Please get proper advice before you do that.

Firstly there will be little asset protection, especially in the early years, because of the clawback provisions of the bankruptcy act.
Land tax may also be payable where it otherwise wouldn't be. If you will continue to live in the house, then there are many legal implications involved as well as tax implications. And losses of the trust cannot be used to offset personal income.

So, firstly I would see a lawyer. You will need them to do the conveyancing too. You will need to transfer from yourself to the trustees (even if still yourself), discharge loans and then reapply again. so you may be up for buy/sell conveyancing fees, loan exit and application fees, stamp duty and valuation fee (for stamp duty).

You will also lose the main residence CGT exemption.

Whatever you do don't join the two loans or you will create a tax mess and end up paying even more in tax. 

2 or 3 would be an option. Probably 3 would be better and put the $50k into an offset account attached to the new loan. If you use your cash now you may find you need it down the track.

can't give that up! But it is prime locations.

I don't know that it matters for your tax purposes. I think you can depreciate items based on their values – but not sure on this.

Banks will want to see 2 things
1. the deposit, whether 5% or 10%. You will need to physically be able to pay this

2. The genuine savings. Many lenders want to see you save up 3 or 5% of the purchase price over a number of months. Some lenders will treat rent paid as counting towards savings. Some may count other debt paid too – but i am not too sure about that.

You probably could transfer the property, but it will be subject to stamp duty and CGT (if investment). You will need specialist advice as you are covering 2 countries with different laws and difference tax treatments.

But, why not leave it as is? If you will buy more why not look at setting up a new trust and spreading the risk a bit.

Don't like your chances. Banks have no obligations to lend money or to meet deadlines. Nevertheless I would contact their complaints department and talk to them about it.

Its unfortunate that there is no CG – but really there is no point in owing property at all if there is no CG. Transferring to yourself will help a little with the tax deductions though, but it is not really a long term solution.

You can't just get rid of the trust. Your trust needs to sell the property to yourself = stamp duty, loan costs + legals.

Why not pay IO and put all cash into the offset account and then borrow equity, rather than using the cash, to pay for the deposit on the new IP. This way you will still have access to your cash in an emergency and will also have cash available for personal expenses. If you used your cash and then decided to upgrade your PPOR and had to borrow more money, then the interest ont his won't be deductible

Think about this for a second. If you lower the rent you will get a lower yield – but will this make your property grow faster?

I think what the magazine was probably saying was that generally lower growth properties, especially those in the country, tend to have higher yields.

5.9% is not bad – but it would all depend on where the property is. If it is in Sydney, then it is ok, but if it is a small mining town then it would be not very good.