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  • Profile photo of c_pagie84c_pagie84
    Member
    @c_pagie84
    Join Date: 2004
    Post Count: 2
    February 5, 2004 - 10:15 am

    Hey guys, I would just like to ask what i feel a fair question.

    My situation is that I live in Williamstown and am going to be studying at Deakin university in Geelong. I am considering using the first homebuyers grant to buy a property in Geelong with as many bedrooms as possible in order to rent out the spare rooms to uni students. As you would know, a requirement would be that this becomes my primary place of residence. Would I be able to buy a house, rent it out for eleven months, move in for a year or so and then class this as an investment property and rent it out to a family? Is Geelong an area that I would be likely to acquire something suitible for this purpose with a positive cashflow. The university is at Warne Ponds (just outside Geelong) and there is a lot of new development occuring around there.

    Also land is definately not a scarce resource around the campus. Therefore I think the closer to the center of the town the better.
    Any criticism or opinions would be greatly appreciated.
    Cheers

    Profile photo of Mortgage HunterMortgage Hunter
    Participant
    @mortgage-hunter
    Join Date: 2003
    Post Count: 3,781
    February 5, 2004 - 10:30 am

    Your plan appears to comply with the requirements for the FHOG.

    Cheers,

    Simon Macks
    Mortgage Broker
    [email protected]
    0425 228 985

    Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.

    Profile photo of wealth4life.comwealth4life.com
    Member
    @wealth4life.com
    Join Date: 2003
    Post Count: 1,248
    February 5, 2004 - 10:55 am

    The tax department may challenge you on this one as although it is your primary place of residence you will be deriving an income from a greater portion than you occupy, I suggest you get tax advise on this, my guess is you will lose as many before you have tried.

    [email protected]

    Profile photo of Still in SchoolStill in School
    Member
    @still-in-school
    Join Date: 2003
    Post Count: 1,844
    February 5, 2004 - 12:14 pm

    Hi c_paige84,

    MortgageHunter is correct, Under FHOG ruling, this is fine and can be easily applied.

    Cheers,
    sis

    People 4get that by saving just $3 a day & investing it sensibly
    over a working life, you’ll end up with around $1 million

    Profile photo of ajwansajwans
    Participant
    @ajwans
    Join Date: 2002
    Post Count: 45
    February 5, 2004 - 1:19 pm

    You can still find some cheap properties in East/South
    Geelong. They’re close to the city but some of that
    area is industrial hence it’s cheaper than West Geelong.

    Try to find something close to South Geelong station,
    it’s a commuter city these days and being close to the
    station you will capitalise on this in future.

    andy

Viewing 5 posts - 1 through 5 (of 5 total)

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