Yes, i dont think you can claim the FHOG unless you move in within the 1st 12 months and live there for 6 months at least.

you can only claim one residence as your PPOR at any one time, but you can choose which one and this choice may only be need to be made in the year you sell one. So you would, probably, just choose the one with the biggest capital gain as your main residence.

I think you will be able to claim a portion of the expenses for the part of the property rented out. if you rent out 50% then you should be able to claim 50% of everything. this would be shared in portions of ownership, so he could claim 70% and you 30% of any loss on this basis.For the remaining 50%, you would be lviing there so couldn't claim.…[Read more]

I have a client who keeps selling properties to himself/family – crazy waste of stamp duty. He needs to because his credit report has gotten very messy due to slackness.I would suggest to Bill to think about how to make things as flexible as possible from a borrowing POV as well as tax etc. Don't just go and form a company with everyone as trustee…[Read more]

This article may be of interestRe-imbursement red lights Tax Telegraph issue #16 by Deloittshttp://www.deloitte.com/dtt/article/0,1002,sid=142634&cid=222779,00.html

Some valuers are more generous than others. I wouldn't be keen on buying a place $15k under value – maybe you could order another valuation from a different company just to be sure. Spending $300 could save you $15,000.never trust an agent or their estimate.

if you can't arrange a simultaneous settlement, the lender will require the LVR on the investment to be 80% to avoid LMI. You don't say the value, but if it is over $363,000 you shouldn't have a problem. You can then take your cash and spend it. If it is under this value, you may have to pay down the loan a bit or pay LMI.Another possible option -…[Read more]

If you are a contractor, or can arrange to be, then you could run a business thru a trust. There are a number of hurdles to overcome, but it is possible to do. The profit can possibly then be distributed to other family members and tax reduced.Trusts only have $200 stamp duty to setup in NSW, none in QLD and WA now (I think). you would pay stamp…[Read more]

Hi Accountants can advise on taxation and structuring (ie trusts, companies, individual names and tax consequences).Financial planners supposedly advise on planning for retirement, but there are not many who can incorporate property into their thinking.The best thing to do is to work it out for yourself with pointers from your various advisors…[Read more]

I wouldn't mix funds at all.See this newsletter article from Bantacs, under the sub heading "Losing interest deduction."http://www.bantacs.com.au/booklets/Claimable_Loans_Booklet.pdf"Imagine how you would feel if you borrowed $100,000 to invest in shares. Then when it came time to doyour tax return your Accountant told you the interest is not tax…[Read more]

You could do that. makes sense – but illegal as you would be defrauding the ATO. They may also get suspicious as to why you are renting across the hall? (maybe noise or sunlight issues?). If they think you are doing it just for tax reasons they could still disallow deductions. If they find out about your scheme of pretending to rent it out, they…[Read more]

i guess you could jsut search on the suburb, once you have found it – there could be more in the same area.

I am not keen on studios. if they are hard to finance, then they are harder to sell which can limit capital growth.Lender and LMI polcies are constantly changing too……. things may get worse (or maybe better??)

There was a rule which allowed the interest and expenses a jointly owned property to be claimed by the highest income earner by using salary sacrifice. The loophole has been closed now.

I would suggest you do a google search of the tenants union in your state. These organisations offer advice to tenants on their rights in situations like this and they have lots of good info – all good stuff for landlords too.

I would be very wary of borrowing money and putting it into a savings account and then mixing it with other money.There was a legal case a few years ago where a person borrowed money, put the money in a savings account (maybe to access his cheques on that account). He then bought something investment related. it was deemed that the interest was…[Read more]

A lot of these non-bank lenders get their funds from wholesale lenders. These come and go, and maybe yours has gone and they cannot change your loan.Break costs and inflexibility are the unfortunate side costs of these sorts of loans.

That is a difficult question. I think it comes down to when you sell and your intention. New property is supposed to attract GST on its sale – but I think the land portion will be GST exempt because it is not new. However, if you were to rent them out for a while and then sell, they will no longer be new and therefore GST may not apply.if you do…[Read more]

Trusts are not water tight, but I think they are the best vehicle out there for asset protection. If you are getting sued it would be no good buying in your personal name. if you had a trust (discretionary) it would help for a few reasons – firstly it is harder to attack assets if they are easily found. Having a trust with a company trustee will…[Read more]

That seems correct. Remember 366 days in leap years and same months are 31 days, so interest each month will vary.