Triple benefits to borrowing to invest in property
Borrowing to invest in property means the interest is tax deductible. So is the cost of maintenance for the property. When you sell there is a 50 per cent discount off capital gains tax.
Interest rates are at historic lows and are likely to remain low for another couple of years. So borrowing to invest has a triple benefit: falling costs as rates drop, higher income as rents rise and more equity as values go up.
Source: Sydney Morning Herald