If certainly would affect things. You are making a gift. Gifts are not returnable.

Kali14 wrote:
Just wanting to know what others would do in my situation – any comments or thoughts welcome!

I'm 21 yrs old, still living at home (no board) and no other personal debts. I bought a cheap investment ($120k) end of last year through a private mortgage of family member. It's negatively geared at the moment and only costing me…[Read more]

1. Directors usually. Depending on the lender possibly the shareholders, and possibly the adult names beneficiaries.
Take advice on putting your wife as a named beneficiary

2. Depends on the wording of the dead – usually.

3. Depends on the wording again, possibly not. Could possibly be a future formed company that does not exist now.

4. Around…[Read more]

Raasta wrote:
Hi Terryw.

Thanks for your comments. I acknowledge that capital growth potential is the main wealth creation avenue, however at this stage, I am trying to look for ways to supplement/replace my work income so that I can leave work and continue investing in capital growth properties. The replacement of income is why I thought of…[Read more]

You are equating yield = good. Yield is just one factor, capital growth potential would be the main one in my book, and there are many others.

Investor Al wrote:
Terry,

I'm not sure if this is allowed, but what if my partner goes guarantor? Then the loan is in my name, sure if would tie her down from getting future loans, but with all the assets in my name it'd be easier for me to reuse equity.

But, what is the point of that? Are you wanting to do this because you could not service…[Read more]

A5h13y wrote:
Does anyone have any links to or drafts of a basic vendor finance contract? Also how does one go about scrutinizing the buyers serviceability, is it simply a matter of asking to see pay slips, letters from the employers stating length of service etc?

In NSW see the standard contract for the sale of land. There will be a few…[Read more]

Instead of a TD another way with greater asset protection is to gift money to a discretionary trust. You can then borrow this money, interest free for 1 year and thereafter market rates. This will enable 105% borrowings. Trustee could even plance a second mortgage or a caveat :securing' an equitable mortgage.

Later as equity builds up with growth…[Read more]

You could transfer the shares of this company to a discretionary trust. Or have the company operate as trustee to the discretionary trust – this may require modification of your ACL new ABN, new TFN etc.

Woolies, that changes things dramatically.

I think you need rethink and get some legal advice

woolies2122 wrote:
Hi All – I have a home valued at $1.2 million. This PPOR is mortgaged to a bank. The outstanding principal on this loan is now 230k, with monthly Principal+Interest repayment. The loan is a package homeloan (i.e. I pay an annual fee of $395).

I am about to buy an investment property for $360k plus costs/stamp duty about 14k,…[Read more]

Qlds007 wrote:
Hi Terry

Was talking to Darryl from Hua Lawyers only this week and he tells me he could not act on a conveyance for any of our Buyers Agents clients we put into either NSW / Vic properties. 

Cheers

Yours in Finance

No doubt this is due to lacking knowledge of the proceedures in other states. I wouldn’t know the…[Read more]

JT7 wrote:

Foglefar wrote:
Hi all. We are looking for recommendations for an accountant in north Brisbane. We have recently purchased an investment property in NZ (NZ accountant not yet appointed) and need help with the tax in both countries and also a second planned IP to be purchased with through a self managed super fund (which is also yet…[Read more]

The normal way.

I would suggest you set up a a LOC on the existing properties and then lend then money to the entity purchasing the new properties. Depending your your price range etc you may want to put down 20% deposit to avoid LMI or to go aggresssive and go for 90 or 95% loans.

BTW, the market and lending has changed dramatically in the past…[Read more]

There is mutual recognition legislation in for lawyers, I would be be surprised to find that QLD solicitors could not act outside the state of QLD. They could act in NSW for instance. A NSW solicitor could also act for QLD clients. I have acted for a few interstate clients myself, but I don’t think any were from QLD though.

Qlds007 wrote:
Yes as long as they are Licensed to operate in the State.

Like Real Estate agents some Solicitors close to the State border are able to operate across into other States.

Albury Wodonga is a good example but not as good as Twins Towns in Coolangatta where 1 end of the road is NSW and the otherside is Qld.

Certainly makes for…[Read more]

Homemade wrote:
Thanks terry, are you suggesting I should use a lawyer to set up a trust (or company) vehicle for developing and not an accountant?

yes.

A trust is an arrangement in equity, where one person holds assets for another. This is the area of law that accountants cannot advise on – 1 because it is legal services and 2 before they…[Read more]

Yes you can, lenders will lend up to 95% of both properties,

The problem you will have will be tax effectiveness. You will be borrowing 105% for the new one and paying LMI but neither the interest nor the LMI will be deductible.

Sounds like you need a lawyer for the structures – this is legal work. No such thing as a 'correct' structure, only different structures, some of which may be better than others.

Speak to RPI who posted above. RPI is a QLD property lawyer.