Mel,

Don’t beat around the bush do you?

But I do agree…..I was trying to extend a little professional diplomacy []

Have a great weekend!

Simon Macks
Mortgage Broker
mortgagehunter@iinet.net.au
0425 228 985

Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should…[Read more]

Anastasia,

Very valid question.

Avoid brokers that charge a fee. They are double dipping as they are also paid by the lender. Unless of course your loan is really out of the ordinary that it needs a lot of additional expertise or effort.

Banks pay us to bring in business. They save infrastructure costs by having us out there writing loans at…[Read more]

I can’t make a call on what the market is doing.

However as most lenders want you to demonstrate a 5% deposit that has been saved over a 6 month period I would consider paying the minimum off your debts and saving a deposit.

I do have lenders that aren’t so fussy oin this requirement so it isn’t absolute.

Good luck,

Simon Macks
Mortgage…[Read more]

Luckyone,

Just talking to some colleagues and am going to go out on a limb here and say your broker is wrong.

Are there any accountants out there who can advise?

Have a great weekend!

Cheers,

Simon Macks
Mortgage Broker
mortgagehunter@iinet.net.au
0425 228 985

Comments may not be relevant to individual circumstances. If you intend making…[Read more]

From the ATO’s section on Capital Gains Tax.

http://www.ato.com.au/individuals/content.asp?doc=/content/31570.htm&page=10#H4_6

Main residence
Generally, you can ignore a capital gain or capital loss from a CGT event that happens to your ownership interest in a dwelling that is your main residence (also referred to as ‘your home’).

To get full…[Read more]

Lucky One,

I am not aware of this. Have you a reference to the PPOR being liable to CGT should equity be borrowed against for an IP.

Thanks,

Simon Macks
Mortgage Broker
mortgagehunter@iinet.net.au
0425 228 985

Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you…[Read more]

IO loans require the payment of the monthly interest component only. You are permitted to pay additional into many IO products. As much or a little as required. The Principal is reduced and the interest component decreases accordingly.

This money can be redrawn as required – important to redraw it for deductible purposes or the ongoing…[Read more]

Mitch,

There are many options available.

One strategy I often recomend is to borrow 20% plus costs against the family home then borrow the remaining 80% against the IP. This second loan should certainly be IO and so should the first if there is any home loan debt still outstanding (not inc the 20% above).

There are many ways to skin a cat and I…[Read more]

He cannot apply for it for this property unless he resides in it during the first 12 months.

Owning an IP does not prevent him from using the FHOG when he purchases his home.

He cannot move into this IP after the 12 months is up or he will lose his entitlement.

You can check the legislation at http://www.osr.nsw.gov.au or your states equivalent. It…[Read more]

A credit card might be the easiest option.

Cheers,

Simon Macks
Mortgage Broker
mortgagehunter@iinet.net.au
0425 228 985

Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.

There is no limit.

You might be confused with some of the stamp duty concessions available for first home owners.

Cheers,

Simon Macks
Mortgage Broker
mortgagehunter@iinet.net.au
0425 228 985

Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a…[Read more]

Or you can fix the rates.

6.29% for 5 years is achievable these days.

Cheers,

Simon Macks
Mortgage Broker
mortgagehunter@iinet.net.au
0425 228 985

Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.

Maybe you are giving some folks too much credit by looking for reasons. Maybe we should appreciate them for being willing tenants!

In my experience there is sometimes no reason. People don’t consider buying a home because they just think it is out of reach or it isn’t a priority to them or even because there just isn’t any motivation.

I believe…[Read more]

If it has always been their home then no CGT.

If their home then they move out and rent it for up to 6 years then no CGT.

Unless they buy a new home. You can only have the exemption for one home – they may overlap for some months if you buy one whilst still selling the first one though.

Cheers,

Simon Macks
Mortgage…[Read more]

Where are you?

$900 isn’t expensive. I shopped around and found $800 plus GST about the cheapest. The most expensive was $2500. You can clearly see that $900 is at the lower end.

Cheers,

Simon Macks
Mortgage Broker
mortgagehunter@iinet.net.au
0425 228 985

Comments may not be relevant to individual circumstances. If you intend making any…[Read more]

Love to give some advice..not enough info though.

Post some financials or drop me an email and I will run your figures.

Cheers,

Simon Macks
Mortgage Broker
mortgagehunter@iinet.net.au
0425 228 985

Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a…[Read more]

Finance is a little more expensive and deposits need to be higher.

Simon Macks
Mortgage Broker
mortgagehunter@iinet.net.au
0425 228 985

Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.

Shaun,

PPOR = Principal Place of Residence = Your home.

If you pay out the entire debt now you can then draw against the PPOR to buy the next one.

This is more tax effective. Please feel free to give me a call and I will be happy to explain it to you. I sometimes struggle to get my points accross by typing!

Cheers

Simon Macks
Mortgage…[Read more]

Not enough info for specific plans to be suggested.

Do you want to stay where you are?

An idea is to pay out your PPOR debt then redraw funds to use as deposits for subsequent properties. 7.54% is not a nice interest rate and you should ascertain the break costs of paying it out compared to what you will save if you take a new loan at under 6%…[Read more]

I will have a crack at this. NSW terms used.

Torrens title is the normal style of title for the average home. The owner owns the land and house outright.

Old style titles are pre torrens. As they are sold they are converted to torrens.

Strata refers to multi dwellings on one title. The Owners Corporation or Body Corporate owns the land and…[Read more]