Yes, I didn't mean they could practice law! I have only every used a settlement agent – would you usually only engage a lawyer if needed?

Renel are you in WA? In WA the settlement agent is the person who acts like the lawyer in the eastern states…..

Yes, this is our main concern – I'm hoping someone might have done this before. The accountant said more and more banks are doing it, but I had not heard of it before so wanted to check with someone who had experience.

Thanks,

Kate

Thanks Terry,

I believe the trust is a hybrid trust and is both a unit and a discretionary trust, and it will be borrowing to buy units in the trust. Are banks happy to lend money to do this?

Our mortgage broker had told us if we borrow in a trust structure we could only borrow 70-80% of the purchase price, however we would like to borrow around…[Read more]

Thanks Terry,

We would like to have the loan in our own names so we can borrow with less deposit. Also the accountant did say by borrowing with a personal name and giving the money to the trust to buy the asset you are able to claim the interest on the loan.

Thanks,

Kate

HI Derek,

Thought I would post it up I didn't know what DOLA was!!!

http://www.landgate.wa.gov.au

Hi Guys,

I think there is some truth to this article. I know a lot of people looking for places to rent in Perth and have taken places for much more than they are worth just so they have somewhere to live. I think if they find somewhere cheaper they will break the lease to move in.
One of my friends has been looking for over a month, an agent…[Read more]

Hey Guys,

I have Renovating fort Profit on my Facebook and she has said she will release a statement in the next couple of days. From what she said apparently the lady who did the course had not followed it properly and ACA had filmed it when it had not been finished……….

Kate

I have spoken to my broker re borrowing 80% and the vendor financing 20%. He has said for the particular bank he is looking at that they still need to see we have the money in the bank for the 20%.If this is the case, how can this strategy work!?Thanks,Kate

Thanks Pat007,I'll look for the thread now.I have also just asked the agent whether the vendor would consider a vendor carry back option of 20%…..will see how that goes.Kate

The property is NOT off the plan.

Thanks everyone for your posts. The one I’m looking at is a 16.4% return and would still be cash flow positive with a loan for stamp duty and 10% deposit with a 15% interest rate. Also taking into account pm fees and insurance costs it would still be cash flow positive. It is in a regional area and obviously has risks however for the return I…[Read more]

Thanks for the replies. I am the same as j21 don’t have equity so would need a personal loan. Is there any kind of security required? I have seen a few loans around 15% does this sound about right?

Thanks,

Kate

Sorry I don’t know more of the technical side! We are in WA so don’t have that problem.

Once we have put it into place, I’ll update again

Thanks Terry,

I do not believe there is a set amount that the trust has an interest in, from my understanding it has an interest in the remainder of the equity no matter if it goes up. So if you have a loan of 80% then the trust has an interest in the remainding 20%, if the price was to go up so does the % the trust is interested in also goes up.…[Read more]

Hi Terry,

Sorry that wasn’t clear – the trust adds a caveat to the title of the property so it has an interest in the property. Therefore if someone was to see what assets you have they would see the bank would have a part and then there is another party who also has an interest. If you were to sell your house the bank would get what they are…[Read more]

Hi Reno,

The one we signed up for was $4k – we get the trust that goes as a caveat on our titles and also a testamentary trust. We also got the legal templates (which was a bonus we didn’t know they were coming!) and we can contact Dominique about most legal questions. We are also setting up another trust with her at no extra cost. The trust that…[Read more]

Hi DJay,I would recommend plantation shutters – they are fixed to the window frame so they can't be pulled and there are not cords either, the only problem is they are on the expensive side, but probably worth it so you don't have to change them again for a while.Thanks,Kate

Hi Steve,We used Washington Brown who were very thorough – when we took it to our accountant he said they and another company are the only ones they would recommend, they are on the expensive side but I thinkit was worth it.Thanks,Kate