Why would you use a conveyancer? Use a lawyer as it sounds like you need legal advice.

Why is no money being exchanged? What are the various legal implications of this – bankruptcy clawbacks, estate planning. eg. if you die within 3 years the transfer could be voided in some circumstances. If the transferor goes bankrupt the transaction could be undone – possibly indefinitely.

Tax implications….

Why pay the $200k into the investment loan. Have you considered just using the offset. Once it is in the loan there are tax consequences if you need cash again.

If you sell your PPOR and buy an investment you will be losing the CGT exemption. Are you aware of the 6 year rule – could rent out PPOR for 6 years and still class it as main residence and avoid CGT.

And don't forget GST.

Yes. And the cash you would have used to purchase the carpet would go into your offset account on your deductible home loan which would save you interest.

So you are saving non deductible interest and maximising deductible interest
Saving tax in 2 ways.

Yes it is generally better to borrow to pay for all investment related expenses, including furniture.

At end of day landlord responsible to provide working toilet. But try to ascertain the cause. maybe tree roots? happened to me recently.

I know of one bank which indirectly allows borrowing of 100%, or even more. But you would need some money to get started.

I wouldn’t worry about them stealing your money in this instance as it would be you who would be borrowing their money with the bank taking the risk.

Hi Ross,

You don’t need title insurance, but it is good to have if something goes wrong. Do a google on “black v Garnot” . No way to protect against this sort of thing other than lodging a caveat on exchange.

Conveyancers really are just for ‘conveying’ the title. lawyers can do this but also have more extensive legal training in relation to property law and other areas of property.

What if the property you are buying is 'stolen'?

Or if a creditor of the seller where to put a writ on title after you exchange but before you settle such as in Black v Garnot? You could hand over the money and then not be able to register the title!

And, why are you using a conveyancer and not a lawyer???

Yes, as a lawyer I can set up SMSF and provide legal advice, and I am in the process of registering as a fin planner so I will be able to give financial advice and provide a Statement of Advice (SOA) as well (soon). I can also provide taxation advice and estate planning advice. And I can also provide Finance advice as a mortgage broker as well.