Many reasons why you shouldn’t cross collateralise. Similar to why you should not allow the bank to put your gonads in a vice.

Selling off the plan to your dad would be an option. It used to be that off the plan sales were assessed for stamp duty on the value of the land at the date of the contract – ie with no house. Not sure if this is the case.

Another option is an installment contract where your dad pays you month by month over 30 years. It is possible to reduce the…[Read more]

Just do a google for "veda credit report free" and please report back.

See a solicitor. Easy to sue.

You could also have a bad credit rating for the next 5 years too. Get a copy of your credit file and see if the judgment is listed.

Yes, def IO.
I would try not to use the offset money if you can, try to borrow the lot and then move your cash with you to the second property's offset account to offset the interest while you are living there. Set up a LOC on the first one if you have the equity. And use this as deposit on the second avoiding cross colalteralising the two.

You could do that. Claim half the costs or based on floor area. Part of the furniture may be depreciated too.

mkbonline wrote:
Firstly I must say this forum has great place for newbie like myself and it has some great property investment gurus !!

Inspired by Steve’s book 0-130 properties, I am planning to pursue collecting +ve cashflow properties and then at some later stage buy debt free commercial property, to become financially free in 8-10 years…[Read more]

There is aparently a newish building in Sydney which was set up as Company title with one of the reasons being that a shareholder cannot just sell to anyone. Any new purchaser must be approved by a committee of other shareholders. This way they can control who buys into the buidling.

In NSW there would be stamp duty on the transfer. However,…[Read more]

Derek wrote:
Not sure where Terry is up to with this sort of stuff.

Last time I looked he was off learning a foreign language and learning how to pole dance but his posts reflect a comprehensive understanding of structures. I reckon he would be worth a PM at the very least.

PS – hope that didn't do irreparable damage to your reputation Terry …[Read more]

Homemade wrote:
I am considering investments for positive cash flow outcomes in regional centres where yields are high and vacancy is low. I know growth won’t be there, but something that can return $2-3k a year with “nothin down” in the equation, brick and aluminium windows (low maintenance) etc can’t be such a bad idea?. Stawell is looking OK…[Read more]

The first valuation, was that before you signed the contract?

Once you pay for something that largely determines the valuation. So getting it for so low would mean it is really only 'worth' that much.

Did this valuer provide comparable sales?

Banks can only use valuations if the valuer is on their list and the valuer has been instructed by the…[Read more]

The superfund can get the usual tax breaks. Any loss can be used to reduce hte tax paid by the fund, albeit just 15%. This could mean you fund may not have to pay income tax which can assist in stretching things further.

Once you have found a property and paid the 20% deposit the thing should almost fund itself. You can then use the offset…[Read more]

AndyY wrote:
Hi guys,

Thanks again with all those comments. I finally settled last Friday. I went to used Adelaide Bank this time.
That was closed, Next time I have to be careful when purchasing off the plan property.
Good luck everyone! 
 

Close call!

The risk is two fold
1. Council could order it to be removed
2.  It could be unsafe – injury potential

If your house is worth $420,000 and if you own 50/50 you would have to pay her $210,000 for her share (50%). Borrow $210,000 to do this. Transfer at full market value so you can claim the interest on the loan. Your new loan would be something like $120,000  (your share of the existing loan) plus $210,000 = $330,000 which is 78% LVR.

CGT needs to…[Read more]

You are not required to live in the property again.
s
ee s118-145 ITAA 1997.

If you have funds to build and parents have then why not just enter into a JV agreement and slit the profits accordingly.

If you want to start your own thread go to the section you are interested in such as
https://www.propertyinvesting.com/forums/general-property

And then click "post new forum topic".

fantomas wrote:
sorry to ask a stupid question but can someone tell me how i can do my 1st post? i have been looking for 20 minutes here and am frustrated

You’ve just done it!

roboproperty wrote:
Set up a Discretionary Trust. It will be in no ones name, but under a company that doesn't trade. You both can be listed as beneficiaries. It's a little complicated to explain but some accountants can set it up. Definitely worth a look at.

Consider the land tax, loss of negative gearing benefits etc too.