I just reread you posts and I think it may not work like you are suggesting.For a start if you have a vacant block of land now, it may not qualify as the main residence (as there is no residence). But maybe this won't make a different as you will be moving into one later after it is completed.Then say the land is worth $500,000, only half of this…[Read more]

Yes, more commissions if you refinance. Who are you with now?

You are essentially just selling half of your holdings, so will have a large amount of equity built into the remaining one.

Yes there are ways to do it.

Good news Greyskull!

http://www.businesslawyers.com.au for a good sol specilaising in this.

you should also consider that you are borrowing to build a PPOR property. This is not deductible.

I was suggesting that any costs may need to be apportioned if the property wasn't available for rent for the whole year.see http://www.ato.gov.au/content/downloads/IND00191817n17290609.pdf examples on page 11 (or 7).Prepaying the interest would save you the most. You will need to take out a 1 year fixed rate, ie pay 12 months in advance. But you…[Read more]

Refinancing is paying one loan out with another loan. You could do that or stay with the same lender and just asking for another loan. (has to be the same lender) . Make sure they understand you want a separate loan number. The lender will charge you a few, maybe, and then assess you and then send out the valuer and then the paper work – if approved.

PeppersGhost wrote:
 1. Is this correct? 2. Are there any smart loopholes that you know about? 3. To access the Equity in the old home – do I have to sell it, then use the funds to buy a new IP? Thanks People

1. Yes, correct2. Yes there are a few options a) sell it b) sell your half to your spouse, he/she borrows to buy and the interest on th…[Read more]

MarkCC is a method of securing loans. It benefits the bank more than the borrower as the bank will usually get extra security.LOC is a loan product.What would have been preferable is for you to have got a loc on your property and used that as the 20% deposit and then borrowed the remaining 80% as a separate loan.You can fix things up now if the…[Read more]

YoungInvestor wrote:
Hi Rich, Do you ever advise having a seperate line of credit to pay the interest on the investment property loans? (Rather than paying it from the offset account against the PPOR) I am in the process at the moment of trying to work out whether this would be deductible, or if the ATO would smash me under Part 4A.

You should…[Read more]

It may benefit you, but only slightly as the costs claimable will need to be proportioned on how long you have owned the property during the financial year.

My westpac manager can do them in a couple of days – depending if a formal valuation is needed or not

some good websites:www.lawcentral.com.auwww.trustmagic.com.auwww.taxlawyer.com.au

no

No, thats not correct. It doesn't matter if the trustee is a company or an individual, the family law courts can still make orders for trust propertry

Shares.

I think car spaces are a waste of time and effort – but no personal experience in this area. Think of the opportunity cost – ie what you could have invested in instead.

A LOC is totally different to a offset. They are used for different purposes. They can't be compared really.An LOC should only be used to access equity for further investing.A 100% offset account should be used for receiving all monies such as pays and rents. and this should be linked to the PPOR loan because it will reduce non-deductible…[Read more]