I've done a deposit bond when using a trust. Cannot remember who I used now. Anyway, it is not really necessary to tell them about the trust anyway. just get the bond in the trustee''s name

I had one of these this week. client failed to mention their car loan, and the lender found it on their credit check. They didn't seem too concerned about it, just asking for the details are proceeding.

No, I don't think it would be possible. What you could do is get your parents to access the equity and to lend or gift you the deposit for your property.

What you would want to do is to make your new IP loan for the trust as high as possible and use any spare funds to make the PPOR loan as low as possible. A simple way is to cross collateralise. This not ideal, but may be ok for a few years until the IP increases in value and can be released.

Another way is to settle on the PPOR first and then use a LOC against this place for deposit to lend to the Trust for the IP. Then net result should still be the same but without crossing. Since your trust is buying your property, timing shouldn't be an issue. You just find the new PPOR first and then settle everything on the same day.

And make sure you get very good advice on the HDT setup, or your deductions could be denied by the ATO

Technically you should fill in the statement of financial position as of the date you sign it, if you have not accepted the NAB's loan offer, then you don't really have the loan yet. You also don't really own the property yet as you have not settled.

BTW, there is an exellent thread on this topic on the somersoft forum.

Thanks Elka, knew I had read it somewhere – but as you said it may not apply here.

But the 6 month overlap rule may apply – Karen may be able to claim both as the main residence for a period of 6 months. See Elka's link above for an example.

Trajik

I recall reading somewhere that you can still class a place as your main residence as long as your live in it as soon as practical after settlement. have you heard of this before, or am I imagining it.

It will be hard to find a FP that recomends direct property. You could try Richard, QLDs007 on this forum, he is both a broker and a Financial Planner.

Hi Boshy

If the broker can give you a copy of the valuation, then they are probably mortgage originators/managers. ie They rebadge wholesale funds. These sorts of loans are usually covered by LMI no matter what LVR and exit fees tend to be high.

You ask about the accountant. I would say you should seek advice because it is not necessarily the best idea to buy in the name of the highest income earners name. What happens if you make a $100,000 gain in 12 months and decide to sell? = a heap more tax. What about the benefits of using a trust – reduced tax and asset protection – and the negatives (land tax and losses), you need to get advice on these matters so you can then decide which is the best structure to purchase in.