I think our new ‘anit terrorist act’ enables ASIO to do exactly that!

Terryw
Discover Home Loans
North Sydney
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It all boils down to keeping as much money in the account (loan or offset) as quick as as long as possible. This reduces the daily balance and hence interest.

My tune regarding LOCs hasn’t changed at all. I still like them!

Terryw
Discover Home Loans
North Sydney
[email protected]

Jen

Just ask for a copy of the contract. This will have the vendor’s name and address (sometimes PO box), and usually solicitor’s details. From there you should be able to contact them directly.

Terryw
Discover Home Loans
North Sydney
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I was just flicking through a contract book (Essential Contract Law by Monahan) and it seems that if a contract is in writing, then it is assuming it is wholly in writing, and any party seeking to rebutt this has to prove that the contract was not wholly in writing.(p. 45). The authority for this is State Rail Authority of NSW v Heath Outdoor Pty Ltd (1986)(NSW).

So in your case even if the vendor did instruct the agent that the pump was not included, this differs from what is on the contract (plant and equipment included), therefore the burdon of proof rests on the vendor to prove that he instructed the agent.

If any term of a contract is not clear, then oral evidence may be admitted to clarify meaning (eg. of plant and equipment)

Terryw
Discover Home Loans
North Sydney
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There are various share products available where you can borrow 100% with the ability to prepay interest. Macquarie Bank has a few of these products. If you prepay interest, you may be able to get your taxable income down and thus reduce your capital gains tax payable.

I am not sure about trees, a lot of people have been burned big time by investing in these sorts of products. With the Macquarie product it is 100% capital guarranteed. So if the shares go down your capital is preserved and you stand only to lose the interest paid – but this is partly offset by the tax deductions.

Terryw
Discover Home Loans
North Sydney
[email protected]

Cata

If a trust mortgages property, that may not necessarily mean a loan agreement.

If it did, and the individual was sued, that loan could possiblly be called it as it would be an asset to the individual. So the trust taking a mortgage over an individual’s property may not work if it was a loan.

I am not sure of the legalities of all this. A mortgage is really just a lien, or a security device over property (I think), and the loan agreement, if any, is separate.

A mortgage could be taken for a number of reasons. (I can’t think of any at the moment!)

Any comments?

Terryw
Discover Home Loans
North Sydney
[email protected]

I am not a solicitor either, but.

It seems there is a dispute over the interpretation of “plant and equipment”. The contract was with the vendor/purchaser, not the REA, so any communication should have been to you or to your solicitor not the REA. And this communication should have been done before acceptance of the offer (ie exchange?).

So I guess three issues standout:
1) does plant and equipment included a bore pump? If so,
2) can a communication to the RE agent mean communication to the purchaser. Maybe not, agent represents vendor
3) Did agent communicate that the pump was not included.

Terryw
Discover Home Loans
North Sydney
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There is really only one way to pay off a loan quicker. And that is to pay more into the loan as quickly as possible. There are variations on this with offset accounts and LOCs etc, but having a LOC on an investment property would be a disaster taxwise.

An offset account would be a good idea. Especially if they may need access to funds later on.

Terryw
Discover Home Loans
North Sydney
[email protected]

Its not something I would do, but I had a client today that wants a PI loan on his investment property. Some people are just more conservative and more comfortable with paying off debt.

Terryw
Discover Home Loans
North Sydney
[email protected]