Milk comes from cows, Steve is not a cow. He is a soyabean!

Terryw
Discover Home Loans
North Sydney
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I am not an accountant, but ….

1) A discretionary or a hyrbid trust. or a unit trust with units held by a discretionary hybrid trust etc

2) saves tax and for asset proection

3) yes, probably all except your final main residence

4) you?

5) Trust deeds can be pruchased for as little as $175. Some states also charge stamp duty. When doing you tax return, you will have extra expense of doing a return for your trust. This could cost $100+, depending on what assets the trust has.

6) tax savings and assett protection and flexibility.

Terryw
Discover Home Loans
North Sydney
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Hi

What sort of loan you have has no bearing on whether you can claim the interest or not. I would think if you get the FHOG, you could still rent out some rooms and claim a portion of every cost, including interest and depreciation BUT you may end up paying CGT when you sell.

Maybe the perion involved could rent out some rooms for 6 months while living there to legally qualify for the FHOG and to then move out and rent it completely as an IP. But there are also large CGT implications here too, because if he/she lived in it for 6 months intially as their main home and then rented it, they could still calim it as their main home for a period of 6 years while renting it out. So if they sold dduring this period, there should be not CGT. Having only a portion of it as you main residence, may mean only that portion is able to be claimed as their main residence during this period.

Better talk to an accountant about this before you do anything.

Terryw
Discover Home Loans
North Sydney
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Off the top of my head, probably the main ones would. Some may even require 6 months if your previous job was in a different industry. Some low doc/no doc loans do not have these requirements though.

Terryw
Discover Home Loans
North Sydney
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Depends on how risk adverse you are. Some people are really conservative and buy one at a time, others just buy as many as quickly as they can. Remember the earlier you own a property, the quicker you can acceess the growth.

Terryw
Discover Home Loans
North Sydney
[email protected]

I beleive this has happened a lot more than the article indicates, but banks wanting to avoid bad publicity has decided not to alert police or prosecute offenders.

Terryw
Discover Home Loans
North Sydney
[email protected]

The offset account doesn’t change you loan balance, so you will still ahve to make the minimum repayments. You will not be charged any interest if you have more in the offset than in the loan, so all of the repayment would be going to reduce the principle. If you change your loan to IO, then you may be able to just let the balance hover if you have an equivalent balance in your offset account.

You avialable redraw limit should be constantly increasing as you loan is being paid at a faster rate than normal.

Terryw
Discover Home Loans
North Sydney
[email protected]

You should probably be looking at trusts rather than ‘business’. I think this is just a generic term, you have either indivifual name(s), company or trusts to use to purchase property.

Whether you can buy more properties would depend on your income as well as equity.

Terryw
Discover Home Loans
North Sydney
[email protected]

Hi Start and Wayne

Yes, it varies between banks and can go as high as 3.1% of loan amount!! It also varies depending on whether the loan is PI/IO, amounts over $300,000 or over $500,000 and whether investment or owner occupied.

as a rough guide:
80.01 to 81% 0.41
81.01 to 82% 0.41
82.01 to 83% 0.56
83.01 to 84% 0.62
84.01 to 85% 0.72
85.01 to 86% 0.84
86.01 to 87% 0.95
87.01 to 88% 1.01
88.01 to 89% 1.12
89.01 to 90% 1.16
90.01 to 91% 1.54
91.01 to 92% 1.59
92.01 to 93% 1.78
93.01 to 94% 1.85
94.01 to 95% 2.04

Terryw
Discover Home Loans
North Sydney
[email protected]

I would say no. CGT only applies to assets held more than 12 months. But the profit will be classed as income and will be taxed the same.

Terryw
Discover Home Loans
North Sydney
[email protected]