You should seek financial advice as you can only contribute a maximum of $25k pa to super and this includes the 9% guarantee. Any contributions are taxed at 15% going in and the income as taxed at 15% too. Once contributed to super the funds cannot be withdrawn until you meet a condition of release such as retirement.

AM2778 wrote:
Hi All,

I have a PPOR, on which i have a separate Loan Account – PPOR LOC. This LOC was used to buy an IP.

Over the years, the IP has increased in value. I have accessed the increased Equity of the IP by setting up a new Loan – IP LOC.

Question
1) Can I use the IP LOC to pay down the PPOR LOC?
2) If so, will there be any tax…[Read more]

It will probably be transferred at market value as on the date of transfer – stamp duty by transferee and tax by the company payable too. But it is not so simple as you would also own shares in the company and these may need to be transferred as well. Any guaraantees provided on the loans? Directorships?

Not correct. Your accountant doesn't seem to understand tax!

If you borrow to buy the managed funds you could claim the interest. But, if they managed funds are sold you could not claim the interest from that point on.

You may be better off selling the property and starting again..To save a bit in fees, you may want to consider selling to a…[Read more]

Some other ways to protect assets are:
1/ Not to have any
2. encourage your spouse/parents etc to own instead of you
3. private loans and mortgages

Terryw wrote:
I might have an old wrap kit floating around somewhere. Will have a look over christmas.

Sorry, I couldnt find my kit. I think I may have given it away to a forum member a few years ago now.

If your friend is sole director is can be good asset protection for you is the business goes under, but risky for you as you won't have control of the company. He could transfer money or have the company enter into contracts etc

A hyrbid trust is one in which there are discretionary aspects and units. The deed could specify capital to the unit…[Read more]

mattliasiian wrote:
Wow really is it that easy to be misled and have a very bad loan structure? 

I mean you know of my circumstances max price $300,000 want to buy for PPOR and than eventually turn it into IP after 3-5 years. Hopefully he will help me choose the best loan structure. Is there anything I should look out for? or really important…[Read more]

TheNewGuy wrote:
I just renewed all of my insurances. I have Income Protection for 3 months to death, at 80% of my salary. 3 months to 24 months is in my super, and 24 months+ is via Macquarie Insurance.

For permanent injury / death, I have $750k lump sum, and a pension paid to my wife ~ $15k p.a + CPI for the rest of her life.

I have ~ $800k…[Read more]

mattliasiian wrote:
Hey guys I am 20 yrs old and looking to buy my first property in early 2014, my max price $300,000 with a  20% deposit. My question I wanted to ask was, should I see a mortgage broker or just borrow directly from the lender ? Whats some trips and traps to look out for ? how do I find the best price ? or the best broker ? any…[Read more]

neilharrison_253 wrote:
Hi Terry

Sadly face to face would be somewhat difficult. I am currently based on the Sunshine Coast. Do you have anyone local that you could suggest. Am also looking for someone to deal with long term as i get more involved in SMSF / Property Purchasing / Trusts ect

Regards

You could try RPI from this forum. He is…[Read more]

neilharrison_253 wrote:
Hi Terry

Thanks for the response. I do indeed have children. I would want all to go to my wife or visa versa however if something were to happen to either of us split 50/50 between my two kids. Is this something that can be done over the phone with yourself ?

Regards

Possibly. Ideally a face to face meeting would be good!

Hi

It all depends… If you wanted to leave the property to a specific person then it may be better to wait. If you want to leave everything to your wife and vice versa then it may not be essential. Generally under the intestacy rules a spouse would get everything – this varies from state to state and depends on whether you have children from a…[Read more]

minds-eye wrote:

Terryw wrote:
Short answer = nope.

If you are sued you could lose all your assets.

But to reduce the chances of you getting sued, you could set up the business in a limited liability company.
There may be a few things you could do to further encumber your property so that you have little equity. Would need careful planning…[Read more]

Short answer = nope.

If you are sued you could lose all your assets.

But to reduce the chances of you getting sued, you could set up the business in a limited liability company.
There may be a few things you could do to further encumber your property so that you have little equity. Would need careful planning and would be costly to set up, so…[Read more]

s0805 wrote:

Qlds007 wrote:
 Anz will allow the funds to be paid back into the loan itself on drawdown without closing the account (I have done it on 2 forum clients loans which settled over Xmas).

Richard/Jamie, that's good to hear that ANZ does allow the loans to be paid back on drawdown. Just so i
understand it right u mean using…[Read more]

junkyster wrote:
Hey guys,
Just spoke to the bank today, they are currently processing the CBD apartment loan. Once approved, I am hoping to pay off the townhouse first.
From here, I could mortgage back the townhouse on an IO loan to start looking for another investment property.

Is this feasible?

Thanks,
JunK

Above you seemed to say that…[Read more]

s0805 wrote:

Terryw wrote:

Not sure about your other comment Terry, that this sort of issues are only faced in early days of investiing…….i think if you are going to avoid cross collateralising then separate facilities has to be setup to fund the next purchase….until one of your property has enough equity so you don't have to dip in to…[Read more]

You could have one big LOC but, this would mean it is secured by each property which is cross collateralising.

These sorts of issues arise in the early days when the investors are trying to get access to equity quickly, but after a while things will slow down as more property is purchased and harvesting equity slows down a bit.

s0805 wrote:
Terry, I want to avoid LOC if possible, i understand that it gives much more flexibility from the top off point of view….but it comes with higher interest rate……

.

It will be a small amount and not of any significance. The LOC can be rolled over into a normal IO loan once drawn too.