Rental Property 16 Flora Road, Charlestown NSW 2282. On 16 February 2004, Robyn purchased a three-bedroom house in Charlestown in her own name at a cost of $205,000. Stamp duty and legal fees relating to this acquisition totalled $17,175 and were also paid on the same date. To finance the purchase of the rental property, Robyn borrowed $200,000 from NAB. The bank paid this money directly to the seller upon settlement of the property on 16 February 2004. Loan establishment fees, totaling $300, were charged to Robyn on this date. The term of the loan is 20 years. Robyn paid the remaining balance of $5,000 in cash from her own savings account to fund the acquisition of the property. When she purchased the house, Robyn was notified that the previous owner/builder constructed the house in March 1994 and that the original construction cost of the house was $95,000. Further, on purchase it was obvious that the plumbing of the house was badly in need of repairs as there was a significant leak in the bathroom that had damaged the floorboards and gyprock. Robyn engaged the services of a builder to fix the plumbing and repaint the interior of the house. The builder was paid $8,300 on 2 October 2004. The property has been permanently rented out since 18 October 2004. For the 2023 income year, Robyn derived gross rental income of $28,500. Expenses relating to the rental property for the 2023 income year were as follows: $

Council rates 1,540 Interest on NAB loan (for current income year) 2,750 Landlord insurance 1,730 Property agents commission (on rent collected @ 7%) 1,456 Repairs and maintenance (all tax-deductible) 4,500