Just think of it like a credit card you don’t pay back until a year or so later. You make payments, the balance goes up. Then interest is added monthly. the next month you will be paying interest on interest and so on until you start to pay it off.

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

Qualifying for low doc loans is not so easy. There are plenty that don’t for many reasons (Don’t have 20% deposit, not self employed for 2 years etc). Often their only choice is very expensive non conforming loans, or cheaper wraps.

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

The company I was referring to is http://www.hunterhousehunters.com.au

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

Depending on the LVR, Westpac often don’t even order valuations, but do an in-house valuation using comparable sales. Maybe you could dig up some comparable sales, and ask your broker to try for a revaluation, a small increase maybe possible.

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

There is no amount of time listed in legislation. Do a search on the ATO site and look for “CGT Determination Number 51. Capital Gains: What factors are taken into account in determining whether or not a dwelling is a taxpayer’s sole or principal residence?”

This may help.

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

Nope. Not in Australia anyway.

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

Yes, you should insure after exchange of contracts.

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

Deny it was you!

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

That’s a big thing to leave out!

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

Not really.

You will have to pay out money in stages, to council, builders etc, so the lender will have to advance you money in stages. Interest will accrue on the money advanced on the daily balance.
The only other way to do it is to capitalise the interest so you will not have to pay anything until completion. But this will result in a much…[Read more]

JLC, Someone else asked this questionr recently. The title is in your name until the wrappee makes their last payment to you. Your loan is securred by the proeprty.

I tend to agree with Calron. I have done 6 warps and would probably not do anymore. The cashflow sounds good in theory, but in reality there is a high opportunity cost as you are not…[Read more]

Why do you think this property is bad? Just because it is negatively geared?

Selling will cost money – agents fees, CGT, legals, and then more fees on the property you buy to replace the one you just sold.

Has this property gone up in value? Do you think there are prospects for it to go up in the future? If so, it may not be such a bad…[Read more]

You don’t need to be employed if you have enough of a deposit – but it would help greatly.

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

Another option is to sell your property to your trust or spouse. Stamp duty may be payable. But you could take out a loan to buy an investment, and the funds released could go onto your home home.

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

Billy

There is no easy answer. If you want multiple properties, you need multiple deposits. Getting a large deposit from the wrappee will help.

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

Landt

I think it depends on what sort of payments you are claiming. There is not much counted for the Family payment, but the are much stricter for everything else.

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

The good ones should be busy, but I know what your saying.

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

I don’t think you can claim travel expenses for a property you didn’t own at the time of the expense.

Borrowing expenses can be claimed over 5 years, not all at once.

Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Terry@discoverhl.com.au

Also consider what will happen in the future. You may gain some extra money now by saving tax, but in a few years you will be paying extra tax when the property becomes cashflow positive. And even worse, he you were to sell you would have to wear the whole capital gain yourself.

Terryw
Discover Home Loans
Mortgage Broker
North…[Read more]

The only low doc lenders that will not lend to a trust are:
ANZ
ING
Suncorp

Low Doc Lenders that will:
Bankwest
Macquarie
Adelaide Bank
Integris
etc

The problem you may be facing is that most low doc loans are mortgage insured and the mortgage insurers are picky about location. Therefore it is probably the area that is the…[Read more]