This is one of those polls where numbers mean nothing. Everybody's situation will be different, but I just want to get an idea at what point people stop buying in one state due to the dreaded land tax bill.
Only those with Resi IP's answer this poll please(Or those with commercial, exclude these props, as you will probably already have a land tax bill over $20k if it's a biggy and will distort the numbers).
My dilemma. All my IP's are in Vic. If I buy one more IP in Vic, let's say land value(Not house value) at $350k, my land tax bill will hit $6k per year. I'm quite heavily negatively geared, as I am going for growth long term, but paying $6k every year to the Tax man is a waste, let alone eating away my holding costs. Some argue it's the cost of doing business and that's cool when you're raking it in, but I'm still in acquisition mode, so throwing money away when it can be better spent elsewhere makes more sense(I think). To be honest, I don't know whether $6k is chook feed or whether it's a lot and of course, this will be different to everybody, so would love to hear what others think.
As I said, this poll is relatively meaningless, however, if enough people vote, we may see a trend as to what most peoples thresholds are before moving into other states, different investments, etc. Remember, this is not a combined land tax bill for all states, just the highest Land Tax bill in the one state where you own IP's.
Only those with Resi IP's answer this poll please(Or those with commercial, exclude these props, as you will probably already have a land tax bill over $20k if it's a biggy and will distort the numbers).
My dilemma. All my IP's are in Vic. If I buy one more IP in Vic, let's say land value(Not house value) at $350k, my land tax bill will hit $6k per year. I'm quite heavily negatively geared, as I am going for growth long term, but paying $6k every year to the Tax man is a waste, let alone eating away my holding costs. Some argue it's the cost of doing business and that's cool when you're raking it in, but I'm still in acquisition mode, so throwing money away when it can be better spent elsewhere makes more sense(I think). To be honest, I don't know whether $6k is chook feed or whether it's a lot and of course, this will be different to everybody, so would love to hear what others think.
As I said, this poll is relatively meaningless, however, if enough people vote, we may see a trend as to what most peoples thresholds are before moving into other states, different investments, etc. Remember, this is not a combined land tax bill for all states, just the highest Land Tax bill in the one state where you own IP's.