You should NEVER sell!.....or should I??

[Terryw]

What about selling one and prepaying the interest on another.

It may be possible to borrow to prepay the interest and this could have 2 benefits:
1. Reduces your taxable income by increasing deductions which will help reduce the CGT; and

2. It may assist in allowing you to capitalise interest as it looks less like a scheme to save tax, especially if you do not have cash avalaible to prepay interest. maybe do this before you sell the other one and receive the cash.

Get some legal and tax advice first.

 

[Brett IP]

What about selling one and prepaying the interest on another.

Good advice, something that I would look at.

Do you have a LOC for the Investment properties so that all bills and maintenance can be paid from that, saving all other money for the PPOR loan?

I can see the large "unclaimable" PPOR mortgage interest is eating at you.

 

[ChasingSugar]

Good advice, something that I would look at.

Do you have a LOC for the Investment properties so that all bills and maintenance can be paid from that, saving all other money for the PPOR loan?

I can see the large "unclaimable" PPOR mortgage interest is eating at you.

PAying cash at present to cover the shortfall, but have been advised I can access a LOC to cover that going forward. This sought of lead to the above request for advice. I looked at the whle lot and wondered if there was an opportunity to leap ahead!

Terry - I've been to 3 different accountant 'property specialists' now. Each of them I have had to raise basic concepts on debt recycle, various other ideas on property structure. I am now on the look out for number 4. At the risk of hijacking my own thread - any ideas on who/where I should go? IE what am I looking for - accountant, financial planner? I am based in Berwick, work in Melbourne.

Cheers all!

 

[Terryw]

You could try www.bantacs.com.au

You would need a solicitor or an accountant/tax agent. Fin planners cannot advise on tax I beleive

 

[ChasingSugar]

You could try www.bantacs.com.au

You would need a solicitor or an accountant/tax agent. Fin planners cannot advise on tax I beleive

Thanks again - have sent off an email! Based just around the corner from my office!

 

[Terryw]

Thanks again - have sent off an email! Based just around the corner from my office!

Please let me know how you go. You might also want to check out the bantacs latest and last few newsletters.