Thanks Terry, good summary. I'm meeting a Lawyer tomorrow whom I trust (no pun intended!) and has actually helped me before with some property matters. He had a chat with me over the phone and understands all the issues. Wish I saw him before setting up the trust but I trusted the accountant I sought advice from whom arranged the creation of the…[Read more]

Rob G. wrote:
CGT still matters because it is a tax on inflation.

Even your dependents may inherit the property with your historical cost base and substantial underlying tax liability – AKA 'death taxes'. I seem to remember Terry trying to raise estate planning issues with you.

Present value does matter with capital appreciating assets.

What…[Read more]

The house I am buying is a very old home which will require some renovations, about $30k or so, which I expect will add to the capital value significantly.

I am planning on keeping this property indefinitely. This means not selling it which means no CGT. Even if I did sell it I have a large capital loss I am carrying from GFC and it would have a…[Read more]

Thanks Wilko!

If I told you that the property is under land tax value and I plan to keep it indefinitely, would you think still the same? I plan to keep it as a rental if/when I move out, not sell it. So I thought having flexibility to distribute income + the asset protection would make it a good start to add into a property portfolio in the…[Read more]

Terryw wrote:
You seem to misunderstand trusts. Not as simple as you think maybe.

Yep, that's why I'm posting in this discussion forum for some helpful suggestions and ideas.

Some helpful discussion on this topic would benefit my understanding and others who would be thinking about this.

Terryw wrote:

nicki_ wrote:

Terryw wrote:
I know nothing of your situation so can't answer.

I think thats been the point of all the information in my OP.

Limited information.

Well I wouldn't call it nothing.

Thanks for your limited input.

Can't say it was useful. Wasn't asking for much, just to come to a property investing forum and…[Read more]

Terryw wrote:
I know nothing of your situation so can't answer.

I think thats been the point of all the information in my OP.

I don't plan on staying there long term but I do plan on keeping it long term as an investment. So based on that would you think the trust is the way to go?

Thanks Terry. The main point of my post was to see if people had thoughts and suggestions about the merits of putting the property in my name or in the trust, based on my situation and projections of my situation (both of which I have explained in detail). Have you any thoughts on whether putting the property it into the trust or in my personal…[Read more]

Tax is my main concern, but asset protection is also handy. For example, if I have a spouse at home with a child earning no money, I would like to distribute investment income. Like I have said my plan is for this property to be part of my investments long term, not main residence.

The trust was set up by a Lawyer, so why would it not be valid? I…[Read more]

Hi Terry

What am I trying to achieve? The trust would give me more flexibility in distributing income in the future as long term this will be an investment. It will also enable me to not have the income on top of my personal wage income if I have others to distribute the income to (which is a possibility in the future).

Assigning to the trust -…[Read more]