Hi all,
I'm wondering whether I should stick with my PPOR and all its non-deductible expenses, or whether I'd be better off converting it into an IP and moving into rental accommodation instead.
Given that the rent would probably match (more or less) my loan repayments it would probably cost much the same, except the loan interest, rates, etc. on my ex-PPOR would become tax deductible, helping me to pay off the loan much faster. (After which I could move back in and use the equity to buy the next IP.)
Any thoughts on whether this is a good idea or not? Having never rented (gone straight from living with parents to PPOR in 2004) I'm not sure whether I'd like all the inspections (especially open houses if the owner decides to sell), or having to move if a new buyer doesn't want it as an IP.
Maybe I could persuade a family member to buy an IP and rent it from them...
I'm wondering whether I should stick with my PPOR and all its non-deductible expenses, or whether I'd be better off converting it into an IP and moving into rental accommodation instead.
Given that the rent would probably match (more or less) my loan repayments it would probably cost much the same, except the loan interest, rates, etc. on my ex-PPOR would become tax deductible, helping me to pay off the loan much faster. (After which I could move back in and use the equity to buy the next IP.)
Any thoughts on whether this is a good idea or not? Having never rented (gone straight from living with parents to PPOR in 2004) I'm not sure whether I'd like all the inspections (especially open houses if the owner decides to sell), or having to move if a new buyer doesn't want it as an IP.
Maybe I could persuade a family member to buy an IP and rent it from them...