Property Credit Logo

Are Property Credit Loans Tax Deductible?

It costs an average of $2,661 per year* to cover the costs of owning a rental property. Property investors, how will the latest rise in cost-of-living impact your ability to manage these expenses? Property expense funding might be a solution and it’s not without tax benefits.

If you’re facing this new financial year with a general sense of unease, rest assured you’re not alone.  If ‘covid’ was the buzzword for 2021, then we’re tipping ‘inflation’ as this year’s. From $10 lettuces to the latest rate hike, your new financial year might appear rockier than the ones most recently before it.

But, like when faced with any challenge, what best serves us is a clear, considered strategy to overcome. It’s often through these periods we’re forced to carefully evaluate our financial goals, and therein lies opportunity for progression. 

If you own an investment property (or properties) firstly, congratulations. Secondly, have you sat down recently and really combed through what it costs to keep?

Below are just some of the potential expenses associated with owning an investment property:

  • Council rates/ land tax
  • Insurances
  • General maintenance/ repairs
  • Compliance work (e.g. regulation fire alarms)
  • Body corporate
  • Mortgage repayments (when your property is untenanted)

Consider if these expenses are currently putting strain on your everyday lifestyle. Now ask yourself if the sudden cost of living rise is likely to impact your ability to manage these expenses. If so, have you considered a funding solution?

Property expense funding is an easy, affordable way of managing the cost of owning a rental property. Property Credit’s application process is quick, you can be conditionally-approved on the spot, and funds are usually available within 24 hours.   

This helps to alleviate pressure on your weekly or monthly budget if other areas of your finances are suddenly and unexpectedly under strain.

It’s also tax deductible. If you were to ask any financial expert to list their top money-saving tips, ‘tax deductions’ are likely to crack the top 10. Claiming the cost of using this funding solution come tax time is just another way to ensure you’re drawing the greatest potential from your investment. It could literally be the difference between a negative cash flow and a positive one.

The new financial year presents an opportunity to sit down and really take note of your expenses and money goals. Talk to your accountant or adviser about the best way to maximise tax benefits and remember that funding solutions are available to help you better manage your money.

DISCLAIMER: Property Credit is not a financial adviser. Consider seeking independent financial or taxation advice that relates to your unique circumstances.

*Reference: BIS Oxford

Visit for more information on our services or you can contact us on 1300 829 536 (au) or 03 668 2144 (nz).

This article is for general information purposes only and is not intended as financial product advice. Consider seeking independent financial advice that relates to your individual circumstances.

Buy and sell property on your terms

There's so much to consider when buying or selling. Below are just some of the opportunities equity release can offer over the course of a property sale. 

icon of a calendar and a house

Bridging Loans

Selling your property? Access up to 80% of its value with a Bridging loan.
icon showing a hand holding a house with a dollar symbol inside.

Buyer Deposit Facility

Fund your auction deposit using equity from the property you’re selling.
Icon of a house with a speech bubble that contains a dollar symbol inside.

Equity Release

Selling your property? Access up to 80% of its value.
Icon showing a megaphone with a starburst surronding.

Property Advertising

Fund up-front advertising costs when selling your property.
Icon showing a paint brush and a tin of paint

Pre-sale Improvements

Increase saleability with pre-sale improvements and staging.
Icon showing a house with a tool inside.

Investment Property Expenses

Cover any cost related to your investment property and repay with rental income.
Icon showing a hand holding an invoice document with a dollar symbol and data table.

GST Loan

Need to fund the GST on your commercial property purchase? We've got you covered.

Related Articles

Tips for reducing financial stress over the holiday season

Tis’ the season for joy, celebration, time with loved ones, and…SPENDING! Between buying gifts, school holiday fun, entertaining and going […]
6 December 2023

Why choose a non-bank lender?

It’s no secret that non-banks have gained major popularity over the years. Flexible lending criteria, specialised loan products and fast […]
1 November 2023

Bypassing the ‘Subject to Sale’ Clause with Equity Release

When buying a house, having cash readily available can be a game changer, especially if you want to bypass the […]
27 September 2023

Frequently Asked Questions

We’ve rounded up our most frequently asked questions all in one place. Something not covered? Contact us directly and one […]
13 September 2023

Why use a buyer’s agent?

Enlisting the help of a buyer’s agent or buyer’s advocate as they’re also known, was once thought of as a […]
14 July 2023

What can I use equity release for?

Selling property presents a range of opportunities for accessing equity, some you might not have ever considered before. Lifestyle changes, […]
21 June 2023
crossmenuchevron-down linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram