Forum Replies Created
What is the name of the property development app?
They tell you about the app but dont give you the name to search for it in the App store.
plus we have a legal loan agreement setup
yes I am the only person whos name is on the title.
but the same lady keeps picking up
If interest can't be claimed when I am living in it what about when I decide to rent it out for those 6 years?
Can I claim the interest against the rent? With the amount I can reduce from my taxable income being (Interest paid to parents as per loan agreement – rent received by tenants)?
Or are my parents the ones who can claim that against their taxable income?
Because they are paying 1k a month in interest to borrow the money and only receiving 600 from me who they have loaned the money to. Can't that be classified as an investment running at a loss, hence its a $400 loss which can be offset against their taxable income?
no < 750,000,
My total property cost with stamp duty was ~800,000, purchase price on contract was 737,000
They want me to show them proof of me making payment. Yet they do not give me answers.
Is a loan agreement sufficent to show this? Should I get this certified and send to them? My parents will also be registering a mortgage on the title but they said they are indifferent on wheter or not to do this as they know I will pay them back. Do they have to register the mortgage?
The eligibility criteria says
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Nominee purchaser where you are a related or associated party to the named purchaser in the contract*- Evidence that the consideration has been paid by the applicant (e.g. provide certified copies of mortgage, loan agreement, bank cheques and bank statements).
* Not required if application is lodged through an approved agent.
# Application must be lodged with the SRO
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I did not pay the consideration my parents did at the inception of the contract, they took out the loan and I have signed a loan agreement with them to repay them fortnightly and they paid the consideration at the start. I did however transfer 25k into their account via netbank
They also signed the auction contract as I was in Sydney, I have proof of this.
Do I have to show I (the applicant) paid the consideration from my account? Or is it enough to show I am making the repayments. If I have full interest in the property and I am the only person on title, its my PPR, I live in it why does it flipping matter?
Why are they making an issue of this? After reading that eligbility requirement am I still eligible even though the initial consideration was not paid out of my account?
As this was purchased by my parents in auction and they acted as nominees for me if they register a mortgage over the property does that mean they will have to pay stamp duty? The title has been transfered into my name now.
The property will still stay in my name under title, why would they need to pay stamp duty to register a mortgage? The document the land titles office gave me said stamp duty might be charged, bit confused as to why and if it will occur in my situation.
What about my parents? If I am paying them rent?
What about when I move out after 6 months? For those 6 years I am allowed to rent it out can I claim?
Even if someones parents were to have purchased them a property (which they haven't in my case) as long as the title goes in a first home owners name does it matter? The rules do not seem to indicate that it does. The lady on the phone at the SRO of was trying to tell me it does so I said where does it say that on the website and she couldnt find IT.
She was trying to say that to receive the FHOG the first home owner has to buy the property with their own money
cheers kate
does anyone have any experience doing this?
any horror stories or things to look out for?
Hi Terry,
My father is going to use this template to register a loan agreement
http://www.lawcentral.com.au/CreateDoc/createlink.asp?docId=28
Is this a credible website and will that agreement hold up? Is it legally sound and can it be used to justifiy that my parents have loaned the money to me and therefore permit them to claim interest they pay on the loan?
How do they also register a mortgage over the place? By registering a loan using the contract in the link can they also put a mortgage on the place within the loan agreement?
my parents are taking this loan out on their existing property.
What do they have to do for myself or them to be able to claim interest? Give me the money via another loan?
Terryw wrote:If the lender borrows the money and then onlends it to you they may be able to claim the interest they will pay as a deduction against the interest they receive.
Is this different to what my parents have done? Is this different to gifting? If yes how do I make sure the money my parents give me fall under this defintion?
Essentially gifting or doing it this way are doing the same thing arent they? But with the second way you can claim the interest?
Terryw wrote:you really do need some advice as there are serious tax consequences if you get this wrong too.If the funds are gifted then the interest won't be deductible.
For myself and my parents who have gifted it to me? Why cant my parents claim the interest?
terry are you located in Melbourne?
As my father has gifted my the loan and I am going to claim this as a main residence once I sell can I still claim the interest expense on my tax? Or can my parents claim the interest on their tax?
The conveyancer told my dad that if he wants a caveat on the title similar to that of a mortgage he has to get the caveat after settlement as it’s a different caveat to one before the place settles.she said if he was to put a caveat on prior to settlement it only protects sum1 else from buying it for a caveat to show register on title that my parents own the debt and it has to be cleared before I sell the conveyancer is saying this gas to be done after settlement.
The conveyancer told my dad that if he wants a caveat on the title similar to that of a mortgage he has to get the caveat after settlement as it’s a different caveat to one before the place settles.she said if he was to put a caveat on prior to settlement it only protects sum1 else from buying it for a caveat to show register on title that my parents own the debt and it has to be cleared before I sell the conveyancer is saying this gas to be done after settlement.
