Thanks TheNewGuy

I cannot find any records of that unit.

Most recent sale in the building, from what I can find, is unit 41 for $55k in Oct 15.
Unit 114 for $44,240 in Sept 15
Unit 111 for $34,000 in Sept 15.
Unit 103 for $23,000 in Apr 15.

Pity the link in the first post doesn’t work anymore as if we had the address we could have done an RP data search.

It can be a good idea, but the interest on the loan will not be deductible because you are not borrowing to purchase the property.

However the interest could be deductible by starting out with a related party loan and then refinancing this, and/or if you use the borrowed funds for further investments. Speak to your tax agent or tax lawyer first.

Think of the dangers that are out of your control
death
family law
incapacity
bankruptcy
running away

of the other person.

I had a client approach me where the female invested in a property with a boyfriend. She used her parents house as security for the purchase. After a year or so the boyfriend did a runner. She had to keep paying the loan as…[Read more]

The trustee must exist before it can start the trust relationship.

Sounds like the caused their trust to lend money to a building company. Eddie – the trustee have security for the loan, any personal guarantees? It is highly likely you will lose the lot, if no security, so be careful will spending big on lawyers.

You can try http://www.certuslegal.com.au/

It might be worth asking the lender for the fee to break the loan? Just to find out and then work out if you think it is worth breaking.

If you invest the money elsewhere you will be earning money which will then be taxed. Whereas if you deposit it into the home loan you are saving interest which is tax free. If your rate is 5% then you would be…[Read more]

Do you have a fixed loan?

And carelessness. I forgot to pay my cc last month being about a week over and I copped a $67 fee.

Benny is right. Cash withdrawals attract no interest free period.

That link goes to a link concerning data matching. I don’t think that is the ‘why’ but it is a tool.

I think the reason why they are chasing is because of tax fraud. many people have pretented to be living in a property when they were not, or vice verson pretending it was rented out while living in it. Also there are more than a few foreign…[Read more]

Yes that is possible in theory for a security guarantee. you won’t find a lender willing to take you as an income guarantor – or at least it will be very hard.

Try Allan Swan

If there is an appointor then the appointor may have the power to remove the trustee. Read your deed and see what happens if the appointor loses capacity or becomes bankrupt, or dies. Any exercise of power must be valid and performed strictly in accordance with the deed or the removal of the trustee will be invalid.

far from bullet proof. It is…[Read more]

If the husband ends up bankrupt he can no longer be director. The company is a separate legal entity to the director, so there would generally be no effect on this. The trust is a different matter. it will entirely depend on the terms of the trust and how it was transacted. Assuming no breaches of the trustee’s powers, no default beneficiaries and…[Read more]

That is up to the parties to agree on. It would generally be the wrapee

Two directors doubles the risk as there will be 2 personal guarantees as well as other potential issues such as breaches of the corporations act.

I can’t say whether you have set the trust up correct or not based on the above.

You not only need an option agreement but a contract of sale. The terms of the eventual sale need to be determined up front. You will also need a lease. If you are trying to get your tenants to pay rates and other expenses you need to be careful because under the residential tenancies act, in some states, these costs may not be passed on to a…[Read more]

Richard, wasn’t there an exemption added for offset accounts about 5 years ago?

Savings accounts are financial products I think. You may need an AFSL.