Darryl, thanks for making the effort to reply! I have edited my initial post for clarity.

My mum is looking for advice on a similar situation.Is anyone able to recommend a financial adviser I/she can speak with?

Thanks Kane. I've suggested she have a look into accessing some of her super now. Yes, I think she's best keeping the house. It seems like a great opportunity to rent it out while living with her aunt for a few years. It could save her from endless renting and moving.

From the Age today http://www.theage.com.au/money/investing/you-need-to-show-true-grit-20110326-1cas0.html

4. Ride the tax breaksThere are tax deductions for depreciation, capital allowance, running costs and let's not forget the 50 per cent concession on capital gains tax for personal investors who have owned the property for a minimum of 12…[Read more]

She has had international students in before but found it too much work (they required meals as part of board and mum tends to stretch the hospitality too far to make it worthwhile financially). She has had a bad run with sharing so is looking forward to living with her aunt, they have a long close relationship and I think it will be good for both…[Read more]

Yes, i think she should hold onto the place in case she doesn't like sharing. Or if she doesn't like the new town she will be moving to in order to live with her aunt. Great idea about drawing on super early to get the principal down. I will recommend she look into that. I imagine living on a pension would be tough, especially if you have to pay…[Read more]