Hi, I am just about to embark on my IP journey. However before I commence I want to best understand the things that I should put in place.
One burning question I have is whether to operate through a trust or other type of setup or operate simply under my name.
Would appreciate from those that have advanced further than I some comments about what you would do before actually purchasing your first property to ensure setups were correct.
particular interested in comments along the lines of – if I knew what I knew today this is what I would do and why based on my experiences….
Thanks
Tigers13Hi there Tigre13,
you have asked a very broad question that can’t be simply answered.
If you do a search on ‘Trusts’ and ‘Company’ on this forum, you will find posts galore on this subject!
Once you’ve read some of those and have more of an idea you can formulate where you want to go and then you can put inplace your structure (before you buy, of corse).
sorry, but that is quicker than going thru every possible scenario.
Cheers
C@34Our greatest weakness lies in giving up. The most certain way to succeed is to always try something one more time.
– Thomas EdisonDon’t let reality be the benchmark for your Dreams
You must set up your structures with the end in mind.
What are you long term intentions? What will your property portfolio look like in 10 -15 years time?
How many properties will you own, where will they be situated?
It is difficult (expensive) to change the ownership of your structures later, so even though it may be hard to justify the costs of certain structures such as company/trusts for your first property, think of the big picture.
Michael Yardney
METROPOLE PROPERTIES
Author of Australia’s leading property e-magazine.
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FREE subscription http://www.PropertyUpdate.com.auExactly Michael
You must start with a goal in mind, but be able to change if necessary. The correct structure is important and must be flexible enough to be able to change with you.
What are your long term plans?
What is your investment stratagy?
What are the risk factors involved?
What are the benifits of each structure for you?I could go on
Hope this helpsCATA
Asset Protection Specialist
[email protected]Setting up a trust wil not cost you much. running costs are virtually nothing, but you have extra land tax to pay. So worst case scenario, if you set up a trust and buy just one property – it may not cost you much more, but when you sell this proeprty, it could save you thousands of dollars in tax. Not to mention the asset protection side of things
Terryw
Discover Home Loans
Parramatta
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