All Topics / Help Needed! / From Overseas

Viewing 5 posts - 1 through 5 (of 5 total)
  • Profile photo of hkinvestorhkinvestor
    Participant
    @hkinvestor
    Join Date: 2013
    Post Count: 2
    November 18, 2013 - 10:56 am

    Hi Guys,

    New to this forum and have a unique (i think) situation which I hope someone can provide me some guidance on.

    I will be moving to a strange new place overseas in 2014 for my job. After rent and living expenses overseas I have around AUD$2400 per month left over for investment/savings (dependent on exchange rate). My aim is to invest in Sydney and Adelaide as these are the places I grew up in and have the most local area knowledge on.

    My parents are reaching their retirement age next year and unfortunately still have a $200,000 mortgage in a $450,000 value house in Sydney. They unfortunately have limited savings and superannuation as well.

    Our aim is for me to take over the title of the house and mortgage and pay the rest of the loan on behalf of them. I will unfortunately have to charge them 'rent' to assist me with this mortgage. Hopefully they can get centrelink benefits during that time to assist.

    I have $20,000 in savings which can be used somehow.

    Does anyone have any advice on how I should approach this?

    I'm planning change their mortgage into an interest only loan to ease up the payments? I am not seeking any +CF from this, any extra will most probably go back to them.

    I want to know if anyone else has any other ideas on how I can approach this situation.

    Thanks and much appreciated.

    Profile photo of TheFinanceShopTheFinanceShop
    Participant
    @thefinanceshop
    Join Date: 2012
    Post Count: 1,271
    November 18, 2013 - 11:52 am

    Pretty straight forward but you will be up for stamping charges when you transfer the title to yourself. Have you factored this in?

    TheFinanceShop | Elite Property Finance
    http://www.elitepropertyfinance.com
    Email Me | Phone Me

    Residential and Commercial Brokerage

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,024
    November 18, 2013 - 8:21 pm

    Welcome to the forum HK and hope you enjoy your time with us.

    Yes fairly simple transaction although you will be up for stamp duty etc.

    Also make sure the Transfer goes thru at Market value as otherwise your parents might have issue in trying to claim Centrelink benefits.

    Should be able to borrow all of your costs.

    We are doing a similar deal for a Hong Kong forum client at the moment.

    Cheers

    Yours in Finance

    Richard Taylor | Australia's leading private lender

    Profile photo of hkinvestorhkinvestor
    Participant
    @hkinvestor
    Join Date: 2013
    Post Count: 2
    November 25, 2013 - 6:28 am

    Thanks for the responses,

    No unfortunately stamp duty is something I haven't thought about – I have never purchased/owned a property

    Because I will be situated overseas, I will not be eligible for the first home owners grant which is a shame.

    It seems that for my parents to actually claim centerlink payments, I will have to fork out the cost of stamp duty etc and transfer the title into my name.

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,024
    November 25, 2013 - 10:49 pm

    Just remember make sure your Broker knows the transfer should be done at market value too ensure your parents do not loose any of their centrelink benefits.

    Cheers

    Yours in Finance

    Richard Taylor | Australia's leading private lender

Viewing 5 posts - 1 through 5 (of 5 total)

You must be logged in to reply to this topic. If you don't have an account, you can register here.