quote:
So seems to me the RBA is caught between upping rates to cool the housing sector but by doing so decreasing exports and so on. In short I dont think rates are likely to rise as you suggest –

One also has to consider that it isn’t the RBA’s concern what may be going on in specific sectors. As long as inflation stays in check, there should…[Read more]

quote:
The average homeowner would screamn and the it would spell death to the Govt at the next election.
Also payclaims and inflation would go thru the roof.
No
unless something really really drastic happens then i think 8 – 8.5 would be max for 2-3 years.
any one comment on this.
any other thoughts?

I’m inclined to agree. I have read that…[Read more]

quote:
Being a renter is actually a cheaper option financially. This way you can put your money into investment properties and get some tax advantages which you wouldn’t get if you were owner occupier

Short-term, yes. Long-term, no way (IMO). Look at the cost of housing relative to salary, it’s been going up steadily for many years. The longer…[Read more]

Hmmm… conflicting views on this after a quick search of the forum:

https://www.propertyinvesting.com/forum/topic.asp?TOPIC_ID=2758

Some say *no* claims allowable at all if the PPOR is converted to an IP (as told to them by accountants), others say no problems at all. What is the story? Are *all* the same deductions allowable (ie. rental costs,…[Read more]

IMO, the bigger the deposit the better. While the interest is deductible, it’s still money out of your pocket. The sooner the loan is payed out the sooner that property is making money (unless you only want it for the capital gain rather than the income stream). Even though a tenant may be paying the loan off for you, do you want the rent going to…[Read more]