There is currently a thread on this topic. Here is the link.

https://www.propertyinvesting.com/forum/topic/19961/1.html?sortfield=&sortorder=

Hope this helps [smiling]
Elka

Hello catherina38

The thing you might like to check with your accountant is the CGT consequences if you ever sell.

If, except for the period of the current lease, you always use it as your PPOR and then sell, then it should not be a problem. However the ATO treat the few months you rented it out first, the consequences will be minimal.

The…[Read more]

Hello eve100

I think you might do well to speak to your accountant about this before you sell. There are several ways to reduce your CGT but it all depends on your circumstances so ask a professional.

Cheers [smiling]
Elka

EH??????????

Since when did 1/3 or 1/4 become more greedy than 1/2 ……..or am I missing the joke here ? [confused2]

Hello L.A. Aussie

Is Money secrets of the Rich a “how to save” or “how not to have debt” book? If not can you please give me a very brief overview of it. The title sounds good. [smiling]

I’ve always had one rule. If I can’t pay cash for it (even a car) I can’t afford it. The only exception is for property.

I am coming to Australia next month…[Read more]

Hello Dr. Spock

Here is a link to an article I was reading on getting rid of debt. You, and specially your husband, might find it an interesting read too.

Go to the PDF entitled “How To Become Debt Free (Including Your House & Cars) In 3 To 7 Years” by John Burley”

http://www.gatherumgoss.com/free_stuff.htm

Good luck [thumbsup2]
Elka

Hello Bridgebuff

No, your understanding is not correct.

Just using your figures here is how I think it will work assuming that the two blocks that you subdivide into are of equal size and that the house is worth $80k.

cost of land $120,000
cost of house $80,000
cost of subdivision…[Read more]

Hello PostEnterprises

Bridgebuff made several good points.

Before you buy get a building inspection done so that you don’t get caught having to do “non visible” and thus non “value adding” work. Roof, gutters, damp course etc.

In my opinion if you don’t already own a PPOR then it’s a great place to start with renovations as long as you stick to…[Read more]

Hello meatgroup

That is really nice of your Grandmother.

I think that the answer to your question depends on how much your PPOR is going to cost you. Is 25K deposit enough to not have to pay LMI ? If not I would use some of your windfall to avoid this. It’s such a waste of money, specially for your own home when it’s not deductible.

Just my…[Read more]

Originally posted by Ems:

Yes we will be living in the property until we go back to the UK. It’s going to take around 6 months to build and then we plan to live in it for 6 months in order to get the FHOG and then were off. It is a big house and there are 4 bedrooms with only two of us so we are thinking of letting 1 or 2 rooms out just to help…[Read more]

Hello Ems

Although I am an Aussie I have lived here in Belgium for many years. All my investment properties are in Australia and I’ve had no problems. The secret is a good PM. With a good PM, email and internet banking you are set. You will also need a good IP savvy accountant to do your tax returns for you.

Since your house will be new you…[Read more]

Thanks condog for being willing to share your opinion on this.

B.T.W. In case you get a chance to live in Belgium for a while grab it. For someone into shares it’s great. Australia does not apply CGT on shares for overseas investors. Belgium taxes the dividents at 25% ( which is lousy for fully franked shares as in fact you end up paying 55%…[Read more]

Hello condog

Just to clatify something. Are you saying that people holding even blue chip shares like ANZ, NAB,BHP,SPT etc. should be selling now and waiting to pick them up again after the correction?

Not asking for advice, just your opinion.

Thanks [smiling]
Elka

Hello L.A. Aussie

Having fun?

I’m waiting for them to ask you for your bank account number so that they can transfer the funds. [smiling]

Cheers
Elka

Hello romina

Yes, Richard means that after writing off the buying expenses, a little each year, plus depreciation on the building, fixtures and fittings your tax bill will be lower so that the net cost of your investment may be lower than you think.

Please don’t get insulted but from your questions I really think you need a good mortgage broker…[Read more]

Hello ruroshin

Thank you. [smiling]

Happy 2007 to all. I wish you all that you wish for yourselves.

Elka [party]

I know that in 2 suburbs in Melb. the rule is that over 9 constitutes a boarding house. I don’t actually know if this is a state rule or if each council has a different requirement..

Ringing up your local council would be the easiest way to find out, I think.

Happy new year [party]
Elka

My money’s on you dare-to-dream. Starting so young your already ahead. [thumbsupanim]

How about giving us progress scores every 10 days Dr Spock. It will be like going to weight watchers and will keep you on the straight and narrow. [smiling]

Cheers
Elka

Hello

There was a discussion about these loans on the forum awhile ago.

Here is the link

https://www.propertyinvesting.com/forum/topic/24327/1.html?sortfield=&sortorder=&SearchTerms=capitalised,interest

The following link is to investors direct and an explination of what is called an ” Investors Direct Cash Flow Mortgageâ„¢ “…[Read more]

Hello Terry

The trust is just owner of a commercial property. It’s not used for business as such …. except of collecting the rent of cause. [smiling]

Excellent point wanelad. Good to be reminded.

Elka