EOFY financial health checklist: Is your home loan still working for you?
Rates shift, life changes, and alternative loan products emerge. What suited you years ago might no longer. Reviewing your loan every two to three years is crucial for maintaining good financial health. Below is some general guidance, along with helpful links, to steer you through what to check this end of financial year.
Many borrowers lock in a loan and forget about it – but letting your home loan sit untouched for years could quietly erode your financial position. As part of your EOFY reset, ask yourself:
If you’re unsure how to answer these questions, or if the answers aren’t giving you confidence, it’s a clear sign to speak to a broker. I can review your current loan, compare rates and features across lenders, and help ensure you’re in a product that aligns with your financial needs and goals.
If you also hold investment property, you should go a step further and prepare your portfolio for tax time. Here’s a quick EOFY checklist to help keep you on track.
The Australian Taxation Office’s 2025 Tax Time toolkit for investors has a wealth of information about what tax deductions you can and can’t claim for your property investment.
Examples include:
Your tax accountant will need details about your rental income and expenses to process your tax, so make sure you have these ready by the end of the financial year.
Hopefully you’ve moved away from a shoebox of faded receipts to an online platform that allows you to store and manage your records effectively. There are all sorts of record-keeping tools out there that make it easier for property investors to keep records safe in one place.
If you’re expecting to be in a higher tax bracket this year compared to next, it might be worth pre-paying your investment property expenses like insurance or loan interest before June 30. That way, the tax deductions will fall in the current financial year.
You can find the 2024-25 tax brackets on the ATO website.
If your tenants haven’t paid their rent, you may be able to write it off as a bad debt. This can reduce your taxable income, so it’s worth speaking to your accountant about it.
Sold an investment property this financial year? You’ll need to plan for the Capital Gains Tax (CGT) liability.
Keep in mind that if you’ve held the asset for longer than 12 months, you may be entitled to the 50% CGT discount.
You can claim a deduction in value of depreciating assets, for example a dishwasher in your rental property.
If you haven’t already done so, get a quantity surveyor to prepare a depreciation schedule report for your investment property. This will outline the available deductions for the depreciation of the building and its fixtures and fittings. It’s another great way to save on tax.
How did your property perform over the past 12 months? What was the rental income compared to previous years? What were the occupancy rates and maintenance costs comparatively?
If you have multiple investment properties, this may help you weed out the high-performing investments and draw your attention to those that need restructuring or further review.
Next, consider what your goals are moving forward? Maybe you want to get a second investment property, or renovate your current one to boost its rental return? If so, talk to us about your finance options.
With two cash rate cuts so far this year and a lot of interest rate movement, it’s a good time to get an investment loan health check.
The information discussed in this article is general in nature and you should always seek professional advice in relation to your individual tax circumstances. I can assist with your finance options. If you’d like help reviewing your current loan or lining up finance for a future purchase, I’m just a call away. Reach out to discuss your options and make the most of the new financial year.
