Many things will need to be considered such as:- GST- CGT/Income tax- possibilities of losses- whether all or some will be retained- personal liability- personal guarantees- borrowing ability- other assets- asset protection- who the builder is- financing- land tax- stamp duty- estate planning and death (what if death mid way thru!)- OHS issues-…[Read more]

You can't expect an answer to this over the net. Its like saying I have a pain in the chest, what sort of medicine should i use?Its extremely complicated. But if you get it wrong it could be costly – although no life threatening.

Paullie wrote:
Hi guysMy brother and I are looking at starting a new business and we currently have SMSF setup and have not invested as yet.I generally understand the arms length rulings for residential, and I do realise they are relaxed for commercial as well.What we want to do is buy a commercial property, then lease it to a company we are…[Read more]

suarez wrote:
Hey everyoneEven m thinking of buying an ATM. A friend of mine recently invested his money in ATM with the help of some company named national cash… have u guys heard of it………if yes plz let me know…  plz reply

One of my friends is losing money right now on ATMs. Doesn't sound like a good investment to me.

I remember back 10 years ago a bank manager told clients to make a investment loan PI. Otherwise how will you pay it off? This is while they still had private debt. Could have cost them many thousands in extra tax.

Good point about backing up.I use google for email and the google docs cloud where you can upload or even start documents which are held on the google server somewhere. So where ever you go you can access them without the need to have your files on your computer.

KrisSecurity for the loan is irrelevant. If you secure the loan on an investment property to buy a new PPOR then the interest won't be deductible.

Each state has different rules. It may be possible if the purchaser is also the person behind the trust. You need to get legal advice asap as this will affect the loan you will be applying for.You may also be able to terminate that contract and enter into a new one – which may be less risky for you

Just excel with one sheet per property and then link it all back to the summary sheet.

credit card? may work out cheaper

Morts PI insurance wouldn't help if you had debts you couldn't pay.

Probably best to wait off on the bank a bit. Tell them only when it is all organised. Otherwise they may not lend or may want to class you as a developer or similar.But best to talk tax asap.

Plus it is very hard to rent a place now in Sydney. heaps of demand.

You would need to get the lender on board of course as you could not amend the titles while they are holding as security. Generally it is no big deal, the bank will consent to release if you pay down the loan on or before settlement to keep the LVR at the acceptable level on the remaining security.Taxation aspects are pretty complex.

I don't know what grounds you would have legally. I would just put it down to a unfortunate event and move on (no pun intended).

Well, i bet you will read the lease next time.I know it must be annoying having to move frequently, but there is nothing to stop a landlord from selling a property and the new owners not wanting to extend the lease.

You are throwing good money away!You should have IO on the one you are renting out and PI (or ideally IO with offset) on the one you are living in. If you don't then you will be paying more tax.

What does your lease say?Did you read it before signing?

Thanks Rob for that.s114-10(7) says that the survivor is taking to have acquired the interest of the deceased at the time the deceased acquired it and the 12 month discount would be applied fro that date.http://www.austlii.edu.au/au/legis/cth/consol_act/itaa1997240/s114.10.html

If buying for cash you need extra special planning, especially from an tax and asset protection angle.But, good idea. You could get a $100,000 for 80k and later borrow against it at 80% x 100k = 100% finance (in theory).