Agents shouldn’t be advising on legal matters. If he did and u suffered a loss you could sue.

Anyway, just because there is aggregation doesn’t mean it will apply in this situation. I didn’t read the section so don’t know if it applies

MrsC wrote:
thanks, definately something to factor in. The sales agent has made a point of advertising the sale as coming with benefit of saving $$ on SD. But i definately dont want to believe that yet! need to investigate.

Aggregation applies in WA too!see http://www.austlii.edu.au/au/legis/wa/consol_act/da200893/s37.htmlDuties Act, s 37.

MrsC wrote:
terry is that even with the separate contracts for sale of each title? Im in WA by the way.

I don't know the laws for WA, but in NSW it would be. Even if you used separate entities or even different family memmbers or purchased up to 12 months apart the stamp duty could be aggregated. I suspect it is similar in WA so you should…[Read more]

What if an accident happens and a kid is injured or killed. I would make sure your insurance covers you for all possibilities.

It should be pretty much the same in the UK as in Australia. Trust law developed in the UK. There will probably be some differences in the taxation side of things though.

Just in case you are not aware the stamp duty on this purchase is likely to be on the combined value, and not on the individual units (which would be much less).I worked at a law firm where the principle didn't know about the aggregation of stamp duty and got it wrong by about $50k.

You cannot prepay any variable loan. You would need to fix the loan for at least 12months (otherwise the rate could change and the interest prepaid will be too much or too little). IO can be prepaid

Do the sums and work out which will make you the most money quickest. Then also factor in the non-monetary factors such as moving, convenience of office etc.

I beleive new land = GST.

Cheeky.Paul, have you got a reference to that matter?

ChristinaM wrote:

Terryw wrote:
If you take this $40,000 out of the loan it is new borrowings and the interest on this new loan would only be deductible if used for investment/business purposes.

I do not understand this part. How come this 40K redrawn from the loan becomes a new loan?doesn't redrawing of 40K mean that the principle of the…[Read more]

I am a solicior based in Sydney, but am not taking any clients at the moment. I would recommend Anthony Cordato as someone who knows property, options etc well. I think his website is http://www.businesslawyer.com.au

Withdrawing = borrowing.So if you took out money for a new PPOR purchase the purpose of this new borrowing is private so the interest on this portion woudn't be deductible.eg You start of with a $100,000 loan and then come into $40,000 and pay the loan down to $60,000. You have $40,000 in redraw.If you take this $40,000 out of the loan it is new…[Read more]

RobbieP wrote:
On the same note..Are you able to make ammendements to a signed Offer to Purchase document?In South Africa we were able to get the seller and buyer to sign an Offer to Purchase, which would be presented to the attorney handling the transfer.After the OTP was signed by the seller and buyer, there might be a reason to make…[Read more]

RobbieP wrote:
Thanks Terry, much appreciated.Who would be a good person to speak to to get an Offer to Purchase template or Option document drawn up?Are there any legal guys on the forum who can assit me?

Your solicitor should be able to draw an option up. You would generally need a contract of sale attached to the option so it wouldn't work…[Read more]

You could approach another valuer and order one yourself. Before this ask him which lenders he can value for and make sure one of the lenders is one you could use. If it comes in good you can get the valuation reassigned to the lender.

Youc an do the same thing here.Get a contract signed by the seller and then you delay in signing. You can only enforce a contract if you have the other person's signature. You can also exchange contracts subject to various conditions such as finance etc so you can back out.You can also use options. This will give you the ability to pull out but…[Read more]

propertybee wrote:
TerryW, how can withdraw the offer? please tell me the steps to do this,  I am here in perth; deposit is not pais yet. Please tell me the details of the steps of withdrawing the offer with a view of either a. to withdrawq completely from these purchase. b. to making changes to the contract with the intent of going ahead with…[Read more]

A redraw is nothing like an offset. Money taken from a loan is new borrowings.If you have paid money into a loan then you cannot get it out without tax consequences. Even if you move banks now you cannot take the money out without tax consequences.BEst thing to do is to let the loan captialise if you can (becareful of bank classing it as missed…[Read more]

RobbieP wrote:
Hi Kong,Whats the longest term mortgage you could get for a variable IR?Regards,Robbie

30 years generally. There used to be some 40 year PI loans too