duckster wrote:
Ask lender for a 6 month rate lock for settlement periodhttp://www.investorwords.com/4034/rate_lock.html

Duckster, do you reckon you would get a 6 month one?

Yes.

One thing to consider when choosing which name is asset protection. Who is more likely to get sued? Possibly a Nurse could be sued for a negligent mistake – Although it may be a remote possibility it is still possible. Depending on what you do it may be better to have the house in your name.But you also must be careful about whose money goes to…[Read more]

I have been a broker for 9 years and can tell you trusts will NOT help you borrow more – they may even hinder.

It would depend on the deal. With some deals all you would do is secure the property and later sell the option for a higher amount. If there are development applications involved, then it may be different. 

Finding the property is the hard part!!!!

I would suggest you immediately stop paying extra into the loan and try to switch to a IO loan with a 100% offset account. Pay the min and put the rest in the offset.When you get the new PPOR I suggest you do the same as you never know when you will move out of that one and rent it.

it all comes down to the purchase price.If it is $550,000 then you can borrow 95% of this. All other costs must come out of your pocket.

The buyers agent would no doubt charge a fee on the securing of the option. In General the Buyers agents charge for finding the property for the buyer and are not paid a commission by the seller.

Well done.

Why type in capital letters?

shmikka wrote:
><Moderator: Delete abuse>I'm not interested in what sort of relationship Mark, has with his Lawyer, or anyone else.  I only go by how i find people, so far not as hard to get along with as you appear to be?   I only enlightened people in this forum who have asked questions about RP Data, or appear confused about Massland.  It app…[Read more]

I've purchased more than 10 without ever seeing them. At a minimum I would suggest you get someone you know to drive by and check out the area. They may sound good on paper and with the calculations but you never know what is around the corner or next door.

I would say so.

you will be losing your CGT exemption on the portion of the property rented out. A few dollars saved in tax now could cost you thousands down the track.

most brokers don't even know what a trust is!

If you are thinking of using the mums property to get a loan it won:t be that easy, especially if she is not working. lenders are extremely reluctant to do this.

Firstly, there is a section in the tax act which says that transfers under market value are assessed at market value for CGT. Same with Stamp duty. So ddrawing up a low price contract won:t really help.But you can still do things such as vendor finance. eg it is worth $500,000 but you pay $250,000 on settlement and giving the owner one unit valued…[Read more]

Thats right Dan. You will only be able to borrow a certain % of both properties – usually up to 90 or 95%. So I think Mick has to keep saving and/or wait for some growth to kick in.Using a trust won:t help in this regard. A trust is easy to set up – You could draw up a deed yourself or do a verbal declaration of trust – but you will want something…[Read more]

dreamteam wrote:
I'm re-reading chapter 9 of Steve McKnight's first book '0-130 properties in 3.5 years' about structuring prior to purchasing investment property.  To set up a Family Trust as the most advantageous structure seems a no-brainer on reading this chapter.However.p. 175 says that if I already have significant debt it is of little…[Read more]