduct????
Yes or no:
1. All utilities on this house (water)
2. Council rates
3. Body corporate fees
4. Repairs here
5. Depreciation on all furnishings etc - do we need receipts as proof of purchase?
6. building eg we have a plan to put in an ensuite - probably not now but down the track, so the loo and vanity,could we tax deduct them?
7. A new shower, bath, ?
8. New oven, stove?
9. New benchtop?
10. Fence screening eg lattice?
We rent ours out either as is for $440 pw OR we hook in in the next week and get a new shower, vanity, paint a few walls (not all need doing), get new stove and blinds and aim for 480 also.
Thoughts?
I'm also posting about bigger jobs and whether it's better to hook in and do them now (ie get a builder to do it), or rent out for six months immediately, and plan the other, bec I don't think they'll be done in a week!
- ensuite
- another bedroom
- courtyard - expanding the porch to be more of a deck.