Ok Thanks Jamie. So if I wanted to know what was the average weekly rent for the last 5 years for a suburb these magazines should be able to tell me then? Thanks again for your help Alexia

Hi Jamie,

Thanks for your reply.
The LMI has been added on top of my loan which was for an IP –  The LMI is about 2k extra.

Just trying to work out how to treat the 2k from an accounting point of view?  

Thanks

Alexia

Thanks guys for all your advice.

I will take all on board and let you know the outcome.

Thanks again

Alexia

Thanks guys it's much appreciated!!. Just wondering is there a difference between the 2 reports – Residex & APM?Alexia

Thanks Caprivik for your quick response.I've been looking at Corio or Norlane as my budget is under 250 mark. I've also beening looking at units closers to the CBD eg Bell Park, Herne Hill, Belmont but the rental return isn't as high as other suburbs further out. I'll give thoses agents a call and we'll go from there I gues…[Read more]

Hi All,I'm currently looking at investing in Geelong at the moment. I was just wondering if anyone has any agents they could recommend speaking to in the Geelong area?ThanksAlexia

Thanks guys for your help.Coalstar, in your conditions above you've noted that you've had securing a lease prior to settlement – how would you word this in your special conditions? Just an example if you could.ThanksAlexia

Hi All,I'm in the process in getting my contract look at through my conveyor not lawyer which have special conditions in it. Nothing has been signed yet and this is my first property. (property is in Victoria)Here are the conditions which I've put in:Subject to:Finance on terms satisfactory to the purchaserValuation, to the approval of the buyer…[Read more]

Hi Guys,Thank you for your comments.I get where you coming from Terry.ThanksAlexia

Hi Terry,

Thanks for your response.

Lets say it’s a family trust and it’s making so much profit per year but not huge amount. By claiming depreciation it would turn your profit into a loss. I understand when your trust is making large profits it would be worth claiming it then.

Terry, what happens with all the depreciation you have claimed when…[Read more]

Hi All,Thank you for your response guys!Im from Victoria so what I've been told is that under the Purchase section –  Name part on the contract of Sale you put:Mr X & Mr J as tenants in common in equals shares or split ownership. Mr X 60% & Mr J 40%If it was just husband and wife then you don't have to put joint tenants afer your names as you will…[Read more]

Hi Guys,Bjsaust, thank you explaining that to me. It makes more sense to loan that bit extra to cover the shortfall. Like Terry said it would be a better option.Can you get an offset account attached to the 80% loan which is under the trust's name? The 80% loan under the company name would be treated as a business loan? Do bank's allow offset…[Read more]

Hi Terry,Thanks for your help.I was just trying to say that if you gift the money to the trust it becomes an asset of the trust.Alexia

Hi Terry,In regards to the asset protection aspects – If you loan the money it will always be an asset of the lender not the trust but if you gift the money to the trust it no longer belongs to you and becomes an asset on the trust books?Alexia

Thanks Terry.Great feedback. I think charging the trust the same interest rate as you is the way to go instead of gifting the money.  I never thought of it in that way Bjsaust  – your example above makes sense!Bjsaust, let me know how you go with your accountant!Thanks guysAlexia

Hi Terry,The interest from the LOC which I'm are getting charged would be the same as the interest the trust is charging back to me. So wouldn't the interest chgs just offset against each other –  The net effect would be zero anyway? Either way charging interest or gifting the money I still wouldn't be able to deduct it from my personal income…[Read more]