Ok, I have watched the first video now and you mention move about non-recourse loans. Even where you have loans with separate banks if you default on one loan they can take the property secured by the mortgage and then if there was a shortfall they can then come after the second property, or other assets, even though they are not mortgaged. They will simply get a judgment at the supreme court to allow this to happen.

Thats like asking what the best food is. Ice cream – but not so good for breakfast perhaps.

This is not the case. There are no rates for CGT in Australia. The capital gain gets added to other income. It is also not financial advice when advising on capital gains, but tax adice.

You will owe the lender the full amount plus interest. But won’t need to pay it all back until the end of the loan term

If you pay more than the interest you will be reducing the loan amount – but might be able to access it for redraw.

Sorry, I can’t follow so best thing for you would be to get some proper advice

once drawn, partially even, interest starts to accrue. Once fully drawn the same thing expect you cannot borrow any further or capitalise the interest

You would need to repay the interest each month and if you want to repay the loan pay more than the interest. No need for a new loan to repay it.

most brokers could help with that./

Are you talking about USA finance. That term is not generally used in Aust.

If you have a LOC here the repayments are generally the outstanding interest each month

Some lenders allow this to be capitalised though.

Yes it would as it is your debt. best to have a company as trustee.

You would have an added issue too in that a trust is not a legal entity but is a tax entity, so could the trust claim the interest on your loan? I have a private ruling application in with the ATO at the moment asking this very question.

I also don’t understand what you are saying about the taxable loss.

Example 7
For a person with a credit blemish a Fixed Unit Trust could be set up to own property with person A owning the units of the trust and person B being the trustee.Person A would be the one with the blemish and once that disappears person A could become the trustee and the beneficial and legal interests would merge and the trust disolve – probably without CGT and stamp duty if set up correctly.
I did this years ago for a client with a loan involved and the lender did not check the trust deed very well and approved the loan on the basis of the income of person B only.

And another

Example 8
Very similar to the above. Person A acts as trustee for person B. B has the credit blemish in this case and the bank will lend on the basis of A being the legal and beneficial owner of the property.

At a later date title could be transferred without stamp duty and CGT being triggered if set up correctly.

This is a bare trust arrangement.