I'm organising a LOC on my existing PPOR.
I understand the purchase costs can come straight out of that, and the interest will be tax deductible. Is that right?
In implementing a buy-reno-hold strategy, I was also going to take the reno expenses out of the LOC. The reno will happen either before first rent OR possibly on rent renewal if property is already rented. Is the interest on the reno funds from the LOC tax deductible?
Thanks!
I understand the purchase costs can come straight out of that, and the interest will be tax deductible. Is that right?
In implementing a buy-reno-hold strategy, I was also going to take the reno expenses out of the LOC. The reno will happen either before first rent OR possibly on rent renewal if property is already rented. Is the interest on the reno funds from the LOC tax deductible?
Thanks!