Outrigger are a brand. There are Outrigger resorts all over the place – I think they might be a US company (possibly started in Hawaii)
Be aware that with many of these places the cleaning/laundry costs can absorb 15-20% of gross rentals. They never have this on the glossy literature.
Scott

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Will anybody go to the Commonwealth Games? They’re a bit of a quaint anachronism. Howard will love them – he’ll be channelling Menzies for the entire time and revelling in the glory days of the commonwealth.
Any talk about property prices set to boom will be developers trying to offload stock they’ve been stuck with.
I don’t imagine there have…[Read more]

When you sign your tax return you accept responsibility for everything in it.

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Yep, as soon as developers head off shore to flog apartments the warning bells should ring. I remember last year or early this year somebody on this forum was lamenting a Docklands (Melbourne) purchase they made after a slick seminar in London.
Scott

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I’m not an accountant, but I assume the cost of borrowing money for a renovation or improvement would be deductible. You would have to make sure you don’t use any of the borrowed funds for private purposes.
Further to Dazzling’s point, I had a great accountant years ago who I suspect stopped me getting into strife with the ATO. Whenever I had an…[Read more]

I agree that Property managers can be a mixed bunch. Guess I’ve just been lucky with mine. And some of them have handled some tricky situations.

Tax Depreciation Schedules
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Find a good Property Manager.

Tax Depreciation Schedules
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Sokos,
There would be quite a few Interpretative Decisions on this in the ATO data base.
Do a search under ‘initial repairs’ and you will probably find your investor friend is indeed treading on thin ice.
Strictly speaking, if a property is in a state of disrepair at the time of aquisition, any repairs are capital in nature.
So how long would a…[Read more]

You don’t need an architect – there will be no designing. You just need someone who can draw up what is there. Look for a local draftsperson. They will no doubt know a surveyor.
Scott

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Sounds like the owner was to blame. It’s no big deal – certainly not worth getting worked up over. Just request that the lock be changed. The reason being you’re not sure how many keys are floating around.

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Right now the building is on one title. It would need to be put on two titles. Not impossible, but the cost and logistics of doing it might outweigh the benefit. For a start the wall dividing the two would have to be fire rated. First thing to do would be to talk to the local council.
Scott

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Have you tried Michael at Guardian Partners? He’s a very switched-on accountant and property savvy also.

Michael Armstrong CPA
Partner
Guardian Partners

Tel 43234596
Fax 43234135
Website http://www.guardianpartners.com.au

Scott

Tax Depreciation Schedules
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Hi Giddo,
We’re affiliated with the Count Wealth group – 700 or so accounting/planning practices across the country. We do Tax Depreciation Schedules for their clients (accountants like our schedules).
There are a few Count Members in Toowoomba. I don’t know these ones personally, but I do find members of this group tend to be reasonably…[Read more]

Lots of good accountants around. You might need to tell people where you are to narrow it down.
It’s stating the obvious, but you need an accountant interested in what you’re into – so if you’re a property investor you need one with experience in property.
I also like one who can explain things very simply without needing to use too much…[Read more]

You can claim the costs you incur once the property becomes an investment property.
So that’s 5 months of interest payments and a 5 month proportion of the rates and insurance.
Of course, if you get landlord’s insurance you’ll be claiming all of that.
100% of the QS fees would be claimable. Depreciation will be pretty good on a 2 year old home. If…[Read more]

I’m uncomfortable with single industry towns.
I’ve seen people paying $80-$100K for older houses sitting on cheap blocks of land just because they provide a bit of cash flow.
Make sure you talk to other investors and agents about which parts of town to steer clear of.
Scott

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Hi Carl,
As you know, the building depreciates at a fixed rate of 2.5% per year.
Your main concern is the Depreciating Assets (Fixtures and Fittings).
Strictly speaking, the depreciation clock starts ticking from when you acquire the assets i.e. settlement. So there is some depreciation you will lose. There is a way to ‘slow down’ the clock,…[Read more]

Thanks guys.
Rallygirl,
One of my Brisbane guys covers Ipswich for us. Easy.
Send me an e-mail if you like and tell me a bit about the property so I can make sure it’s going to be a worthwhile exercise for you.
Scott

Tax Depreciation Schedules
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scott@depreciator.com.au
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Leo,
You’d be okay putting the fence in now and depreciating it.
Fences are regarded by the ATO as a building item. They depreciate over 40 years at 2.5%pa. (Unless you’re thinking about bunging in an electric fence – they have a 20 year life).
So a $1,000 fence will get you $25 per year in depreciation. But looking on the bright side, you’ll be…[Read more]

Our reports are clear, ATO compliant, and delivered to you (and/or your accountant) as a pdf.

Tax Depreciation Schedules
Australia wide service
1300 660033
scott@depreciator.com.au
http://www.depreciator.com.au