Steamtrain

Having a trust would benefit in many ways:
– Allowing you to sell your property and yet still keep it, (like selling to the wife)
-Asset protection
-Tax minimisation

I wasn’t suggesting your sell your PPOR to the trust, but that is another option too. I mean’t sell one or more of your rental properties to the trust, put the proceeds…[Read more]

Have a talk to the ANZ complaints section first:
http://www.anz.com.au/australia/aboutanz/customercharter/resolvecomplaint.asp

I have had LOTS of dealings with them, sometimes they are able to help, other times they can’t……..

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au

Simon has some good advice above.

It depends on how far your plan to go. If just one property, then probably your own names, but if many more, than talk to your accountant about structures. But also talk to your mortgage broker too in conjunction as some structures will hurt your serviceability. eg getting one property in three names will mean,…[Read more]

JJ

You would not be able to claim the interest on drawing down funds on an investment property to pay down your PPOR loan. The ATO looks at the purpose of funds, not the security.

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au

checkout http://www.lawcentral.com.au for agreements.

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au

Hi

You could go for higher priced properties to get more cahsflow, or more of the cheaper ones. I guess it is less work with one big one rather than two small ones, but more risk as well.

I don’t think LOC loans would be allowable for wraps (installment contracts) as these would allow you to redraw repayments, or capitalise interest etc. Not…[Read more]

You should be able to purchase a lease cheaply, $25 or so.

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au

I think you should be marking up by 20% on purchase price and 2-3% on interest rate, otherwise it is not worth wrapping. On this sort of property that is around $430 per month

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au

Steer clear of American stuff on investing , it almost always has no value and will just confuse you with all the hype.

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au

Hi

Anything held less than 12 months doesn’t get the 50% discount on CGT, therefore the profit is income, and is just added to other income that you have earned that year.

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au

They can also be obtained for free by faxing baycorp with your details and signature. Takes about 2 weeks to get it via post.
I suggest you get your clients to get their own and provide you a copy.

If you want to check rental history, you will have to ring all their previous managing agents. Be wary if they say there was no agent and they were…[Read more]

I hope you are not basing your purchase on yield alone. Is it in a good area? Good growth prospects?

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au

I have some property in Japan, and am interested in China too. My friend has pruchased there and has made huge gains and positive cashflow.

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au

I have never heard of them either, could you please post some links?

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au

Hi

So you basically need more 100%+ finance? What happens if the developer can’t settle?

Your best bet is probably to just delay settlement. You have about 3 weeks from when you need to settle until, the developer needs to settle. If you don’t settle on the required date, the vendor usually gives you a few days, then they issue you with a notice…[Read more]

Hi

If it is a 12 month settlement you may be able to get your loan based on current value rather than purchase price, assuming you can demonstrate serviceability.This is with major banks.

I am confused why you would need investor finance?

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au

Hi

Yes it is confusing trying to decide what to do. Steven makes a good point that if you hang on to your IPs you can use the extra income to help pay off your home loan. But you will also lose some in tax.

If you sell, you may pay thousands in CGT. This could be minimised by selling one per financial year.

But, if you sell a property, you…[Read more]

And don’t forget that you will have to declare the repayments on the personal loan on your home loan application. This will eat into your serviceability as the repayments will be high due to the higher interest rates and shorter terms on personal loans.

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au

I agree with Simon, it may be possible to borrow, but it appears you may be overstretching yourself.

To borrow against a farm using a no doc loan would mean high interest rates and very low LVR. So this will eat into your return as well.

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au

I agree with Steven, this will not help your serviceability and will actually hinder it! There may also be adverse tax implications.

Terryw
Discover Home Loans
Mortgage Broker
terry@discoverhomeloans.com.au