Investment Property

[anjutg]

Hai, I wonder how much (%) can I borrow to buy an investment property?
Also the stamp duty gimmicks. what is the rate for new property and used property.

If I move to the investment property from my existing home. Is it stamp duty exempt.

Also how much can i borrow to buy a foriegn property.

Replies are much appreciated. Thanks

 

[ClubMan]

Also the stamp duty gimmicks. what is the rate for new property and used property.

Not sure what you mean by "gimmicks" but the stamp duty rules and rates for (first and non first time buyer) owner occupiers and investors are summarised on .

If I move to the investment property from my existing home. Is it stamp duty exempt.

Can you clarify what you mean? Would you be buying the property as an owner occupier or an investor in the first place and what would happen to the former home?

 

[anjutg]

Not sure what you mean by "gimmicks" but the stamp duty rules and rates for (first and non first time buyer) owner occupiers and investors are summarised on .


Can you clarify what you mean? Would you be buying the property as an owner occupier or an investor in the first place and what would happen to the former home?

Case -1. If i sold the former house
Case -2. If i didn't sell the former house

 

[ClubMan]

Case -1. If i sold the former house

Then it would make sense to buy the new property as an owner occupier rather than as an investor in order to minimise or avoid SD altogether if you are going to move into it anyway and then when you sell the old property within 12 months of vacating it as your PPR you can take any gains free ot CGT.

Case -2. If i didn't sell the former house

Again if you are moving into the new property as your PPR then it makes sense to buy as an owner occupier. If you retain the former PPR and rent it out then (a) if this happens within five years of purchase of that property (the first one) as an owner occupier you are liable for a clawback of stamp duty (b) the normal income and CGT tax treatment applies as to any rental property.

I get the impression that you are unsure about what to do and maybe not that au fait with all of the tax implications of getting into the residential property rental business in which case I would encourage you to get independent, professional advice on the investment and tax implications of doing so and maybe to review other possibly suitable investment opportunities that might be more appropriate for your situation and needs.