Originally posted by petshare:
Has anyone come across these investment opps ?
Have applied 11 sec. solution with a positve outcome ! The property in question is located in Cairns-2 apartments on 1 title to come on line in August

Cairns Post reported recently over supply of Units not houses though. Place is boomimg.

Up here in Cairns its still booming, not enough trades available past 2 years and short supply of good land, much of which is selling off plan. This region showing no signs of abatement in new homes but new units over supply. Vacancy rentals for houses under 2.5%.

Some new ones here…
http://www.cairnshomes.info

The loan for the property is an investment loan with lender on the basis its to be rented out. The other thing is I’m on a low income bracket. The opinions are that after 12 months it would be treated as income on 50% of any profit made. Also its a one of deal and its not a business. Profit should be $50K, so I think taxed 50% on that.

My intention is to hold land for 12 months from contract and build during that period, then after 12 months sell the property, then pay income tax on 50% of the profits, would that be correct?.