Don’t waste it!

Seek legal advice asap if you want to terminate the contract

Yes that is possible.

It is not possible for a purchaser to finance your construction like this. They could buy the land and settle and then construct. But if you want settlement after completion what is the buyer going to use as security for their construction loan>?

They would need separate titles to be able to be sold separately. It is possible.

Why are you seeking a broker out for this sort of advice?

Legal advice is needed.

Say you did buy A and B say 12 months apart. You lived in each of them for 12 months and then moved out and rented. 5.5 years after moving out of A you move back in and 5.5 years after moving out of B you move in for 12 months.

Then after about 12 years of ownership of property A you decide to sell it.

At this point either A or B could be cgt…[Read more]

Property A or B could be treated as the main residence for cgt purpose, but full exemption only available on one of them and only for a Max of 6 years absence. If you don’t sell within six yrs you could potentially move back into each of them, at different times, and before the six year rule and then get the potential to extend the main residence…[Read more]

You only choose at the point of sale.

Ideally you would live in every property you own initially to establish them as the main residence. Then you have a choice of which to eventually choose to be CGT. But you only have to make this choice on the sale of the first one. You would ideally reconisder each property after 5.5years since you moved out.

Here is a link to the legislation
http://www8.austlii.edu.au/cgi-bin/viewdoc/au/legis/cth/consol_act/itaa1997240/s118.145.html

6 month rule only applies when buying replacement home before selling old home.

Also keep in mind no main residence cgt exemption when held on revenue account.

I think the question ‘how many people could do this’ is irrelevant. The question you should be asking is ‘could I do this’?

I think the question ‘how many people could do this’ is irrelevant. The question you should be asking if ‘could I do this’?

Yes still possible. 6 year rule. S118-145iaa97.

But if second house sold it would be partially subject to cgt

Asset protection is more of a concern if the trust is trading – negligence and contractual risks. You also get this when running a business of property too, but less so than if selling widgets etc

Nope
Nope

This expense doesn’t relate to current income.

If the trustee is conducting a business it could be deductible to some extent.

It is not very straightforward because GST may or may not apply, or apply in part. If a development CGT won’t apply at all, but it will be income tax on the profits (not capital gains).

Anti money laundering legislation breached? Potentially serious crime.

1. It depends
2. Yes
3. Yes