Forum Replies Created
That is true.
Such cute kittens cannot be, er, misleading….[biggrin]
Cheers
MelCelivia, you’re a scammer!! I though the Northern Territory bit was a little odd, but I believed you anyway as I didn’t know!!![blush2]
Cheers
MelRob, a guy I got to know through some seminars I attended always purchased property in the Unit trust – which then guaranteed/provided the security for his wife (higher income earner – tax advantages) to borrow the $$ to buy units in the trust.
I know that Citibank was one of his lenders, but I don’t recall any others….. He bought at least 20 odd properties under this structure.
Cheers
MelGeo – all you had to do was ask[biggrin]. It’s a nightmare when there is no paper, it’s all true!
Cheers
MelNeil, don’t know if the old guy (is he an old guy, or a different sort of pension?) would be interested, but in another thread on this forum on health care, the basic story was that ‘money talks’ when it comes to doctors and surgery etc.
Don’t know offhand how much pensions are, but assuming it’s $2K a month – if you pay him a lump sum, plus $3.5K a month, that extra $1.5K plus his lump sum should surely cover any medical expenses he would otherwise get highly subsidised?
Maybe just have a chat to him, and see what his real concerns are, and perhaps explain how extra cash could help him solve that problem…
I would still look at seeing if you could bank finance as much as you could, and maybe get him to take a second mortgage, at x% interest?
Cheers
MelI so wish that a. we had questions like that when I was at Uni, and b. that I was that quick witted, and c. that the lecturers would go for it.
But then again, I was never good at philosphy type courses…
Cheers
MelHi Richard, thanks for that info.[biggrin] As I said, just being nosey. I guess it really goes to show that their is still a huge demand in the marketplace for Wrapping.[specool]
As Lozza said though, my interest is also in how many of your clients who have purchased a house have actually not completed on the deal, and have had to walk away (for whatever reason – other than them onselling at a profit).
Cheers
MelHey SIS
I think your accountant swearing at you is totally unprofessional.[biggrin] If you, on the other hand, swear at your accountant, she should give you a right good backhander[evil4], and tell you not to talk to your elders like that
Cheers
MelNot sure quite how relevant, but as I don’t know Sydney, and recognised Glenhaven, I thought I would share.
Glenhaven is about to (or may have started already) have a huuuge retirement village type development happening there. We had the chance to provide Mezz funding to the developer, but some of my syndicate were a bit slow in making a decision so we dipped out. From memory it might have been a couple hundred villas in two stages….
Don’t have the plans anymore and it was mid to late last year, so not certain of details….
Cheers
MelOriginally posted by The Mortgage Adviser:
Just to make sure of something, did $20,000 under valuation mean that you borrowed less than 80% of the property valuation price? You may have paid mortgage insurance on 85% or 87%. Tell me how much you paid, how long ago you paid it and how much the purchase price was and I can tell you.Purchase Price $159K, borrow $143.1K. Valuation $185K – by bank valuer prior to auction (bought after auction) commissioned by me. No idea how much MI I paid – it was 5 years ago. Don’t think bank actually ordered their own val – if they did, they would have happily used the one that I commissioned….
Didn’t use a broker, used my friendly bank manager (who has since moved to the Gold Coast[thumbsdownanim][crying])
Cheers
MelHow much is enough for me?
Well, I have no concept of earning more than $50K per year, so at the moment that will be ‘enough’. However, I know that I want more than my existing lifestyle, and so i reckon I need at least 4 times that to be able to travel, own my own home(s), and provide for my family members.
Will it make me happy? Good question. But I can surely say that it will not make me any less happy than now, and if I do it right, and am true to myself, I’m sure I will be happy[specool]
Cheers
MelWayne, the company would be the last resort, after you had exhausted all other beneficiaries.
If you have others, you could make an arrangement whereby it’s only a book entry that they are distributed the money, and they ‘lend’ it back to the trust to reinvest.
Depending on how much money there is, I would definitely be looking at using some of Dale’s suggestions about ‘spending’ the money pre tax….. I reckon you could get quite creative – but need a good accountant.
I would have thought that the company lending money to the trust is different to lending to a director though….
Cheers
Melspi, I guess what you are seeking is definitely a wrap purcase. However, before you go there, I would suggest contacting a mortgage broker to see if you have any other options.
If you still want to look for a wrap, check out the Vendor Finance Assoc website on http://www.financewraps.asn.au
Cheers
MelSome of these schemes are very possible – however I would ensure that any that I invested in had obtained a Tax Office ruling, or you will find that all tax deductions are disallowed, and you get to pay a nice little (not) fine as well!!
Cheers
MelHi B
Do you have no siblings, no living parents?
I too am single, but have included (as is fairly standard) in my trust my parents, siblings and their spouses and children – any future spouse(s) (one at a time of course[biggrin]) of them or me, and any future children.
Companies I am director (and/or shareholder?) and even trusts are also beneficiaries, so there is a lot of flexibility.
If you never plan on having a spouse or kids, maybe it won’t matter? If you plan on purchasing many properties, even having the option of distributing to a company at 30% is better than always having to pay 48.5% tax.
Would recommend a read of Trust Magic or Wealth Guardian (is that what you meant instead of Wealth Creator?)
Cheers
Melbanner, I’m guessing that you have sold your one and only IP?
Were you looking at buying any more in the near future? I suppose a month isn’t much, but perhaps you could buy a new one now and prepay the interest on that?
Or you could always buy a couple in the ACT, sign contracts now, and pay stamp duty before 30 June, claiming the stamp duty on your tax? It’s a beautiful thing, cos of the stamp duty in ACT I paid no tax last year, and have enough ‘loss’ to carry forward so I will pay no tax this year, even though I’ve got a fair whack of CG that I have realised!!![biggrin]
Cheers
MelHi Nell
If you decide to only purchase one of those properties – can you give me the details of the other[specool]?
Seriously, they sound like they will be good earners, and while you owe on your PPOR, and Interest Only loan would be good for your IPs. You will be reducing your overall debt, as you would probably be paying all ‘extra’ money into your PPOR loan, thus reducing it.
As the others have said, you could reborrow some of your equity from your PPOR and use that as a ‘cash injection’ to fund the rest of the purchase price over the 80% lend you’ll get from your bank for the two new houses. The amount you borrow against your PPOR for this purpose will be tax deductible, and again, noting your comments, you would probably look at paying that off after you have paid out your non deductible debt!
Cheers
MelOriginally posted by Lucifer_au:
“Under these changes, the trustee in bankruptcy will be able to recover assets held in the
name of the bankrupt’s spouse, or that of another party, where the bankrupt has paid for and
uses the asset,” Mr Ruddock said.Easy, don’t use the asset. Also, if the trust purchases the asset, the bankrupt didn’t, and therefore the asset is untouchable.
I would suggest the intention is to stop people like Mr Bond, Mr Skase, Mr Adler et al transferring their assets quickly to spouse/trust/kids etc. to avoid them being ‘up for grabs’.
Cheers
MelAnd I bet the fact that Henry Kaye is the one who started up Wealth Creator never gets a mention anymore…
Cheers
Melbreakfree
As trustee, or director of the trustee company, the only guarantee that you provide is to the bank for the loan. You will only be held liable for this guarantee if the payments fail to be made – not because someone other than the bank is suing you as the trustee.
If you sack the trustee, and appoint another, I guess you need to talk to your solicitor about what you need to do re the guarantees. i would guess that you would want to talk to the bank, and get the mortgage docs changed, if the ex trustee does not wish to continue guaranteeing the loans.
Cheers
Mel
