https://www.propertyinvesting.com/members/greg-reid/activity/ Activity feed for Greg Reid. Sat, 11 Apr 2026 23:19:27 +0000 https://buddypress.org/?v=2.8.1 en-US 30 hourly 2 a4b14607e0e77ab346731592bf2f3fcc https://www.propertyinvesting.com/topic/4406555-business-accountant-recommendation-melb/#post-4669564 Mon, 02 Jul 2012 00:31:06 +0000 Matt,Do you want an accountant to work in the business, management reporting, systems and processes, budgets and strategic plans, cash flow etc or do you want an external accountant who does tax returns, business lodgements etc?They tend to be two very different skill sets.Let me know as I know a number of accountants and firms that may assist.Greg

]]> 3853d9d149d243f87143970994d45bb0 https://www.propertyinvesting.com/topic/4406899-trusts-17/#post-4672140 Mon, 02 Jul 2012 00:20:31 +0000 Dangermouse,The main purpose of a trust is for asset protection. If you are a business owner or a director of a company and there is any likelihood or risk of being sued personally, a trust should be considered or at least move/have assets in your spouse's name.Secondary for many is the ability to distribute income if the trust is generating…[Read more]

]]> d5b3b4704ae014a9cbb420d90cdecd1e https://www.propertyinvesting.com/topic/4406915-brokerslenders-whos-to-blame-for-application-problems/#post-4672247 Sun, 01 Jul 2012 23:49:41 +0000 The CBA person has been aiming at brokers for a long time, I'm surprised that CBA still deal with any brokers based on her views and I'm somewhat more surprised she is still employed in her position. Brokers are their clients but CBA do not seem to understand the concept of customer service yet extending that far.I agree with Jamie, brokers are…[Read more]

]]> 6ec73440dc99c9e9abc07b21ff5ff9fe https://www.propertyinvesting.com/topic/4406948-features-of-investment-loan/#post-4672503 Sun, 01 Jul 2012 23:20:48 +0000 Renel,Specifically to your question, in most cases all an investment loan needs to have is 30 year term, 5 year interest only, either variable or fixed rate (or mix) and internet access. No bells and whistles, no associated credit cards, etc.For some investors, they may need an offset if they do not have a PPOR.As Richard said, 2 of the lenders…[Read more]

]]> 45403c9107ef755cd63ff12224beeb82 https://www.propertyinvesting.com/topic/4406870-considering-loc-for-financing-investment-properties/#post-4671938 Sun, 01 Jul 2012 22:22:52 +0000 Liz,To buiild a multiple property portfolio, you need to make sure you have the finances structured in order for you to be able to borrow the funds needed. As Terry suggested, a start would be to establish a separate loan facilty against your existing PPOR and it is kept separate and only used for investment purposes. Whether it is a LOC (for…[Read more]

]]> bbcb61608e15db482341881b20c52042 https://www.propertyinvesting.com/topic/4406991-rental-property-manager-needed-in-melbourne/#post-4672736 Sun, 01 Jul 2012 21:43:39 +0000 Chief,The property manager I use for my properties is Mitchell Property Management Group, thats all they do and they do it very well. 03 9686 6688. http://www.mitchellpm.com.au Good luck, a good property manager is worth gold to an investor.Greg

]]> 608f5be192fa81df96a00a9ce1cbb625 https://www.propertyinvesting.com/topic/4395485-mortgage-broker-commission-and-trailing-fees-rebate/page/6/#post-4599673 Tue, 15 Nov 2011 08:17:20 +0000 Richard,As a general process, for new clients as owner occupiers I usually charge a fixed engagement fee which is refunded in full on settlement, mainly to sort out the shoppers from the serious clients but also as an indication of professionalism and commitment. For returning clients, I do not charge this. For investors wanting a full strategy…[Read more]

]]> 44feec5a8809757b728fd54eeda2be8f https://www.propertyinvesting.com/topic/4395485-mortgage-broker-commission-and-trailing-fees-rebate/page/6/#post-4599667 Tue, 15 Nov 2011 05:23:21 +0000 Terry,I sometimes get clients coming to me from other brokers who only have ever offered one lender to them. In talking to a number of different aggregator BDM's, the same story comes across, there are brokers that only deal with one or perhaps two lenders.NCCP withstanding, until MFAA / FBAA / whoever or even aggregators themselves step up and…[Read more]

]]> 464cdf9ffb06dcdbe6f069b27d38cd59 https://www.propertyinvesting.com/topic/4403517-accounting/#post-4647001 Tue, 03 May 2011 23:44:07 +0000 Jenny,While I am a CA, I do not see much difference as you can get good and poor with either branch of the accounting profession. The CPA tend more to small private practice and the CA tend to be employed more in large companies but  they both have post graduate qualifications.If you are looking for accounting and tax advice, check who their…[Read more]

]]> 564d452e06acc4d5f2a22f62d3bf8715 https://www.propertyinvesting.com/topic/4403523-lvr-for-minng-towns/#post-4647035 Tue, 03 May 2011 23:20:18 +0000 One of the issues with mining or remote towns if it is an investment property and you are into revalue and refinance strategies is obtaining a decent valuation. Comparable sales are often difficult to obtain and values can drop significantly in a short space of time.Good luck in investing.Greg

]]> ef0903fac682062a942d7e4117076f4e https://www.propertyinvesting.com/topic/4403027-feedback-on-bill-zhengs-latest-workshops-2/#post-4643543 Tue, 03 May 2011 21:51:13 +0000 Tim,I did attend Bill's latest boardroom seminar. I have been going to his seminars for some years now, he is an interesting speaker with some good ideas. It appears he has closed down his gold and silver business and the green deals and just concentrating on offering one on one type advice for a cost rather than trying to do a lot of things.He…[Read more]

]]> 0c008738b332bd9a45cca32a65f700f5 https://www.propertyinvesting.com/topic/4401161-anyone-in-the-know/#post-4631713 Wed, 15 Sep 2010 01:35:59 +0000 Steve,There are second tier lenders that offer service, full offset and reasonable rates, unlike the Big4.ING is one, AMP is another which has no fees on either offset or loan account and at 6.64%, a good deal.Homeside offer some innovative lender deals (broker channel for NAB) with lower rates for lower LVR's, down to 6.47% < 75% or at 90% 6.67%…[Read more]

]]> eb552698ca8e0982c3d8d011643e69d5 https://www.propertyinvesting.com/topic/4401198-assistance-with-property-portfolio/#post-4631891 Wed, 15 Sep 2010 01:24:35 +0000 Amy,I f you have already purchased the property and unless you have a nomination clause, it may be too late to put it into the trust without incurring stamp duty again.Accountants love putting people into trusts, why – because it is more fees and work for them. It is not always in the best interest of the clients. If asset protection is critical,…[Read more]

]]> 86630ce59efd049b498f5d7468da6750 https://www.propertyinvesting.com/topic/4401202-payment-for-bodycorp-fees-and-council-bills/#post-4631906 Wed, 15 Sep 2010 01:13:13 +0000 I agree with Scott, the property manager pays all my investment property bills and send me a monthly statement as well as a detailed annual statement that slots neatly into my tax return requirements.Good luck

]]> ecdfdd16ace45b629874441ffa57af74 https://www.propertyinvesting.com/topic/4401103-jv-or-family-trust/#post-4631250 Sat, 04 Sep 2010 09:41:52 +0000 A simply solution would be to have your parents get a loan or line of credit established based on their own property and income and then just lend you the balance of the money you need, which you repay. Why go to a more complex structure?Alternatively they could go guarantor, either equity or income or both.Good luckGreg

]]> 5f159528afd049e59602019c45b4b2ae https://www.propertyinvesting.com/topic/4400755-property-strategistsbuyers-agents/#post-4629249 Sat, 04 Sep 2010 09:36:55 +0000 Ed,I have used BA's before and I have a small number who I refer clients to in Melbourne, ones that tend to specialise in the investor market. Each have their own knowledge and strengths and areas of speciality. I match the clients needs to the BA's but also suggest that they talk to two or three others at least to see what the fit is like for…[Read more]

]]> 587a98086fc9f8c5db88e9c1dbbea73a https://www.propertyinvesting.com/topic/4400781-first-ip-loan-structure/page/2/#post-4629397 Sun, 22 Aug 2010 21:53:14 +0000 Terryw, I agree, you need to take care in setting this up. The issue should not be whether the interest on the LOC is deductible but you are paying off your home loan sooner. The purpose is still critical.The initial setting up of this LOC and the amount needs to be in line with what your needs are, so the higher amount the more flexibility you…[Read more]

]]> 15bad3c9ca36d2fe8e335031cf5acff8 https://www.propertyinvesting.com/topic/4400781-first-ip-loan-structure/page/2/#post-4629394 Sun, 22 Aug 2010 11:48:31 +0000 Aman,The one thing you should consider doing if you can is to also establish a separate LOC secured against your PPOR. I normally recommend a minimum of $120k for each median priced IP you are looking to purchase. The end number will depend on your borrowing capacity. This is a stand alone LOC just used for investment purposes, being the deposit…[Read more]

]]> 96f98009df5c30d47eeabf53bebbb8b2 https://www.propertyinvesting.com/topic/4400772-what-is-best-to-buy-1-bedroom-versus-2-bedrooms/#post-4629341 Thu, 19 Aug 2010 14:39:13 +0000 As a PPOR purchase, I would try to minimise the debt and certainly minimise any MI costs.If it was an investment property, I would do the opposite.If a 1 bed flat is in a good location, suits your needs and you can borrow < 80% then it should not be an issue obtaining finance, especially for an owner occupier. The real issue on small units <50m2…[Read more]

]]> 188c57731fdafa73db543c29d5914959 https://www.propertyinvesting.com/topic/4400920-i-want-to-get-serious/#post-4630100 Thu, 19 Aug 2010 14:30:30 +0000 You have two factors to consider, purchasing another IP which you should use debt to do and the second is wanting to purchase another PPOR for which you should use as much of your own money as possible and minimise the borrowings for this.To do that, set up an Offset for which surplus funds will be banked. This future balance will be the deposit…[Read more]

]]> 30b2891779d75dad486c4ad3527149ca https://www.propertyinvesting.com/topic/4400906-pay-off-or-interest-only/#post-4630038 Thu, 19 Aug 2010 14:20:01 +0000 Eilatan,I am not going to defend accountants either but her advice makes little sense, in not paying down debt because it reduces the tax deduction but then investing surplus funds in an interest bearing account? Why not run the numbers and see which gives a better return to you.Ultimately wealth is about assets less debts, so increase one while…[Read more]

]]> bc4f4019eb595ac89b698f5dc6f0c404 https://www.propertyinvesting.com/topic/4400837-company-or-trust-for-investment-property/#post-4629644 Thu, 19 Aug 2010 11:22:34 +0000 S, Yours is a different issue. My view is that the use of a unit trust will restrict you in lender choices. Your FP may have good reason for the MGS unit trust but it is not immediate apparent to me unless you have a need for unit type holdings with others. As you are on a property investing forum, I presume you are interested in a legal entity to…[Read more]

]]> afa2df3448a988e75783c2526a462e3c https://www.propertyinvesting.com/topic/4400837-company-or-trust-for-investment-property/#post-4629643 Thu, 19 Aug 2010 11:16:00 +0000 G,Depending on your state you live in, you may be able to transfer the assets into your name. Whether that makes sense from a tax perspective needs to be answered for the IP's but you certainly could for the PPOR.I agree with Terryw, if you are up for stamp duty and CGT, it may not be the wisest move. A company for a business is often a good…[Read more]

]]> c553e3f0d1b3ff2579e0a57a430b9c6b https://www.propertyinvesting.com/topic/4400781-first-ip-loan-structure/#post-4629386 Tue, 17 Aug 2010 14:16:10 +0000 In simple terms – increasing deductible debt and reducing non deductible debt. It is done indirectly, rental income and tax benefits go to reduce your non deductible interest expense (generally by way of an offset against a PPOR home loan) and all IP expenses are paid by use of an investment LOC.There are a number of threads explaining the use of…[Read more]

]]> 30356f2d7b8cf619af76d28fc5eb9d1b https://www.propertyinvesting.com/topic/4400781-first-ip-loan-structure/#post-4629384 Tue, 17 Aug 2010 13:55:23 +0000 Dazz,The reason you use the LOC to fund the settlement costs is that you can no longer get a 105% LVR loan. The maximum LVR for an investment loan is around 90% (some lenders may got to 95% and it seems to be easing a bit in the current market, but the mortgage insurers make it difficult) so you need that 10% plus stamp duty etc and you use the…[Read more]

]]> aa0347027eceb019e0790de3eb7e659e https://www.propertyinvesting.com/topic/4400855-buying-off-an-agent-how-to-takle-it/#post-4629748 Sun, 15 Aug 2010 12:42:44 +0000 It is a valid comment, it is about a life balance, to enjoy life now as well as being able to enjoy life in full after you retire.As part of my work, I help older folk with finance and I am continually saddened to hear of their own circumstances. They took the advice of their parents and grandparents, buy a home, pay it off and never get into…[Read more]

]]> 119e69eda6072ddbae80b851fa394dce https://www.propertyinvesting.com/topic/4400842-help-re-starting/#post-4629671 Sun, 15 Aug 2010 10:10:49 +0000 Tribulation,The existence of a large PPOR mortgage should not be the game breaker.If you have equity you can access and are able to show servicing for increased debt, one very effective way to reduce non deductible debt quickly is to purchase an IP and debt recycle. You direct rental income and tax benefits (use an ITV form each year) into your…[Read more]

]]> bbbe74d67b0044334aab1c13849ef2e3 https://www.propertyinvesting.com/topic/4400832-dead-man-walking-or-masterstroke/#post-4629617 Sun, 15 Aug 2010 09:58:42 +0000 Jules,The concept is a sound one and some of the responses raise good points.To build a portfolio quickly with what you have said, you need to use as little of your own money as possible and borrow more for each property. LMI is just a cost of doing this. Based on your combined incomes, it should be possible to purchase 2 IP's if not more if you…[Read more]

]]> 3d7920d898781a102efa2e416c48ea76 https://www.propertyinvesting.com/topic/4400855-buying-off-an-agent-how-to-takle-it/#post-4629746 Sun, 15 Aug 2010 08:53:59 +0000 Get an independent sworn valuation to give you a better idea.At a cost of $300 to $400, it is worth spending the money on.Alternatively buy one of the reports from the likes of Residex or RP Data.Good luckGreg

]]> 611d2276595dd9af41dd29c7eec919c3 https://www.propertyinvesting.com/topic/4400857-do-i-need-a-deposit/#post-4629766 Sun, 15 Aug 2010 08:50:47 +0000 Redlegger,I would be reluctant to go into that level of debt for an owner-occupier home. It is non deductible.I would do the numbers to decide whether it makes more sense to rent in your new location (you need to balance the emotional side of living in your own home to the financial benefit of renting) and use your funds to purchase another IP.The…[Read more]

]]> fa734e9c41ab35ea4a3a3bdb6d76711f https://www.propertyinvesting.com/topic/4400816-looking-for-advice-on-aparments-in-melbourne-cbd/#post-4629539 Sun, 15 Aug 2010 08:31:53 +0000 Daniel,The type of property you can buy will be determined by what amount you can borrow and then be able to afford the rental shortfall (if any). I would also caution you to keep away from student accommodation, mainly because lenders don't like them and it is harder to get a higher loan to value ratio loan to purchase.I have a number of clients…[Read more]

]]> 3d697e8812d0fe0f2f98643ffe73a1b4 https://www.propertyinvesting.com/topic/4400837-company-or-trust-for-investment-property/#post-4629638 Sun, 15 Aug 2010 08:10:34 +0000 Thack,Structure is an important component as is time frame, long term intentions, type of property, do you intend to build a multiple property portfolio, etc.As Evolve outline very well, there are a number of different structures to use. It is costly if you think you need to change half way but that doesn't mean that you can't use multiple…[Read more]

]]> 2c47863d9e4bec3ee16a5a4cb8770a71 https://www.propertyinvesting.com/topic/4400862-tax-written-off/#post-4629821 Sun, 15 Aug 2010 07:19:46 +0000 I would look at your longer term goals and what you want to achieve.Once most people have two, three or four IP's in their own name and if they are typical median priced negative geared IP's, they may have used their income tax benefits like you have.Some of the issues with owning IP's in your own name include:land tax (if all in same…[Read more]

]]> 8b8341fe7be4ef321264e0b68569c0c3 https://www.propertyinvesting.com/topic/4400805-conflicting-advice-for-2-different-accountants-regarding-upcoming-capital-gains-tax-bill/#post-4629494 Sun, 08 Aug 2010 07:40:07 +0000 I would ask why you would want to use borrowed funds to pay this?If you don't need to then pay it from profits.While I am not a tax agent, my view would be similar to the second accountant above, the debt arose due to an obligation relating to the sale of an IP, there is a connection between use of funds and purpose.I am not sure you can get a…[Read more]

]]> 02aca22f44eefc566433be37796f15e3 https://www.propertyinvesting.com/topic/4400682-loc-for-maintainence-and-repayment-surplus/page/2/#post-4628786 Sun, 08 Aug 2010 07:31:55 +0000 It is frustrating to me that mortgage brokers continue to recommend using the same lender for your first IP as your PPOR . Often using the old red herring of avoiding LMI. These are often old bankers who were brought up to do exactly that. The real reason is that lenders now have security over 2 properties with an end LVR of 50% or less instead of…[Read more]

]]> e40814c8520c906076322f195ddded1a https://www.propertyinvesting.com/topic/4400804-sell-ppor-to-upgrade-possible-to-keep-as-ip/#post-4629489 Sun, 08 Aug 2010 07:00:59 +0000 It depends on your goals, the buying a property to get into the market, allow time for growth, sell and upgrade is a strategy many have used before. It is costly however, selling agents fees, moving, stamp duty on the new property etc may cost you $30k to $50k.Alternatively if you need to move to a larger place, consider renting for a period. It…[Read more]

]]> 3e2b2039789bb4077ac1e21a7ab4f176 https://www.propertyinvesting.com/topic/4400781-first-ip-loan-structure/#post-4629375 Sun, 08 Aug 2010 06:49:07 +0000 Solomon,If you just wanted to purchase 1 IP, go with what Richard has suggested.If you want to build a portfolio, I would consider going to an 80% LVR with a LOC of about $210k on your PPOR.  The reason is so you have the funds available for the deposit for the 2nd IP and have a large safety net & also be able to debt recycle.I would convert your…[Read more]

]]> a908d65bec970dce9a5f69c141ce461d https://www.propertyinvesting.com/topic/4395485-mortgage-broker-commission-and-trailing-fees-rebate/page/5/#post-4599636 Sun, 08 Aug 2010 02:57:50 +0000 Thanks for your comment.The lenders most likely are not aware that I refund or that I even charge a fee for service, nor would they care. Irrespective of what many lenders claim, brokers are a viable sales channel for them that if they want to grow their market share, they need to continue to cultivate. They took the opportunity of tighter credit…[Read more]

]]> b7ead9067cec077330ae8609cb230a88 https://www.propertyinvesting.com/topic/4400320-chances-on-getting-finance/page/2/#post-4626476 Tue, 20 Jul 2010 23:35:25 +0000 Liz,I am sure you can offer a lot of practical advise to many of the members because 'been there done that' experience is valuable and often hard earned. I hope this forum can add some benefit to you as well to make that next stage easier.Good luckGreg

]]> 4c5e19abbb84b696f7da949ee8cd972a https://www.propertyinvesting.com/topic/4400320-chances-on-getting-finance/#post-4626474 Tue, 20 Jul 2010 23:05:57 +0000 Liz,We have all been there, perhaps some of us we not  ever cute though!FHOG – first home owners grant, frderal govennment $7k grant for first time home buyersPPOR – principle place of residence (own home you live in)LVR – loan to value ratio, a measure of the loan amount compared to the purchase priceLMI – lenders mortgage insurance, paid when a…[Read more]

]]> 6c0443594cc7e5827ee2fd0e5ab43586 https://www.propertyinvesting.com/topic/4400613-home-loans-whose-best-big-banks-or-building-societiescredit-unions/#post-4628341 Tue, 20 Jul 2010 22:26:32 +0000 If you are a long term buy and hold investor, then the DEF issue is not a factor.My view is that you use a lender that will lend you the funds for the property you want to buy and if you are building a protfolio, you use lenders in the order of lowest borrowing capacity first. How quickly you need finance and settlement needs to be considered as…[Read more]

]]> d097dbc51f70463623474b7905fc0880 https://www.propertyinvesting.com/topic/4400621-cgt-question-5/#post-4628373 Tue, 20 Jul 2010 22:09:11 +0000 While the contract date is the date that the CGT is calculated on, if you get the timing right and say sell early July 2010, your tax return may not need to be lodged until May 2012 by a tax agent, so you could have up to 22 months before you need to remit the CGT to the ATO.Just a factor to consider.Greg

]]> 7d3a25a8853d391a3b8c34baa32cd0fb https://www.propertyinvesting.com/topic/4400320-chances-on-getting-finance/#post-4626472 Tue, 20 Jul 2010 21:54:20 +0000 Helen,Why not use a broker that supports and contributes to this site?Depending on the state you are in and whether you want face to face service, for instance just on this topic,  Richard Taylor is Kenmore Qld, I am in Melbourne. There are others in other states.If you need a loan quickly, you may need to use one of the non-majors with quicker…[Read more]

]]> 5bb25cb045e4802ba500e09862fb4738 https://www.propertyinvesting.com/topic/4400320-chances-on-getting-finance/#post-4626471 Tue, 20 Jul 2010 21:48:07 +0000 Keiko,As a general guide, CBA LMI rates for a loan < $500k and  94-95% LVR, is about 2.5% plus the relevant state stamp duty.You could expect $12k plus as a once off fee.To qualify with CBA you will need to be an existing customer and they define this as 6 months at least.Nearly all lenders have exit fees but CBA is one of the lower ones, I think…[Read more]

]]> bcebf13d907291fffbf9dfd7edca9055 https://www.propertyinvesting.com/topic/redraw-for-deposit-or-use-equity/#post-4627439 Sun, 04 Jul 2010 13:22:06 +0000 It depends on your long term goals.If you want to build a property portfolio over time, you take one approach, if you just want to own one IP, then there is another approach to consider.One the presumption you are looking at building a portfolio over time, than for flexibility, get your home revalued and refinanced setting up a separate facility…[Read more]

]]> 7e8d40dbbdc78a8c51fff1e8103a9684 https://www.propertyinvesting.com/topic/4400229-just-starting-out-in-property-investing/#post-4626010 Sat, 03 Jul 2010 11:14:22 +0000 Wisepearl,Check with a good tax accountant but my understanding is that you can apportion LMI over the period after it becomes an IP on the basis of 1.5 of 5 is private expense and 3.5 of 5 is an investment expense.If the LMI cost was $5k all up, for the first year you lived in the property, it is not deducible.The second year, you lived in it 6…[Read more]

]]> 757d15e1af482b6d817ef350fea6401c https://www.propertyinvesting.com/topic/4400349-new-build-for-ppr-in-transition-mode/#post-4626902 Thu, 24 Jun 2010 13:16:28 +0000 Dougie,There is no one answer. As a general principal, the answer would be yes but it should not be seen as set in concrete never to be questioned.There are circumstances when you should sell, when the future growth/rental rental returns are not stacking up, better opportunities arise, change in personal financial circumstances, even if a body…[Read more]

]]> 4b929928c0a8fd08d0a64a4f2b858ee6 https://www.propertyinvesting.com/topic/4400351-loc-calculation/#post-4626905 Thu, 24 Jun 2010 12:59:05 +0000 Mel,Whether it is a LOC or term loan, the loan to value ratio (LVR) is the total loan amount divided by the property value.A $480k loan on a $600k property is an 80% LVR.It is the overall debt total on the security property that the lender holds.If you need to access more funds, simply borrow to a higher LVR. Depending on use and on lender, you…[Read more]

]]> a7e635fdc708c45c0b0664ff668193df https://www.propertyinvesting.com/topic/4400349-new-build-for-ppr-in-transition-mode/#post-4626900 Thu, 24 Jun 2010 12:46:51 +0000 Are you going to hold the new property or sell it?If it is a build and hold and then revalue and refinance, whose name it is held in  can be determined whether it is short term negative or positively geared and your respective MTR's. Ownership may not need to change depending on what your long term strategy is.If it is to be sold after…[Read more]

]]> 9a0dcc2d58fbe31ad4016b859f746a10 https://www.propertyinvesting.com/topic/4395513-is-property-the-real-answer/page/3/#post-4599876 Thu, 24 Jun 2010 04:11:32 +0000 From where the post started to the paths it has taken, there is some excellent points raised about choice and balance.I work with property investors and I work with seniors, people up in their mid 80's. They are two very different markets but I gain information and education and knowledge from the seniors to see what paths they have taken to get…[Read more]

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