Another option would have been to offer the agent a % of the money saved. eg 50% of every dollar saved under a purchase price of $250,000. If the agent negotiated it down to $240,000 they would get $5000.

Terryw
Discover Home Loans
North Sydney
[email protected]

I personally would not touch retirement homes. You may be able to get higher rental yields, but the growth would possibly be not as high as standard residential, they are also harder to resell and, as already stated, hard to finance.

Terryw
Discover Home Loans
North Sydney
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Hi Cajun

I would be wary of setting up a Hybrid trust online. It would be best to go to an accountant at first.

If you are looking for a property, you could get a loan approval in your name only and latter provide the copy of the deed. Make sure yu tell them up front that is what you are doing as some banks won’t lend for trusts.

But whatout, as some states require the trust to be actually setup before you sign the contracts – otherwise you could have to pay double stamp duty. Talk to your solicitor about this.

Terryw
Discover Home Loans
North Sydney
[email protected]

Maybe you mean change you existing discretionary trust deed to a hybrid one – before you actually buy anything?

If so, some of my clients have done this and it nearly costs them as much as the original deed. It might be better to just keep the old one and get a new additional hybrid trust made up.

Terryw
Discover Home Loans
North Sydney
[email protected]

Forgot. Another option would be to use an ‘option’ as this would limit your risk to the price of the option fee. When done, you could just assign your option for a fee. If done correct, there would be no stamp duty involved.

Terryw
Discover Home Loans
North Sydney
[email protected]

Yes. But they will ahve to declare the money in there tax return (some people actually forget this bit). And work has to actually be done for the money and it must be reasonable.

Terryw
Discover Home Loans
North Sydney
[email protected]

Misty

I think you are a bit confused. CGT is applied to the gain in the value of property. If less than 12 motnhs the gain is just added to your income (less some deductions), if over 12 months, you can get a discount and only 50% of the gain is added to your taxable income. So how much tax you will pay will also depend on your income for the year.

Terryw
Discover Home Loans
North Sydney
[email protected]

I agree!

Terryw
Discover Home Loans
North Sydney
[email protected]

That’s ok.

I might add, that you may require larger deposits as time goes on. ie it gradually gets harder to get finance, but it is always possible.

Terryw
Discover Home Loans
North Sydney
[email protected]