Don't Leave Money on the Table
With 30 June fast approaching, now is the time to review your rental property finances and make sure you're claiming every deduction you're entitled to. Here are five strategies that could save you thousands.
1. Prepay Interest and Insurance
If your loan allows it, prepaying up to 12 months of interest before 30 June lets you bring forward a significant deduction into this financial year. The same applies to landlord insurance premiums — if your policy is due for renewal soon, pay it before EOFY.
2. Schedule Repairs Before 30 June
Unlike renovations (which must be depreciated), genuine repairs are immediately deductible in the year they're paid. If you've been putting off fixing that leaky roof or replacing worn carpet, getting it done before 30 June means you can claim it this year.
3. Get a Depreciation Schedule
If you don't already have one, a quantity surveyor's depreciation schedule typically costs $600-$800 but can unlock $5,000-$20,000+ in deductions in the first year alone. The cost of the report itself is also tax deductible.
4. Review Your Loan Structure
Are you paying principal and interest on your investment loan while paying interest-only on your home? It should be the other way around. Interest on investment loans is tax deductible; interest on your home loan isn't. Talk to your broker about restructuring.
5. Track Everything — Seriously
The ATO's number one tip for rental property owners: keep good records. Every bank fee on your investment account, every invoice from a tradesperson, every insurance premium — it all adds up. Digital tools make this dramatically easier than shoe boxes of receipts.
The average Australian landlord claims $20,000-$30,000 in deductions per property. If you're claiming significantly less, you may be missing legitimate deductions.
Need Help Tracking?
Reezy Tracker automatically categorises your rental income and expenses, calculates depreciation, and generates reports ready for your accountant. It's like having a property accountant in your pocket.