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March 16, 2009 - 4:31 am

Switch the loan from principal & interest to interest only and utilise and 100% offset account as soon as you can.

Richard Taylor | Australia's leading private lender

March 15, 2009 - 10:52 am

As Terry has mentioned they are and far between at the moment.

Have done a few over the last couple of months and it is more a case by case answer than something that is written into policy.

Richard Taylor | Australia's leading private lender

March 15, 2009 - 10:50 am

GOM

Think we might be at cross purposes.

All you would so is sell the current PPOR either to a Unit Trust with the highest marginal tax payer holding the units or altenatively buy 50% from your spouse.

Depending on the property valuation and your marginal tax rate the stamp duty cost can be made up within the first 12 -18 months quiet easily purely on the interest savings alone.

Obviously the higher the marginal tax rate the more advantagous the numbers become.

Richard Taylor | Australia's leading private lender

March 15, 2009 - 6:45 am

Sell the property into Trust as mentioned previously.

There wont be any CGT as it was formally a PPOR but Yes there will be Stamp Duty.

It all depends on a number of conditions as to whether it is worth it.

Richard Taylor | Australia's leading private lender

March 15, 2009 - 6:42 am

Wont get an 80% lend too easily these days most lenders want to reduce exposure to nearer 70% but would get this deal residentially.

Richard Taylor | Australia's leading private lender

March 14, 2009 - 12:43 pm

You cant.

I think Vicky was referring to the fact that it was only possible if they were strata titled.

Richard Taylor | Australia's leading private lender

March 14, 2009 - 12:10 pm

No 4 units would not require a Commercial lend with a couple of lenders so you should be okay.

Of course will depend on numerous other factors.

Richard Taylor | Australia's leading private lender

March 14, 2009 - 9:59 am

Hi Paulie

Yes you are right you certainly have a fair amount of equity so need to structure it correctly to maximise the use.

Depending on how active you want to be in your investing path will determine the strategy for going forward.

I would be looking at taking out a line of credit against the security of your PPOR from which you will draw down the 20% deposit and acquisition costs for each new IP.

Then probably with a separate lender you would look to fund 80% of the new purchase price on interest only.

Structuring the deal you would look to buy either in your sole name or as tenants in common with you holding say 99% of the shares.

There are a few other strategies depending on your future income whether the property will be positively / negatively geared etc etc but unfortunately it is not a matter of one hat fits all.

Each client has individual requirements.

Richard Taylor | Australia's leading private lender

March 14, 2009 - 12:16 am

There is no limit on gifting however if your brother wants to claim the interest as a Tax deduction then you need to charge him some.

Normally we structure the private mortgage for our clients at the same rate as they are being charged by their Bank.

If it is a property that he will be living in then no you can pay all of his repayments for the next 25 years if you want but i would question why you would do it even if he is your brother.

Richard Taylor | Australia's leading private lender

March 14, 2009 - 12:10 am

Hard to comment as i dont now what he will do.

I now what we would do but cant comment for someone else.

Has he not given you a copy of the FHOG form with your details on it.

Richard Taylor | Australia's leading private lender

March 13, 2009 - 10:17 pm

It depends.

If you are financing the construction then your lender assuming they are an approved agent can lodge the FHOG for you and the funds will be paid to you after the first draw or you can lodge it yourself and nominate a bank account in which you want the OSR to pay into direct.

Richard Taylor | Australia's leading private lender

March 13, 2009 - 10:52 am

Hate to be the bearer of bad news but non of the interest on the new loan will be tax deductible as the purpose of the new funds is not for investment.

The security offered is imaterial the ATO look at the purpose of the borrowings.

Only alternatve would be to look at crunching the numbers on selling the property to a Unit Trust where you both are Unit holders.

Richard Taylor | Australia's leading private lender

March 13, 2009 - 3:26 am

A securitised lender i wouldnt touch them personally in todays climate.

Richard Taylor | Australia's leading private lender

March 13, 2009 - 12:26 am

Terry is bang on but you need to be a wee bit careful as most lenders now want to sight where the deposit funds are coming from so might have to just box a little clever.

Richard Taylor | Australia's leading private lender

March 13, 2009 - 12:21 am

rugrat Yes WeeWaa

Richard Taylor | Australia's leading private lender

March 13, 2009 - 12:16 am

Hate to say mortgage insurers do not like Professional sportman due to the nature of their Contracts.

Anyway good luck.

Richard Taylor | Australia's leading private lender

March 12, 2009 - 1:56 pm

Interest only loan with 100% offset account.

Richard Taylor | Australia's leading private lender

March 12, 2009 - 1:55 pm

Not in todays climate.

Maybe if the mortgage was registered after the first mortgage was registered then they wouldnt be aware of the loan however would want you to show you had sufficient funds to settle on the deal by sighting your savings statements or availble credit thru a line of credit.

Richard Taylor | Australia's leading private lender

March 12, 2009 - 4:14 am

I started so i will finish

Buy the next property in your personal name or a DFT.

Accessing the equity should be ok subject to serviceability.

Your mortgage broker should be able to assist you with the set up.

Richard Taylor | Australia's leading private lender

March 12, 2009 - 4:13 am

How many times can you post the same answers …………..

Richard Taylor | Australia's leading private lender