is renting still "dead" money ???, page-4

Well Kingy....lets do a case study...
You buy this place..

http://www.onthehouse.com.au/reports/property_profile/6539002/9_Birrell_Street_NORWOOD_SA_5067/

use the lower end of the spectrum of value $640K


I will rent it..

http://www.realestate.com.au/property-house-sa-norwood-408371147

Soo I pay $24k a year....to live there...

You borrow ^650k including fees..

at 6% interest...very cheap...
Your interest bill is $39k a year...plus rates, insurance, = outgoings of total $42K a year...

so I am $18k a year I can bank...

Say you are on the 50% tax bracket...you are still losing $9k a year...why would i want to buy?