Don't want to make you worry, but if you are locked into a contract and your finance falls through, you could be in trouble. You should always not go unconditional until you finance is fully approved.

Hi WClets think of an example. house sale price is $80,000, but the contract is bumped up to $100,000 with a $20,000 rebate if the settlement occurs by xx/xx/2008. Bank sends valuer out and he sees the contract price as being $100,000. He may value it at this amount. Bank then lends 80% which is $80,000. So the purchaser is getting 100% finance -…[Read more]

Hi PkalBy putting it in your son's name, you might avoid taxes altogether if it is his main residence. He may also get the FHOG and stamp duty exemption. This may help your son in his own investing – especially if you let him mortgage it! Not sure what you mean by saying the property is in your son's name but nominating yourself on the contract.…[Read more]

Hi LukeSounds like a classic rebate.Say you sell for $100,000 with a $20,000 rebate, then the real sale price is $80,000.

bardon wrote:
Maxxy, your name doesn't have to be on the title but it does have to be on the loan to get -ve gearing. The title can be held by another entity eg a trust.

Hi MaxxyIf a trust owns the property, then it is the trust that claims the interest. The only exception is if the trust is a unit trust or a hybrid trust and the unit holder…[Read more]

Yes, family members can still make a claim on his assets, despite what is in his will, if they feel hard done by. Trust assets do not form part of your estate when you die, and so can't be willed. But transferring them to a trust now will mean they are being sold and so you will have stamp duty, legals, and CGT on the investment. PPOR in a trust…[Read more]

Try Bankwest too

There are many things to consider- such as why have 2 directors = twice the risk and inflexible with borrowing. – In NSW there is no land tax free threshold for trusts, so you will be paying more with a trust.- Trusts cannot distribute losses.I still think that discretionary trusts are worthwhile, but they can be painful in the early years,…[Read more]

Just put deposit bond into google and you will come up with a few:http://www.google.com.au/search?q=deposit+bond&ie=utf-8&oe=utf-8&aq=t&rls=org.mozilla:en-GB:official&client=firefox-a

So you have given a rebate? This is common and you must take the rebate into account – I am not sure where you would do this, but think the sale price would be adjusted down to reflect the actual price paid.

There is one advantage of having lived in a property prior to renting it out and that is it may be exempt from CGT if sold within 6 years and you can claim all the usual rental expenses as well.

I am fond of the idea of living off equity. Whether it is better to sell or borrow would depend on your view of the future of the market i think. If you think it will be flat, then it may be better to sell. If you feel that growth will be great than the extra interest incurred, then it may be better to keep.No Docs and even Low Doc loans are…[Read more]

I think it depends on the state you are purchasing in and your negotiation skills. Some states allow the deposit to be released if the purchaser agrees. But buyers would be wary in releasing the deposit in case things go wrong – it would be difficult to recover if you spent it and then couldn't settle!

Looks like Macquarie Mortgages have just put up their Low Doc loan rates again, as well as the full doc rates. They have their clients over a barrel – high exit fees, and they are not looking for anymore loan customers, so what have they got to lose:1) Verified Income (full doc) loans Existing business and pipeline loans Borrower rate…[Read more]

Forget uni! Now that I am old and have the benefit of hindsight I wish I just left school and started earning money straight away and investing. If you can save $50,000, then you are doing well and could continue to do so.If you really like law you could get a job in a law firm as a paralegal and study while working. you can study law via distance…[Read more]

I wouldn't bother doing any course at all. Everything you need to know is out there in this forum and on the internet. Save your money for investing.

If the lender sees the vendor is gifting the deposit, they may say the real sale price is the contract price less the gift. Maybe you need a third person to gift the purchasers.

Hi GrantThere would be a few ways to structure it depending on whether you want the money back or not. If you want the $30,000 back then you will need a loan agreement. The sale price will be $300,000 with a separate loan from you to the purchaser for $30,000. Banks should be fine with this as long as it is declared as many lenders now allow the…[Read more]

St George lends for units over 25sqm at up to 80%. I think most other lenders and the mortgage insurers restrict lending above 80% LVR at around 45sqm.

If you are selling properties as a business then you may be deemed a trader and the properties as trading stock. Then CGT would not apply, normal income tax would instead.