Remember ther Grant is a Federal Grant and only adminstered by the individual States.

Three questions: Three Answers1. When I move overseas, can I rent my PPOR to receive rental income? YES2. If I do that, is the mortgage interest tax deductible? YES 3. Is my PPOR status still stand, is there any CGT when I sell the property? No the property is preserved from CGT for a period of 6 years. There are a few other considerations so…[Read more]

Where a property is held as Tennants in Common as above the apportionment of the expenses and income is as per the Transfer document. In the example you have shown 95 / 5% is correct as is the way the deduction would be calculated.

ElevenI have completed about of these loans over the last 7 months so feel to drop me a line if you need some more information. 

Sorry irrespective of the recent change in rules a residential property has always been able to be held in a SMSF and certainly does not infringe the Inhouse Asset Rules.The property could not be rent or occupied by the Trustees but certainly could always be rented in the open market.The change in SISA legislation last September meant that the…[Read more]

you can use FHOG later on when you choose to purchase PPOR. Yes that is true.

Wooooow be very careful consolidating accounts especially if there is a mix of investment and personal debt involved.Unlikely the NAB will waive their DEF however that is not a particularly high amount in this market place.If she is going to refinance it is best that she try and ensure the loans are structured correctly to avoid any mess in the…[Read more]

Chris / JoJust a simple question. Is the Line of credit on your PPOR and an IO only loan on the IP… I assume this is the case hence the comment about a poor structured loan. Are the loans cross collateralised ?And by the way not every lender calculates interest daily and charges it monthly…..

No problems.A LOC or Line of Credit is merely a secured loan which has an approved credit limit with interest charged on the drawn amount. It is like an overdraft with the limit normally based on the security amount.The limit can be made up of 1 loan or a series of sub loans which can be used for different purposes.One of the beauties with a LOC…[Read more]

HybridWith additional equity and with a total loan less than 80% LVR i must admit i think the advice you have been receiving from brokers is inaccurate.As i say without all of the figures it is difficult to provide you with a full borrowing capacity so feel free to drop me an email if you want to and I can come back to you. 

Simply an IO or Interest Only loan is a loan wherby on interest repayments are made to the lender and nothing comes off the principal balance.If you start with a $100,000 loan then in 5 years time the loan will still be $100K.There are numerous advantages which include:Reduced loan repayments.Tax effectiveness when you have other non deductible…[Read more]

Depending on how regular the work is and the sort of LVR you are requiring you should be able to obtain a standard full doc loan with the right lender.If you can tell us a little more on what you are trying to achieve then I can give you some more accurate information.

Yes i agree it does seem a big difference.Maybe get your broker to commission a 2nd valuation and see what that comes back at.

MartinVery good point made however unfortunately the sales staff at the higher pressure seminars dont tell you such things.I guess it as about cash flow. If you pay little or no tax now and defer it until you sell the property. Other consideration is the CGT concession.

ING are another but i must admit i prefer the Dragon for service and range of product.

WealthConsidering Kevin's 3 other posts have all been advertising his services or similar I dont expect you will get a response to your question.I think he looks at this as a free advertising site.

Sheep Normally yes unless it is a franchise or similar you are unlikely to obtain much in the way of a LVR on the business itself.Residential / commercial security will always give you a sharper rate and terms.If the business has equipment or inventory then finance can be arranged against these items but normally short terms 1-4 years or similar.

NoobieI couldnt agree with you more as i have reapeatedly said on numourous ocassions.Thankfully the recent cuts in commissions and drop off in the overall numbers of property transactions will mean many of the inefficient brokers with absolutely no idea will go back to their normal day jobs.Only concern with going to the Bank direct is that they…[Read more]

Hi PirateThis might help a little$450k x 9% / 12 = $3375 which is the interest component each month (ignores the fact that some months are not equal to others)Try this link to work out the principal (saves me typing the formula long hand) http://www1.infochoice.com.au/distributions/10379/Amortisation.aspP & I per month = $3620.80Difference between…[Read more]

LMI Premiums vary considerably from lender to lender and then from insurer to insurer.You could always look at a lender who doesnt charge LMI but charges a risk fee or equivalent instead.