rgarreffa wrote:
Can someone comment on legality of such a strategy?

* Google "debt recycling"* Talk to your accountant.* Give your IP savvy broker a call* Ring RichardMy understanding is that debt recycling is a fairly common method that investors use us repay their home loan quickly and ensure that all of thier debt is tax deductible.You have…[Read more]

I recently saw some cheap granite kitchen benchtops at the KBC (Kilsyth Bargain Centre) in Melbourne's East.

Have you looked into debt recycling? You could pay the rent to yourself and capitalise all investment costs, including interest, within a new loan account (or your existing investment loan if the limit is high enough). Don't waste your time talking to the bank about LOE. Find an investment savvy mortgage broker to set up the structure and discuss…[Read more]

Changing the subject slightly, there is a group "Australian Property Investment Group" on Facebook.If you're interested, feel free to join this group. It's purpose is simply to connect people on the basis of an interest in investing in property in Australia. It's not intended to be another discussion forum, just another way for people to…[Read more]

Neil, I'm sure you didn't submit your post hoping that people would advise you to sell your family home. Why would you? People shouldn't aspire to be a "successful investor" for the sake of being a "successful investor". If you're like me, the reason you're thinking about investing is to improve and secure your financial future. Most property inv…[Read more]

Have you got your structure right? Are you "Debt Recycling"? For those of us with a PPOR mortgage (or any personal debt) the opportunity to reduce that loan using IP rent, while capitalising all associated investment costs in a separate tax deductible line-of-credit, may have little effect in the short term but be very beneficial in the bigger…[Read more]

If you sell you'll regret it forever. Perhaps you can get your LOC limit increased to give you some more breathing space. Or perhaps another loan can be taken out if you have some equity somewhere. This is where a broker can help you.Suffering break costs with RAMS would likely be cheaper than selling a good asset.

m.pulley wrote:
Barney,What an incredibly selfish Idea.Having all that money and not willing to pay any tax what so ever..I suggest that if you go down that path, the end of your life will be miserable.Imagine being on your deathbed and looking back on all you contributed to society or others and seeing nothing but the burden left behind.I am…[Read more]

http://www.theage.com.au/news/national/revamp-in-urban-planning/2007/10/11/1191696082632.html

MichaelYardney wrote:
Probably a more importnat question is …..in which municipalities are you likley to make a good development profit.Sure some councils are more difficult to deal with, but this usually means once you have a development approval your property is worth considerably more as you have added even more value by taking away the…[Read more]

Sorry to hijack your thread but I'd love to hear about your history with Knox. We have houses on development blocks in Boronia and Ferntree Gully but we've never attempted development before. What "lessons" did you learn?

This issue has nearly been concluded – with surprisingly positive results.RAMS sent me a letter stating that it as all our fault (not RAMS or the broker) in language that must have come from the mouth of a lawyer. However, in the same letter they agreed to our demands to fix the rate at 7.35% for three years from March '07 and refund any extr…[Read more]

Hi Steve,I appreciate your idea and hard work but I'd be interested if you could work on the "WealthScore Mark II". This is because the current version of Wealthscore assumes that you spend all of your income on your personal life. This is not the case for those who, like me, are in the negative gearing camp (sorry Steve but there are still a few…[Read more]

Would anyone else care to comment about the tax deductibility of interest on interest using an offset account, a line-of-credit or a 'cashflow' loan? I am no accountant by my understanding was that such deductions are quite legitimate. An article by Julia Hartman in the August edition of API makes the following conclusions on the matter of…[Read more]

G'day,The June 2007 issue of Australian Property Investor has a profile on Maree Leach who's first investment was in Bernie, TAS – she lived in Coffs Harbour, NSW. Perhaps you could find some inspiration there?Regards – Ben

Hi Jenny,In most cases, to "go lo doc or no doc" you will need to have held an ABN (and be GST registered) for a minimum of two years. Perhaps I'm wrong about this?? My situation is similar to yours so I'd be happy to be corrected by and of the brokers on this forum.Regards – Ben

Hey Marc, from where can one get their hands on this software?

Hi Matt,I've recently applied for a split loan with LoanAuustralia (http://www.loanaustralia.com.au/). One side of the split is their "Flexi Plus" variable loan for my personal funds and the other side of the split is their "Line Of Credit" for my investments. A word of warning: They've been a little slow and I've needed to "drive" them a bit…[Read more]

Hi Sonny,I don't have any experience to offer regarding your question but I did notice an advertisement that you might find interesting. Here's the link:http://www.realestate.com.au/cgi-bin/rsearch?a=o&id=2432161&emailsource=emailalertIn this case, the investor is trying to sell all of the headaches and risk (along with the land) to a developer.…[Read more]

Mr Simba, I'm interested in any ideas you may have as to who would find tenants and manage the property as a holiday rental for you?