The Loc is a totally different loan product to a loan with an offset.

They are not the same and should be used in different circumstances.

Most investors would need to use both produxts at the same time.

They would look at the building works and the fixtures and fittings. There will be a value to all existing things such as stoves, hotwater systems etc and this may produce tax savings more than the cost of the report.

Some will tell you upfront if they think it is worth it. try BMT or Depreciator.

Adverse possession claims are pretty rare so there may not be many with direct experience.

Try to search for some cases and see who the lawyers were that were representing the parties

Sounds like you need to get some serious legal advice. But in the mean time look at unit trusts and companies.

HiJosh

The trouble is the transaction costs. The stamp duty etc and then more costs when they cash you out.

Also there are also many legal and tax complications.

With commercial the risks with tenants are higher than with residential so you would want to more carefully consider asset protection. Paying cash can be done, but would be more risky. A way to improve asset protection could be to pay cash indiretly by having a sepapate entity own the property to the entity that owns that cash – with a private…[Read more]

Hi Zen

If you were in the business of property – which would be rare – then you could claim these costs.

Zen again the answer is no. These expenses do not relate to the production of current income

Zen – no.

Do you need an acccountant or a tax adviser (many confuse the two).

Try Darryl who posts on here as RPI.

You can only pay up to 12 months worth and claim it this year.

But you can only claim if you have incurred the expense. You would need to be invoiced from your insurer.

Property settlement costs – depends what you mean – capital costs likely
Bank loan costs, = borrowing costs deductible over 5 years (or life of loan if shorter)
Conveyancer costs, = capital cost
Buyers advocate fees…. = Capital costs

capital costs are not deductible, but they can be used to reduce CGT when selling

Why ask a real estate agent?

You need specific legal advice on this – not from an accountant, but a lawyer. No financial advice needed as there are no financial products involved.

You need specific legal advice on this.

You are a probably a non-resident for tax purposes. A company must have at least 1 resident director.
A foreign controlled trust may be taxed differently too.
And some states will impose more land tax.

Bjoern I would never advise my clients to do that. What sort of rates did you fix at? Variable are generally lower than fixed atm.
What if you want to or need to move lenders?

thats it Benny

I lent my one to a client year’s ago and he lost it so I only recently bought another one from ebay!

I have that book by Renton. It doesn’t cover asset protection – just mentions it vaguely in less than 1 page.

if you want to see someone in Melb then try Allan Swan http://epeq.com.au/aswan.htm

Benny, I have that book.
It is called “own your Home year’s sooner without making extra repayments” by Gill and Therry

It is the best book that I have ever read on learning about the compounding of interest.

BUT the method described involves using LOCs and anyone implementing the ideas using a LOC would create a tax nightmare.

Fortunately the…[Read more]

Yes it is possible.

But the negatives are:

– hurts serviceability by having a number of credit cards
– if you forget to pay on time or accidently pay less you will start paying penalty interest
– you will be paying PI and not IO
– tax deductibility issues as easy to accidently lose deductibility of interest.
– if you use the card you will be…[Read more]

This is what they call cross collateralising securities – using more than 1 security for 1 loan. Very dangerous and should be avoided.