Hi all.
I’m new to propertyinvesting.com. But excited to be making my 2nd post!
As the subject suggets I’m interested in inquiring about entitlements/laws governing international purchases of property with an Australian based entity/trust?
I’ve recently established a family trust – because my accountant told me it was a good thing to do
As I’m recently discovering, through heaps of reading (ala Trust Magic), that a trust is a tax effective vechile for attaining property.My wife and I recently moved to Europe (work/travel before we commit to kids
) – fortunately have an EU passport also which was granted to me via my Mother’s orgin).I’ve recently been exploring the possibility of purchasing property here in Europe.
My two key questions are as follows:
1. Has anyone had any experience in attaining property overseas in Europe from an Australian based Entity. If so/not what were the dynamics/logistics/restrictions, etc of the entities/structures involved?
2. Has anyone seen/heard or better yet, successfully achieved, a Vendor Finance / WRAP deal in European property? If so, I’d be interested to hear of people’s experiences. I’ve recently invested in Steve McKnights Wrap Kit (and can’t wait to receive it). So I’m starting to think if I could apply any of these principles in Europe. Any insights on this matter would be most appreciated
Looking forward to some responses.
In order to acquire property by way of a loan in Europe [or any country] with a foreign entity, the entity must have sufficient assets to secure the loan.
The loan originates in the country where the entity is registered – unless the entity retains sufficient foreign assets.
For example, based on the scenario outlined, you would borrow funds from an Australian bank or other lender, which are secured with assets in Australia. The funds are then invested in property in Europe.
If the loan defaults, the lender liquidates the Australian assets.
The principles of vendor finance, as they apply in Australia, may vary in European countries. Therefore it would be advisable to speak with a property lawyer or other professional before proceeding.
— Michael
As I’m recently discovering, through heaps of reading (ala Trust Magic), that a trust is a tax effective vechile for attaining property.
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