Or to put it another way, Bruno’s accountant almost cost him $56,000 on top of his other fees.

If you rented it out for 3 months and it was then your main residence, including any absence where you are still claiming it as the main reisdence then you can use the formula at s118-185 ITAA97

http://www.austlii.edu.au/au/legis/cth/consol_act/itaa1997240/s118.185.html

CG x non main residence days/ days owned

(i had the wrong section above -…[Read more]

Some more questions to ask yourself

– How much money would be released from a sale
– could you use this money to pay off non deductible debt and invest in a higher returning investment
– is the property affecting land tax
– is the property hurting borrowing capacity
– prospects for growth = what do you think the situation would be like in 10…[Read more]

Most lenders should be able to do over 45sqm.

If a purchaser has exchanged contracts but cannot settle the vendors should seek legal advice about issuing a notice to complete and then terminating the contract and keeping the deposit. They should have made sure there were persoonal guarantees in the contract and that the full 10% deposit would be owing. Once the contract is terminated write to…[Read more]

i’m Not in debt to legal aide can I request they remove the caveat..?
Do I have any legal rights to sue them for wrongfully placing the caveat on it ..?
can they sell the property without my consent..?

Yes – you can, but they may be entitled to have a caveat on the property
Yes – if they had no right to
Yes – they will need to appoint a trustee w…[Read more]

It seems you are an owner of the property next door and not the owner of the property they are renting. You seem to be talking about a noise complain which is different to a lease complaint. A lease can’t say that they must enter via a certain door. If they have leased the property they can use all of it without restriction.

Why not just get in…[Read more]

If he is on the loan then he would have an equitable interest in the property. Even stronger interest if he is paying it too. This would be taken into account in any property settlement relating to divorce.

If you don’t have a will he will probably get all of your assets under the intestacy laws (this will depend on whether you have children from…[Read more]

Stamp duty could be avoided if you were living their as the principal residence. For this to work your husband would need to buy 50% of your property from you at full market value. He could borrow to do so and claim the interest. Where the transfer is done for non consideration or undermarket value the full interest on the loan could not be…[Read more]

How can you make an offer without knowing the terms. You need to see a contract before making an offer. What if has conditions you are not aware of. What if there is a caveat on title, or an easement etc. I would also ask for a contract before making an offer.

And no one should take lending advice from a banker either!

Shuffling I think.

Banks are keen to balance their numbers so many are just changing exising investment loans over to O/O without any proof. Borrowers are wanting to get lower rates so are keen to say what the banks want to hear. This then makes banks look better in the eyes of apra

The developer will want the power to walk away without any obligation, probably no matter what the circumstances. It is really up to your negotiating skills and how bad they want the deal.

1. possible, but maybe unlikely
2. a put and call option would lock both parties in. Developers want an out if case they cannot do what they want to construction wise
3. safe in what sense? You will have no control, but will get to keep the option fee if it doesn’t proceed to a sale
4. yes, if your intention is to lock in the developer

Not a company structure, but could be 2 individuals such as husband and wife. No trust needed

Cartman, I think you are conflating 2 separate issues.

If A lends to B the itnerest is deductible to B if B uses the funds for investment purposes.
B would pay interest to A
B could claim the interest as a deduction
A would declare the interest received as income.

Where A is on a lower rate rate there are tax savings overall.

But don’t try this…[Read more]

you should never take tax advice from a banker!

It is the use that determines deductibility. If you borrow to buy a main residence and then move out and rent it the interest will be deductible at this point even though the purpose was to buy a main residence. the funds are being used to own an income producing assets and are therefore deductible.

No. It is just borrowed money.

depends on the state. In NSW a couple could potentially get up to 6 separate land tax thresholds. in QLD it is potentially unlimited.

If you pay the loan down to nil and redraw and invest you should be able to claim all the interest provided there are no detours.

If the loan is not paid down to nil then it will be a mixed purpose loan and you will have to apportion./