It is now very tough to get finance for this sort of thing. eg Just getting a LOC is hard as the lender will want proof of where you are going to use the funds. If you say you are not going to invest them, but to live off borrowed money they will not lend in most cases.

A way around this is to borrow to buy shares which are high yielding and to live off the dividends – can also possibly margin these shares and buy some more and live off more dividends while letter the margin loans capitalise.

Another method is the old cash bond. ie borrow to buy an annuity and live off the income from that.

$30,000 profit less purchase costs and selling costs, and maybe holding costs, then divide this by 2 if over 12months.

This will be the taxable gain which is added to your other income.

The amount of tax payable wouldn't be very much at all.

Playing the ATMs is a good substitute to the pokies. The are the ' no arm bandits'  (as opposed to the one arm bandits!)
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Jokes are getting lamer as i run out of material, sorry.

Johnchristine are you aware that this is an australian site?

3 posts with 3 ads for your business

If you work in IT as a contractor you should already have an ABN and could use that as proof of employment for a low doc loan. But you may also qualify for normal loans if you can produce 2 years tax returns. Low Docs have some drawbacks such as LMI

The longer the ABN the cheaper and better low doc loan. You will also have the employment option as well.

No, just go on your own. Jointly borrowing will hurt serviceability later. Also beware with adding or naming or distributing to parents from a trust as it can affect centrelink entitlements.

Equity = Value – loans.

If your house hasn't been built yet, then there is no value. So you will have to wait.

Even after being built you may not be able to utlise the equity. Banks will only lend a percent of a property.

Having a trust is a good idea, but it will not help at all in the borrowing of money. Probably your biggest obstacle will be coming up with the deposits rather than serviceability.

At the risk of sound old, I agree with you wealth. Young people just want everything now.

I read a bit of that website.

It seems they offer a 20% return min pa over a term of 5 years. What is 5 x 20?