Matt,Do you want an accountant to work in the business, management reporting, systems and processes, budgets and strategic plans, cash flow etc or do you want an external accountant who does tax returns, business lodgements etc?They tend to be two very different skill sets.Let me know as I know a number of accountants and firms that may assist.Greg

Dangermouse,The main purpose of a trust is for asset protection. If you are a business owner or a director of a company and there is any likelihood or risk of being sued personally, a trust should be considered or at least move/have assets in your spouse's name.Secondary for many is the ability to distribute income if the trust is generating…[Read more]

The CBA person has been aiming at brokers for a long time, I'm surprised that CBA still deal with any brokers based on her views and I'm somewhat more surprised she is still employed in her position. Brokers are their clients but CBA do not seem to understand the concept of customer service yet extending that far.I agree with Jamie, brokers are…[Read more]

Renel,Specifically to your question, in most cases all an investment loan needs to have is 30 year term, 5 year interest only, either variable or fixed rate (or mix) and internet access. No bells and whistles, no associated credit cards, etc.For some investors, they may need an offset if they do not have a PPOR.As Richard said, 2 of the lenders…[Read more]

Liz,To buiild a multiple property portfolio, you need to make sure you have the finances structured in order for you to be able to borrow the funds needed. As Terry suggested, a start would be to establish a separate loan facilty against your existing PPOR and it is kept separate and only used for investment purposes. Whether it is a LOC (for…[Read more]

Chief,The property manager I use for my properties is Mitchell Property Management Group, thats all they do and they do it very well. 03 9686 6688. http://www.mitchellpm.com.au Good luck, a good property manager is worth gold to an investor.Greg

Richard,As a general process, for new clients as owner occupiers I usually charge a fixed engagement fee which is refunded in full on settlement, mainly to sort out the shoppers from the serious clients but also as an indication of professionalism and commitment. For returning clients, I do not charge this. For investors wanting a full strategy…[Read more]

Terry,I sometimes get clients coming to me from other brokers who only have ever offered one lender to them. In talking to a number of different aggregator BDM's, the same story comes across, there are brokers that only deal with one or perhaps two lenders.NCCP withstanding, until MFAA / FBAA / whoever or even aggregators themselves step up and…[Read more]

Jenny,While I am a CA, I do not see much difference as you can get good and poor with either branch of the accounting profession. The CPA tend more to small private practice and the CA tend to be employed more in large companies but  they both have post graduate qualifications.If you are looking for accounting and tax advice, check who their…[Read more]

One of the issues with mining or remote towns if it is an investment property and you are into revalue and refinance strategies is obtaining a decent valuation. Comparable sales are often difficult to obtain and values can drop significantly in a short space of time.Good luck in investing.Greg

Tim,I did attend Bill's latest boardroom seminar. I have been going to his seminars for some years now, he is an interesting speaker with some good ideas. It appears he has closed down his gold and silver business and the green deals and just concentrating on offering one on one type advice for a cost rather than trying to do a lot of things.He…[Read more]

Steve,There are second tier lenders that offer service, full offset and reasonable rates, unlike the Big4.ING is one, AMP is another which has no fees on either offset or loan account and at 6.64%, a good deal.Homeside offer some innovative lender deals (broker channel for NAB) with lower rates for lower LVR's, down to 6.47% < 75% or at 90% 6.67%…[Read more]

Amy,I f you have already purchased the property and unless you have a nomination clause, it may be too late to put it into the trust without incurring stamp duty again.Accountants love putting people into trusts, why – because it is more fees and work for them. It is not always in the best interest of the clients. If asset protection is critical,…[Read more]

I agree with Scott, the property manager pays all my investment property bills and send me a monthly statement as well as a detailed annual statement that slots neatly into my tax return requirements.Good luck

A simply solution would be to have your parents get a loan or line of credit established based on their own property and income and then just lend you the balance of the money you need, which you repay. Why go to a more complex structure?Alternatively they could go guarantor, either equity or income or both.Good luckGreg

Ed,I have used BA's before and I have a small number who I refer clients to in Melbourne, ones that tend to specialise in the investor market. Each have their own knowledge and strengths and areas of speciality. I match the clients needs to the BA's but also suggest that they talk to two or three others at least to see what the fit is like for…[Read more]

Terryw, I agree, you need to take care in setting this up. The issue should not be whether the interest on the LOC is deductible but you are paying off your home loan sooner. The purpose is still critical.The initial setting up of this LOC and the amount needs to be in line with what your needs are, so the higher amount the more flexibility you…[Read more]

Aman,The one thing you should consider doing if you can is to also establish a separate LOC secured against your PPOR. I normally recommend a minimum of $120k for each median priced IP you are looking to purchase. The end number will depend on your borrowing capacity. This is a stand alone LOC just used for investment purposes, being the deposit…[Read more]

As a PPOR purchase, I would try to minimise the debt and certainly minimise any MI costs.If it was an investment property, I would do the opposite.If a 1 bed flat is in a good location, suits your needs and you can borrow < 80% then it should not be an issue obtaining finance, especially for an owner occupier. The real issue on small units <50m2…[Read more]

You have two factors to consider, purchasing another IP which you should use debt to do and the second is wanting to purchase another PPOR for which you should use as much of your own money as possible and minimise the borrowings for this.To do that, set up an Offset for which surplus funds will be banked. This future balance will be the deposit…[Read more]