mentobe wrote:
Hi there oneworldBlocks of units yer lets talk about them.They are great cash cows if you buy them at the right price.blocks of units are exspensive here in wagga and i have noticed that the money that investors are wonting for them work out to be the same as if they were already strataed there for then its  not worth the trouble…[Read more]

If the bank is financing your brother using the property as security then the bnak will not hnad over the funds without receiving the deed and transfer documents.  This is normally done simultaneously and called settlement

Bear in mind that local prejudices about a particular street or area often are out of date ie if a street had a bad local reputation 10 years ago, the locals possibly perceive that reputation to be current even though the problems might have been dealt with.  It can be a good way to make money.  I have an IP where a year before i bought I read a c…[Read more]

If you are in Victoria there is no stamp duty on transfers between spouses.  I think Terry is right.  Unless your existing house will be a great investment you could be better off to sell and then purchase an IP using the equity in your new PPOR

Check Council and government charges.  In NSW there are development levies.  GST would probably be applicable.  Chek if you can use the margin scheme.Fencing would not be required legally unless it was a condition of council consent

If the new property is such good value or represents your lifestyle dreams then maybe you should sell your existing property.  This should mean you could buy the land and then focus on building up savings so you can look at construction later on

Dubbo

Look at values rather than percentages.  I bought an IP some years ago – 17% discount on initial asking price.  INitial asking price was still good value. IP a few years later.  I assessed the value at $X, passed in at auction.  Later that year I purchased for about 2/3rds of $X.  7 years later property now worth between 2 and 3 times $X, gross…[Read more]

Mining towns can be high risk.  Not only are they affected by the national/local economy but mines are also affected by international events, exchange rate fluctuations etc.Don't think that just because the company controlling the mine is big that it won't close the mine eg BHP – RavensthorpeMining workforces are mobile, often employed by…[Read more]

Good news!  On your scenario you will be taxed as adeveloper, so no capital gains tax, you will just be taxed on everything you make.  Don;'t forget GST either.

My suggestion would be to consider agreeing to sell the property to your son by entering a contract at the smae time as you buy it.  This would eliminate CGT years down the track.  Contract terms could cover it so that he pays all expenses in relation to the property including interest on your mortgage.

That's pretty impressive.  What due diligence have you done ie construction costs, sale prices, exit strategy. 

PC_Melbourne wrote:
Based on what you have said, and assuming your husband makes a good income & the company paying him is up for it. – Get salarys paid gross into a family trust. At tax time distribute ALL family trust monies to all members of the family including the kids. This will assist in overall tax minimization if the income can be paid…[Read more]

How do you calculate being able to afford to pay a $420K loan on $1000 per week even if interest only

Bear in mind that you and your partner can ony have one PPOR between you, you can both elect whether it is yours or your partners otherwise it is 50% for each.  You need to do the figures to see which way to go on claiming PPOR.

You sya your partner has a house too.  If your partnerw ould be entitled to claim that house as a PPOR for part of the time you have been together then you and your partner would have to elect which house had PPOR status or half of each house.  Otherwise your real estate agent is correct although you should have a valuation done in case you are a…[Read more]

There's quite an interesting book Debt & Delusion which was updated a few years ago  http://www.debtanddelusion.com/Certainly might be something to factor in to your risk management

The simplest way (for them) to minimise CGT is for them to be living in the 1988 house as their PPOR when they die, then the children have 2 years to sell it without incurring any CGT.Your solution needs expert advice

Seek professional advice.  There may also be a CGT liability on one or both of the houses.  You have not given enough information.

I prefer API