Who knows why they didn’t contact you.

You don’t have many options – you are stuck with westpac so you need to convince them that you thought it was a 30 year loan. Suggest to your contact that you will make a complain to the financial ombudsman.

You should get a copy of the original contract you entered. If it was 5 years then you have no one to blame other than yourself as you agreed to this. Why don’t you have a copy of this important document?

if the loan ‘expired’ in 2015 then you would have been required to have repaid it at this point, now you would be in default.

Can you service…[Read more]

1. Dig out your original contract. You might need to apply again
2. They made an offer for finance which you would have accepted in writing.
3. commisison wouldn’t be more, but after 5 years they may get another if you apply again
4. ok
5. ok
6. 2k plus a 25 year extension?
7. ok

There is no time frame that you have to live in it. From a tax point of view there is no minimum time frame to class it as the main residence either.

Tax implications are complex, it will be taxable so seek advice.

Adam – if you want advice on what ownership structure to use then you should seek legal advice from a lawyer only. There are a lot of non qualified persons out there giving incorrect advice – mainly accountants – so beware.

non qualified persons can’t advise on trusts, but they shouldn’t give general advice either. You seem to confuse accounting advice with tax advice – but only lawyers or tax agents should explain the tax aspects of a trust too – not tax incentives.

It is probably best not to comment, even generally, if you don’t understand what you are writing…[Read more]

Not really sure what that means either Jaxon.

I am concerned that a poster has come on here seeking advice in relation to structure, you have come on and given some sort of comments verging on legal advice, albeit ungrammatical english – which could be due to rushing or being a non-native speaker, and then you offered to discuss further with the…[Read more]

This answer doesn’t make sens. Are you qualified and licensed to advise on trusts Jaxon?

You would probably want to have at least one property that can access the main residence CGT and land tax concessions. If you are worried about asset protection on bankruptcy then there are strategies that allow for the property to be held in your personal name and to get some good asset protection as well.

A lawyer as it relates to the First Home Owner Grant legislation and duties act. You can look these up yourself too.

residential land is generally subject to GST so if you are registered or required to be registered and are conducting an enterprise you will need to remit 1/11 of the purchase price to the ATO.

Seek specific tax advice.

Why would someone want to enter into such a deal? The entry and exit costs would be about 10%, the property would be cashflow negative and the prices may drop in 3 years. What is the potential advantage for a buyer?

You are confusing a few issues here.
The unit holders could potentially borrow to acquire units in the trust. If it is a fixed trust they could claim the interest on borrowings used to acquire these units. Claim the interest against their personal income.

The trustee could borrow to acquire a property and any interest on such a loan would…[Read more]

Not if you sell it to a trust first. Main residence won’t apply to trust owned property.

Another option is to sell first one after subdivison and then sell it after 3 months, CGT free potentially. The second one can then become main residence.

one way is to sell to a related entity just before sub division

Yes you will be up for CGT or icnome tax and possibly GST.

There are ways to minimise or eliminate these though so make sure you seek tax advice.

Don’t forget most also factor in existing debts as PI over loan terms less the IO term.
so if you had a 5 year IO term on a 30 year loan and then next day go and get a new loan, the first loan will be assessed as if it is a 25 year PI loan – usually at 7%+

And that is why it is so hard to buy multiple properties quickly these days.

There is a a complex area of law known as ‘equity’ which could also throw several spanners in the works.

Is the person advising on this a practising solicitor? You should seek advice on your equitable interest in the property. Even though you may not have a legal interest you could have recourse if you have paid for the property in part.

If no mortgage then there should be nothing to discharge or register.