Yes that is sort of what I'm thinking Terry (not about the shares!).  I'm thinking absolutely PPOR in own name, and probably up to the landtax-free-threshold in own name as well.  Over and above that, perhaps the trust.  And in addition to that, the SMSF…

I think a question a lot of people have in their minds is: should I buy every property in a trust…. even if I end up with say, only 3 properties?  Or should the first couple be in own name and then go into the world of trusts if planning to go larger?

You are going to need a quantity surveyor sooner or later, so why not choose one, give him/her a call and ask if they think there is any point doing a schedule now, or best to wait till the works are finished…

Seven Hills, Blacktown, Quakers Hill, St Marys, Nowra

I'll be watching this thread with great interest.  I'd love to see the pros and cons of buying in own name vs trust vs company  vs SMSF structure all side by side.  Others will add to the discussion, but here are some thoughts:Pros: Asset protection against tenants suing.  Entire portfolio not held in same "entity" (name) means you are lim…[Read more]

Here are a few to jog your memory.  The precise wording that goes on the actual contract of sale should be discussed with your solicitor.  Be cautious about agreeing to secure finance within less than 21 days.  It is a process that seems to need about 21 days.  Also be very sure to specify HOW MUCH finance you should receive as a bare mini…[Read more]

Christmas isn't a great time to be selling.  Also consider that tradesmen start to go on holidays so it's harder to hire in staff for the various stages of your project….

Hate to say so, but it does depend.  re: Developing; It depends on how much finance you could get to finance development (as it'll be slightly trickier than just getting a loan for a dwelling that already exists).  So your income that will service the loan will come into play etc etc.  It also depends how much time you have to put into this, an…[Read more]

I'm confused – if it's already paid off, why not put students in it for a while until you have enough cash to finance the improvements without the assistance of a lender?

Thanks boys.  All very valid points.  I had thought that I would keep this one in my name in order to write the losses off against my income, and purchase any additional properties through trusts. 

Do you mean brick facade and tile roof? The reason I ask is there are some weird properties I've seen that are built from brick and then seem to have tiles glued to the facade.  If these are what you are referring to I am puzzled.

Hi Paul, just noticed your reference to "preferably brick and tile".  Just interested to hear about why that is your preference?

Hi Terry,Thankyou for your reply.  I'm in the process of purchasing something at present – proposed to be in my name.  The finance is all approved in my name.  Might be a bit tricky to now ask the bank to redirect the finance into the name of a trust?

Banks don't seem to like property of less than 50sqm, or student accommodation.  Setting that aside, wouldn't it be best to first clear your credit card debt before taking on even more debt?

Hi Terry, How much do trusts cost to set up, and run annually?  I'm generally wondering whether a person should have all their property in trusts, or only bother once they own more than one or two.  I'm also wondering whether there has to be one trust per property, or just put all properties under the one trust?JacM

First and foremost, between yourself and your parents, it needs to be decided who is going to utilise the tax deductions this property will generate.  If it will be you, make sure there is some bit of paper somewhere that explicitly states that your parents loaned you some money, and what interest rate they are charging you.  Ideally, a log or s…[Read more]

Same same, I was more referring to the overall cost.  When it is added wasn't really relevant to my rant

Richard Taylor made a great point above.  Many people don't know about depreciation schedules and being able to claw tax back because of them.  If you are unfamiliar with it, do a bit of googling on the topic, or ask us to explain further on here.  Quantity Surveyors produce depreciation schedules… they cost around $500 apparently.

Hi againI have not researched your area at all, nor areas near mining.  So I couldn't comment on whether either of these buys are a good idea.  You'd be far more qualified to comment than I would.  If you have done your research, then you will already know the answer.  I recently bought into an area which I had tracked for about a year by mea…[Read more]

Thankyou heaps for your reply!Something you might want to consider is not putting all your eggs in one basket.  In other words you wouldn't want all your property in one town or reliant upon one industry.  If something happens, your entire portfolio is exposed.