Land Tax on Units

[vaughan]

I just read another post by Prop talking about houses vs units and land tax came up.

Is land tax payable on units? On strata properties in general?

Tx.

 

[jrc77]

I just read another post by Prop talking about houses vs units and land tax came up.

Is land tax payable on units? On strata properties in general?

Tx.

Yes. HOwever as units typically have a lot lower land value than houses, the amount of land tax will be a lot less for a similar sized portfolio (in terms of total property value). Also you can own a lot more before you exceed your land tax threshold.

For example, I own a unit with approx $600k - which has a land valuation of about $130k. I could own about three of these (assuming I own nothing else) in NSW before paying land tax.

However say I bought two houses worth $900k with a land valuation of $700k each (both in NSW) - I'd be up for almost $16k in land tax per year.

Regards,

Jason

 

[devank]

HOwever as units typically have a lot lower land value than houses

True but generally units are located in very high valued land which would make the 'per unit' land value to be higher.

 

[travelbug]

True but generally units are located in very high valued land which would make the 'per unit' land value to be higher.

True. My TINY unit has a land value the same as my 600+sq blocks with houses on them. But it's in an entirely different location. Of course a unit in the same area as a house will have a lot lower land value.

Depends on location/how many units etc. But definitely has a land tax component.