You cannot prepay any variable loan. You would need to fix the loan for at least 12months (otherwise the rate could change and the interest prepaid will be too much or too little). IO can be prepaid

I beleive new land = GST.

I think it is pretty straight forward.
Deposit into a loan = repayment
Withdrawal from a loan = new borrowings.

From a tax point of view it makes sense too. You originally borrowed money to buy a house. You paid the loan down. Now when you take out the $40k what will you be using it for? the purpose is diffferent and this will determine whether the new loan is deductible or not.

Withdrawing = borrowing.

So if you took out money for a new PPOR purchase the purpose of this new borrowing is private so the interest on this portion woudn't be deductible.

eg You start of with a $100,000 loan and then come into $40,000 and pay the loan down to $60,000. You have $40,000 in redraw.

If you take this $40,000 out of the loan it is new borrowings and the interest on this new loan would only be deductible if used for investment/business purposes.

Had you used an offet account your loan balance would still be $100,000 (but you would only be paying interest on $60,000) so you would not have a problem.

Your solicitor should be able to draw an option up. You would generally need a contract of sale attached to the option so it wouldn't work with just submitting a standard option agreement.

Youc an do the same thing here.

Get a contract signed by the seller and then you delay in signing. You can only enforce a contract if you have the other person's signature. You can also exchange contracts subject to various conditions such as finance etc so you can back out.

You can also use options. This will give you the ability to pull out but lock the other person in. You can also assign an option to another person with minimal stamp duty.

A redraw is nothing like an offset. Money taken from a loan is new borrowings.

If you have paid money into a loan then you cannot get it out without tax consequences. Even if you move banks now you cannot take the money out without tax consequences.

BEst thing to do is to let the loan captialise if you can (becareful of bank classing it as missed repayments).. See an accountant to set something up. Maybe you can move to a new bank and set up a split loan. Use portion of loan B to pay the repayments on loan A.

With a hybrid trust people own the units of the trust. If you borrow to purchase income producing units then the interest would usually be deductible. This allows negative gearing in the trust.

But because you own the units when you sell the property they trustee must by the units back. The units would need to be bought back at market value which would be the value of the property in the trust. Thus the individual would pay CGT on the sale of the units to the trustee. The trustee would then sell the property and pay CGT as well. This is supposed to be a workaround so that 1 CGT is payable. But there are questions about this.

Because you own units in the trust you are exposed. Units are considered property under the bankruptcy act. So if a unit holder were to go bankrupt they units could fall into the hands of creditors. This is not the case with discretionary trusts as there are no fixed interest. If you were to go bankrupt the bankruptcy trustee could step into your shoes and he would only have the same rights as you had – to be a considered a potential beneficiary of the trust. A trustee would be crazy to distribute him any money though and could use their discretion not to.

It shouldn't matter how old they are. What matters is which one is going to give you the most profit. Tax is one small consideration, but the main one should be which will give the highest capital growth and the highest rental yield.

An older property may mean slightly less depreciation over the long term. This shouldn't make much difference to you as it also means items will wear out quicker and need replacement quicker too.

Generally there would be little problems until you are sued. Then it is too late.

After w whle tax problems will build. Rents increase over time and an individual will ended up paying a lot more tax – which is good as it means you will be makin more money, but there is little flexibility to reduce or mnimise this. This is why some people describe buying in your own name as a tax time bomb.