Thanks for your feeback QLds007. I do have the documents in prepertaion for advance payments and have about 10 days in which to get it back to the bank. You mentioned a simple calculion….any chance you have time to ellaborate? Note, I expect to remain on high income for a while yet.

Thanks Terryw. So, would stamp duty be claimable if the property was in the ACT? Even if it's purpose was originally not as an IP?

Thanks Jamie and Terry, you're posts are extremly useful as usual. Thanks for taking the time – much appreciated.

Hi, Thanks very much for your response. The aim to buy the house/block as an investment property was for the tax advantages (i.e. claim the interest, etc) and beacuase, as you mentioned also, that it could take 18 months for approvals, etc to redevllop the site. At least during this period where it couldn't be tenanted, we could claim the interest, legal fees, etc. One concern was whether you were required to buy a servicable house if buying land/house as an investment propoerty or if this situation was Ok. Upoon completion, we would be looking to sell our current PPOR and then turn the redeveloped house into a PPOR (in 18 months or however long it took).

Thanks for all the tips on who to get advice from in planning for redevelopment. Note, we would not be eligible for FHOG's, but someone had mentioned the 12 months (just not sure in what context which is why I put it out there!).

Thanks again

Hi richard,

Thanks for your comment. I did speak to the bank and they were able to confirm my loan is structured to allow for prep-paid interest only for 12 months…..but I think based on your comments….. I may need to go into the bank to confirm as maybe they have got it wrong. Thanks for your time.

Great…thanks TerryW. Will put all the options to my accountant.  Thanks again

Thanks Terry, thats great advice. Really apprecaite your help

Hi all, thanks so much for your comments. I will suggest this to my account and mortagage broker as well to make sure they are comfortable with it too.