Terryw wrote:
 I would think it may be wise to put the money back in the loan (if you have redraw), then when you want to use it for investment you reborrow it again.

Of cause. That's exactly the right solution. I just couldn't think of it. Thank youElka

Thank you, I didn't know that.  Still, they could be up for paying some of the CGT out of their own pockets couldn't they, assuming no other assets? 

Hello TerryFrankly, I am not sure. I will try again. I don't have any non deductible loans. Both my loans are for IP's but being a "bad investor" I have been paying PI on them as well as having them coupled to 100% offset accounts. Talk about overkill. This was all set up before I learned better via this forum. This is what I am intending to ch…[Read more]

Can you please explain what you mean by 100 points of ID ? Sorry if it's a common term but I live OS and haven't heard it. Or do you just mean check their ID through many avenues?CheersElka

Terryw wrote:
I guess a lot of people don't realise they could end up in the negative in the end when GCT is taken into account. Many never intend to sell and just wsh to live it up till death.

Thereby ignoring the possibility that their kids will be left with a huge debt which they will have to pay out of their own pockets. only good if you…[Read more]

Hello HariWhy don't you ring up your current lender and ask who they get to do their commercial valuations. This way you should not need a new valuation if you go back to your current lender for a top up. In fact you could also check this with them when you ring.CheersElka

<font size=”2″>Hello D</font>
<font size=”2″>Can you give us an idea on the return available for a car parking spot after management fees please. Also, an idea of the price of a spot? Also what are the expenses involved.I assume there is no CG to be had but does the price keep up with inflation?

Thank you for any info.

Elka</font>

<font size=”2″>Hello D</font>
<font size=”2″>Can you give us an idea on the return available for a car parking spot after management fees please. Also, an idea of the price of a spot? Also what are the expenses involved.I assume there is no CG to be had but does the price keep up with inflation?Thank you for any info.Elka</font>

Hello DCan you give us an idea on the return available for a car parking spot after management fees please. Also, an idea of the price of a spot? Also what are the expenses involved.I assume there is no CG to be had but does the price keep up with inflation?Thank you for any info.Elka

Hello Boy in BlueHere is a link to the ATO site which explains when the CGT event occurred. As propertypower said it's calculated from contact exchange unless there isn't one, in which case the settlement date is used.http://www.ato.gov.au/individuals/content.asp?doc=/content/36899.htm&pc=001/002/026/016/003&mnu=5060&mfp=001&st=&cy=1There is also…[Read more]

Hello ReneeThe best place to ask is always your accountant naturally.Having said that as the property was built in 1986 the depreciation on the original building has now expired. However, has the place had a major renovation since then? New fences, carport, inbuilt cupboards etc.etc. all qualify as capital works and thus are subject to the…[Read more]

Hello HariCan I ask what sort of commercial property it is?ThanksElka

Hello ChrisYes, the 20% includes the PM (agents fees). Depending on where you buy your IP, the agents fees vary. I am paying  7% managements fees and 3% letting fee (for a new tenant). This is in Melbourne.I think 10% is a bit low. I would work on 14- 15% to be on the safe side. CheersElka 

HelloWhy not do both at once. By that I mean buy a house to live in while you renovate it. The advantages are that you will be able to get the FHOG and if you sell there will be no CGT to pay.CheersElka

Have you tried this tool from the ATO site?http://calculators.ato.gov.au/scripts/axos/axos.asp?CONTEXT=&KBS=CGT_and_real_property.XR4&go=okCheersElka

Hello DaveHappy your willing to share your experience with subdividing and building. I went to the Fairmont Homes site but they don't seem to have the Memphis II model pictured, only the Memphis. Is the Memphis II a single story or 2 story home.I have never subdivided but have an IP which I would like to subdivide and build on one day. Your…[Read more]

What a difference the changes you made to the bathroom make. Looks great.Did you use the spray gun to paint the tiles? Do you know how painted tiles stand up to being given a good clean/scrub?I always worry that if they start to peel it's a horrific job to get the paint off before repainting.Has anyone had any experience with this?Well doneElka

Hello BuDoKeNI am not an accountant and suggest that you ask your accountant this question before you do anything else, specially about the deductibility of the interest you pay on this loan against your Australian income.As a non expert I think there is no problem with transferring a large amount to Australia as you will be able, if necessary, to…[Read more]

Hello DaveI would certainly be interested to hear more. Are you building yourself or have you got a builder doing it for you. If you were willing it would be nice to be given some costs and what you are aiming for. CheersElka

Just to stress what has been posted above, the reason why the vendor is selling and their needs are often the deciding factor as to what you will need to offer. A few years ago I had just bought the front unit of 2 on a block at auction and had just settled when I heard from the back owner that they were also selling. Unfortunately they had ju…[Read more]