Hello Jules1

I guess all the financial gurus on the forum are taking the weekend off.

Till they return take a look at the article entitled Trading Place – to sell or not to sell. Nearly at the end it talks about structuring a loan to use first as your PPOR and then as an IP.

http://prosolution.com.au/free_articles/articles.php

B.T.W. Is a MISA…[Read more]

Hello Lisa

Nice profit. Congratulations. [thumbsupanim]

You will be up for CGT no matter which loan you choose to repay. I believe all costs of stratering will be added to your cost base, apportioned per unit.

A good accountant should be able to help you to minimize CGT.

Yes, paying off non tax deductable debt is a better idea then paying off…[Read more]

Interesting comment Cata
Now that I’d like to check. [hmmm]

Anyone know where to find interest rates by year?

Elka

Hello Derek

That is the way I have decided to go. A bit each way.

Hopefully I will have it in place before the next (August??) rates rise.

Thanks for the “push” [smiling]
Elka

Hello Geoffrey

Pending an answer from the forums resident trust guru here is a link to a thread where Terryw gives a clear and simple explination of Hybrid trusts.

https://www.propertyinvesting.com/forum/topic/23422.html?SearchTerms=hybrid,discretionary,trust

As trusts can not distribute losses, the HDT is a way to solve that problem.

Hope…[Read more]

Thank you Bluegum. I will definitely look into it.

Cheers [smiling]
Elka

Hello Cia

Do you have plans for the money that you will get paid for the house. I mean are you planning to use it for more investing?. If so, why can’t you just keep the house in your name and get a mortgage on it which you use for investing.

This will then be tax deductible and you can buy your next IP in a trust. All that wasted money on stamp…[Read more]

Oooops I forgot to list the most important expense and this is not on the statements.

Interest on mortgage… per property.

That’s one total on the bottom of your bank loan statement in July.

I’m totally jelous of people who know how to use a spread sheet and don’t need a good calculator. I have been meaning to try to learn but…….…[Read more]

Hello Sophie

Congratulations on having so much work for your accountant. [smiling]

If you want to make sure that this doesn’t happen again, then why don’t you get the property manager to send you the statements instead of to the accountant. I think you would save yourself a lot of money if you prepared the easy stuff for him.

For each property…[Read more]

Thank you both.

Both your posts reflect my own feelings which is why I have not been able to make a decision. The contrdiction of these two interests (no pun intended [smiling]) has been paralizing me.

Thanks again
Elka

Hello Romina

Would you consider doing it all over again? I mean selling your home and buying another in need of renovations?.

I don’t know the costs of selling in Qld (stamp duty?). Maybe you could try selling it privately to save the agents commission as you don’t need to sell it in a hurry and can wait for the price you want.

It would be…[Read more]

Hello Lyndon

Unless you have a fixed loan then I don’t think it should be a problem to change to IO. You will be up for the switching fee I think.

I had a quick look on the CB site to see if I could find out for you what their switching fee was but couldn’t find it. They are not really advertising their fees so to see …. or maybe I just…[Read more]

Hello jdchcn

If I where you I would first go into student accomodation instead of buying something straight away.

This is for 2 reasons.

Firstly because this would be a good way to make friends quickly with students from all over.

Secondly it would give you time to find out where you would like to live in Sydney and how much you should have to…[Read more]

Hello Barts78

I’m happy to tell you what I supply my accountant.

He does not need any original documents but you need to have them, neatly filed [rolleyesanim] , so that you can supply proof if asked to by the ATO.

I do the “adding up” myself and just send him the yearly totals for each property seperatly which looks something like…[Read more]

Hello

Terry, in Vict. only for land acquired by a DT on or before 31 Dec. 2005 were you able to nominate someone to pay the land tax and so not incur the surcharge. For land bought by a DT after that date a surcharge always applies.

For a unit trust the land tax is charged to the unit holders (if they are named, otherwise surcharge applies) in…[Read more]

Hello Callander

Basically you can rent out your PPOR for up to 6 years and not have to pay CGT when you sell as long as you don’t declare any other place as your PPOR during that time.

The best thing would be to go and speak with your accountant about this. Here is a link about this subject on the ATO…[Read more]

Art

How many student places does the property that you are looking at have.

Simon mentioned his council not considering anything less than 10 to be a boarding house. That’s the same number that the person I know said his council used and this is in another state to Simon so this may be pretty standard.

The person I know has 9 rooms.

Elka

Hello Artaud

I don’t own such a property but I know someone who does. Since no one has answered so far I will tell you the little I know. [smiling]

As you say unusual costs include internet and common area cleaning but also electricity, water and gas. The person I know supplies cleaning products (dishwashing liquids etc) and such things as…[Read more]

Hello pkchan76

Have been thinking of using this method myself and wondered whether you would be prepared to disclose approximatly what such a service costs.

Don’t worry if you would rather not. [smiling]

Cheers
Elka

Hello Delboy

crj is right. It looks like it’s worth investingating further.

The things I would be looking at are:-

Are all 3 shops let to the one tenant.
What sort of business is it.
How long have they been there and how long is the lease/renewal options/ rental increases in lease/who is resposible for repairs. etc.

I would also:-

Spend time…[Read more]