Firstly, documents would vary from state to state.

And secondly each option would need a contract of sale attached.

And what are you looking for and what are you offering?

10000,

What the SIS act requires is that a SMSF buying property needs to set up a bare trust to buy it in. The trustee of the bare trust can mortgage that property and only that property. The trustee of the bare trust is acting for the SMSF trustee and is just the legal owner of the property temporarily while there is a mortgage on it.

So if you…[Read more]

Maybe post some figures.

Once the land is sub-divided you can just sell it. It would then have a separate title.

Rick sta wrote:
Is the establishment of a SMSF viable with a super balance of 50 or 60K?

Not really. But it would depend on the situation. It maybe possible for a member to lender money to the SMSF to do a deal. This money could be lend at nil interest. The deal done and the loan repaid etc.

10000_Lakes wrote:
Hi Good Morning,

I came across this thread while googling "Limited Recourse Borrowing for Overseas Property via SMSF"

Just read through it all, and I see information above regarding Citigroup AU offering loans to purchase property in the U.S — does this include the limited recourse structure for buying US property via…[Read more]

Consider
– death
– divorce
– bankruptucy
– withdrawing from the investment
– stamp duty
– borrowing ability
– guarantees
– effect on future borrowings for individuals
– land tax
– cgt

Probably the most flexible structure is a unit trust with a corporate trustee. But the structure within the structure would depend on your situation.

TD 2008/27
http://law.ato.gov.au/atolaw/view.htm?docid=TXD/TD200827/NAT/ATO/00001

Sounds like you have a good argument for it. The ATO has also issued another ruling that interest on interest is deductible if the underlying interest is deductible.

Even though you are not paying the interest it would still be charged to your loan and would normally be deductible.

But whether what you are doing is ok or not is another matter. The ATO has issued a ruling saying that they can deny a deduction on capitalised interest if the purpose is to pay off the non deductible home loan sooner.

What is…[Read more]

ryan mclean wrote:
I have heard of people working overseas for cash…

Seriously? only joking. I was pointing out a mistake in your English "been claiming your income".

Declaring your income?

income tax, not CGT probably.

It could be possible to transfer the remaining one to a SMSF if the structure is set up first and there is no debt on the property. CGT or income tax would be payable though. But you may get around stamp duty.

excellent Freckle.

And if the court case is lost your costs will be capped at around $700.

chris_bc wrote:
Thanks for your comments Terryw.  I think the concepts are starting to set in my head, but I'm still a bit puzzled about whether I'm likely to be better off purchasing in my name or under a trust.
I'm currently looking at a short list of properties with cash flow (after accounting for rental management, repairs, rates, etc) of…[Read more]

Sue em

If you use your home to produce income then it will be subject to CGT. Probably a % based on use.

The 6 year rule only applies to absences.

MyRoom wrote:
Thank you Terry.

Which Australian Bank would you suggest I try first or do you think it's better to go here in China first?

Regards,
Michael

Nihao Michael

Don't think a Chinese bank would lend for Australian property, but you may be able to check out an aussie bank in China such as NAB etc.

Or speak to a broker.

Aussie bank will lend.
IO possible

You will need to come up with a deposit or borrow in china against the chinese properties.