Hi Che

Ok sounds like your current loan was set up as a principal & interest loan and therefore has been paid down over time.
This is where the problem lies and I would have recommended an interest only loan ideally with a 100% offset account.

Yes to maximise your Tax deductions you could look to move into the current IP and then look at selling this to a Trust structure to enable you to buy your new property. Unfortunately you will trigger a stamp duty payment but in the long term could be worth while.

Just make sure you dont cross collateralise the 2 loans using your equity in the current property merely to fund the deposit and acqusition costs and the new loan can be standalone.

Nic
 
Must say i have never heard of them but couple of things:

1) They should be aware that GST registration is required where Turnover is over $75,000 and nothing to do with Income.
Good start for an organisation advising others.

2) If their model is based on the fact that you offer referrers 50% of the upfront commission you are going to have to go some to make any money yourself.

But in saying this there are still a lot of important pluses to DFT's.

There is only 1 lender doing lodoc refinances with "cash out" over 60% so choice is limited.

You would keep your place to a 60% refinance and use the funds raised as deposit and acqusition costs to go to another lender and do a 80% lodoc purchase. 

As long as you have held an ABN for 2 years and are registered for GST then 80% lodoc on a purchase is an option.

SNM Nothing to stop your SMSF buying on standard Residential property through a Real Estate agent as long as the Vendor is not a related party.

If you purchased a residential property using an Instalment warrant  then you are unable to refinance or draw out more equity after ownership. (I think i understand the second part of your question).

Hi Wayne Yes you are right sorry missed out the n't.

Way you would do it is one at 60% and 1 at 80%.

Look guys hate to say they are wrong.

A SMSF can certainly purchase a residential property and i have a couple of properties in mine.

What they cannot do is purchase a property from a related party to the fund i.e husband owns a holiday home and sells it to the SMSF or indeed rent a property owned by a SMSF to a related party at a discount rent i.e mum and dad are trustees and rent the house to son and daugher and 50% of the market rent.

Hope this clarifies the matter.

Same Shire as my client seems like the area is certainly progressing at a good rate.

Drop me an email if you would like a Residex report done on your property as they produce some interesting statistical information and useful when arranging a valuation.

One pitfall could be the lvr any potential lender might lend you.

I am with Terry i am not sure i would want to use an old trading company as the Trustee of Trust that i was intending to buy property assets in.