Property remains one of the most popular investment vehicles for Australians, but that doesn’t make it simple. Behind every property purchase is a layered set of decisions involving financing, ownership structures, tax planning, and long-term strategy. In this week’s video, we break down some of the most common property investing questions clients bring to their accountants.
1. Ownership Structure: Who Should Own the Property?
The first question in any investment property discussion is about ownership. Should it be in your personal name, in a company, in a trust, or jointly with a partner?
Key takeaways:
Owning in personal names is the most straightforward and often simplest for tax deductibility and finance.
Trusts can offer flexibility and asset protection, but may limit borrowing capacity and come with additional complexity.
Companies are rarely ideal for holding investment property due to lack of CGT discount and tax treatment of rental losses.
