$8,500 is a very large fee! ( i will do it for $8,000 whatever it is).However, if you are happy to pay this, and it does relate to an investment property then it would be far better to borrow it (in terms of tax) then using cash as the cash can come off non deductible debt first.However, by borrowing it how much extra is the LMI going to cost?

MiikeYou can do that and depreciate assets in proportion. But beware as you will lose the CGT exemption on the house. Which may cost you must more than you will save in the short term.

I was just going to write the same thing. No benefit now, so you might as well wait. You may find you fix or improve things before moving out and would want these included in any report.

lfc2011 wrote:
thanks for you replies. Am i correct in saying if acquire an ownership interest in the new property within 6 months period(initial selling and moving) it will receive main residence exemption? Do i then have 6 months to sell the new property before the exemption expires or do i just calculate via apportionment? im confused…[Read more]

Interest wise it should be the sameTax wise it can be completely different as any deposit into a loan = a repayment and any withdrawal = new borrowings.Imagine you had paid $50,000 (all your cash) into the loan and then decided you wanted to buy a $50,000 ivory back scratcher. You would need to re borrow this from the loan and the interest would…[Read more]

maybe Pete Raiss

The banks often employ people without the knowledge and skills needed for the job.I remember many years ago a bank employee telling my parents they should have a PI loan on an investment property when they still had a home loan outstanding – otherwise how would they pay it off? This could have cost them dearly.

Purchase in a company. It will limit liability and provide flexibility.Talk to your accountant if this company should be acting as trustee for a trust or the shares owned by a discretionary or a unit trust. you need to consider:flexibilityasset protectionstamp dutyland taxfinance

Glad to see the post by the overseas "lender" has been deleted!.

I would advise people to be very careful when dealing with overseas "lenders". Often these "lenders" string people along with promises of finance. They collect all of your personal documents and then 'assess' you. You will nearly always be approved subject to paying a fee of some sort. Guess what happens when you pay the fee? Then consider…[Read more]

I would advise people to be very careful when dealing with overseas "lenders". Often these "lenders" string people along with promises of finance. They collect all of your personal documents and then 'assess' you. You will nearly always be approved subject to paying a fee of some sort. Guess what happens when you pay the fee? Then consider…[Read more]

I would advise people to be very careful when dealing with overseas "lenders". Often these "lenders" string people along with promises of finance. They collect all of your personal documents and then 'assess' you. You will nearly always be approved subject to paying a fee of some sort. Guess what happens when you pay the fee?Then consider they…[Read more]

animar wrote:
Just thought I would let you know the outcome of this scenario!. I have had success with the person who originally sold me the block with 4 year settlement and he has been sympathetic and very understanding. Not like the developers solicitor who refused to enter into conversation with me, told me I was going to lose my deposit if…[Read more]

Centrelink are well aware of trusts and people using them to get around losing a payment. So now there are complex laws under the Social Security Act which mean that it may be possible for trust assets to be classed as assets of the individual if that individual has any role or control in the trust such as trustee, appointor or beneficiary or can…[Read more]

Pretty soon new legislation is coming in called PPS Act or Personal Property Security Act. This will allow security to be taken over all sorts of items. This is going to revolutionise the world of security. You could theoretically get a loan secured on your coffee table. There will be a national register of items – like the land system – so credit…[Read more]

Ashley,At first glance I took it as acquiring the land. But land isn't a dwelling so you could be right. The 6 month overlap could be from the date the new place becomes a dwelling – ie possibly when occupancy certificate is issued.

Shape wrote:
From my understanding the property can be marketed …but can't be sold/auctioned without the section 32. I seen plenty of sale contract without the section 32 ( most out of date) on the market….just couldn't sign the contract. Regards Michael

That's probably right. You might need a contract market, but even if you had an…[Read more]

I dont think the overlap provisions would apply in this case unless the period since acquiring an interest in the second property was less than months.s118.140http://www.austlii.edu.au/au/legis/cth/consol_act/itaa1997240/s118.140.html

I think a property cannot be marketed without a contract of sale and the s32 forms part of the contract.

pete11819 wrote:
Theresa,I have had a very positive experience with Chan & Naylor. These guys are specialised property investment accountants, they also offer Mortgage Broking and Solicitor services. Very good with structures, strategies, PI trusts, SMSF & property etc..Ed Chan is a guru in PI circles and you will see him regularly in the…[Read more]