Your picking a bad time to start broking! Clients are down and so are commissions while regulation is increasing.

Most aggregators require MFAA membership which in turn requires 2 years history in the industry.

Exactly as I was going to write – except you can still do one applications and still avoid CC.

If think some are getting frustrated that others would even consider that this sort of thing is genuine.

It just doesn't make sense.

Thats a good loan, but if you want to pay interest in advance you will need to fix the loan for 1 year. You can't pay interest in advance on a standard loan like that.

SMSFs are good, but may not work for well for what you are after. The equity in a property in a SMSF will not be accessible for further investing, this is probably the major draw back.

With a discretionary trust, there are some drawbacks, but it will make things so much more flexible than buying as tenants in common. Worth looking into.

I just reread you posts and I think it may not work like you are suggesting.

For a start if you have a vacant block of land now, it may not qualify as the main residence (as there is no residence). But maybe this won't make a different as you will be moving into one later after it is completed.

Then say the land is worth $500,000, only half of this (or whatever % portions you actually use) will be for the investment property.
So $250,000 for land
$250,000 for build
= $500,000 cost base plus some other costs (stamp duty, legals etc)

sell for $700,000

= $200,000 profit

50% CGT discount (if held more than 12months)
= $100,000 CGT

This is added to other income, so max tax payable if you were on the top rate would be $48,000.
It will actually be less as you can take into account interest, rates etc and other holding costs.

Also you must consider GST. Because you are selling a new property you must charge the purchaser GST, another $50,000 less GST paid for on construction, $25,000 = $25,000

All up abotu $70,000 maybe.

Assuming you own the land out right, you will have a loan of $500,000, and then sell one property, with the remaining property being $700,000 in value = 71% LVR. You will then have $700,000 cash in your hand, less costs.

But really half of the loan will be for the IP and half for the PPOR, so $250,000 loan each. Because it will be on one title until settlement of the sub-division it will have just one security, but I think you should stil split the loan into 2 to take advantage of the fact that half the costs are for the investment.

Then at sub-division you will have 2 loans with 2 properties. $700,000 value each with $250,000 in loans each. Sell 1 and you will discharge the $250,000 loan B, you will have $450,000 in cash. You can take $70k for taxes and still have $380,000. Use this to pay off the remainng loan if you want and still have $130,000.

These are rough calcs and are probably wrong as I am watching a movie while typing, but you may get the general idea.

Tax on sub-dividing is very complex. I can't understand it all either. For some good info see http://www.bantacs.com.au/booklets/How_Not_To_Be_A_Developer_Booklet.pdf

And before you start doing anything I suggest you get some expert advice in writing. One mistake could cost you tens of thousands of $$ so it is worth paying for some advice.

You are essentially just selling half of your holdings, so will have a large amount of equity built into the remaining one.

Good news Greyskull!

you should also consider that you are borrowing to build a PPOR property. This is not deductible.

Refinancing is paying one loan out with another loan. You could do that or stay with the same lender and just asking for another loan. (has to be the same lender) . Make sure they understand you want a separate loan number. The lender will charge you a few, maybe, and then assess you and then send out the valuer and then the paper work – if approved.