it will probably improve serviceability slightly because the assessment of existing loans is generally over a term excluding the IO period. e.g. a 30 year loan with a 5 year IO term will be assessed as a 25 year PI loan. Buti f you are 2 years into it and convert it to PI it would be assessed as a 28 year PI loan. The longer the loan period the lower the repayments will be.

You should probably speak to a broker about working out your borrowing capacity before you start looking for deals as if you can’t borrow then you are unlikely to able to buy (without getting creative).

depends. It would be either CGT or income tax depending on the situation.

Don’t forget the GST aspects.

perhaps, but consider what the consequences could be.

movement of capital from a trust doesn’t in itself trigger tax. Only if it is income or capital gains will it trigger tax – consider stamp duty too.

If you have lent money to the trustee how is this documented? Is there a written loan agreement? If this would would have the terms of the loan. If not it is an oral contract and this will cause various issues.

Why do you think the government will be upset?
Why do you think a lending must incur interest?

Limitations act is state based legislation which says an action cannot be brought after a certain period of time. e.g. if you make an interest free loan to me and there is no movement for 6 years you will be unable to sue to recover – nsw law.

ATo are only concerned about deductibility of interest.
Transfer of cash generally doesn’t trigger tax.

You should consider the legal effects
– is it a gift or a loan?
– how is it documented?
– if a loan what is the interest rate?
– limitations act
– who the trustee is
– what happens if you lose control of the trust?
– what happens if you die?

If you are not registered for GST you cannot add GST to goods or services

1. Not really because rental income would need to be paid if you didn’t live in it. very ball park figure though.

2. title will show legal ownership %. If this is to be varied due to some sort of agreement the terms of that agreement will need to be evidenced.

If you meet a condition of release you could possible access super.

Could be a ruse to get you to lower the price.
You could either
a) reduce the price by $25k
b) stand firm
c) lend them the money, or
d) meet half way

You need to consider whether you could find another buyer for the same or more.

I became a broker because I wanted to get paid for my own loans. But these days it would cost you around $10k to $20k to become a broker plus the ongoing costs would probably make it not worth your while unless you wanted to start a business.