Obviously dont place much faith in their existing Broker.

My thoughts would be too consider selling the property into Trust borrow 100% of the loan amount and use the raised funds to totally discharge the non deductible home loan debt.

Mr P

In simple terms you would enter into an Option with the Seller which gives you the right but not the obligation to execute an contract down the track. For the priviledge you make a Option payment which is deducted from the end sales price.

Assume you thought the property was worth $350K but you signed a Call Option and paid $5K to buy the property at $300K.

During the option period you try and find an end buyer and agree to nominate this buyer in the purchase contract on expiry of the option. Your new buyer pays you $45,000 for the option.

At the expiry of the option you now nominate the new buyer as the purchaser on the contract and he in turns settles with the vendor.

You collect the $45K and your buyer pays the stamp duty on his $305K purchase.

In some States you will pay stamp duty on the $45K but not all.

The fee of course will need to be added to your Taxable income for the year.

I have done this on many ocassions here in SE making a 7 figure profit on 1 particular property.

Why not post what their broker has suggested first so we can comment on it.

Are the Unencumbered IP's owned in their personal names ?

Did you go to Contract or sign a Call Option over the property ?

Dont want to appear rude but If you pre sell enough town houses then getting a loan shouldnt be a problem it doesnt work like that.

You will not get 100% of cost + acquisition even if you had sold them in the current market.

Wont comment on the location or price but have you considered the Qld Stamp Duty on a $2 Mil purchase.

Seank

Isnt it funny how many new forum members all of a sudden are dealing with Premium Finance when 3 weeks ago no one had ever heard of them.

I was fortunate to retire at 39 and could have quiet easily lived of passive income from property rents and dividends from my share portfolio for the rest of my life.

After 6 months or so it is suprising that when you have nothing to get up for in the morning other than take the kids to school time can be boring and time ticks away if you havent planned for it. It was simple my wife gave me the option of moving out from under her feet all day or going back to work.

I decided to start my own boutique mortgage brokerage and financial planning consultancy and pick and choose the clients i took on. I enjoyed helping others reach their investment goals and now work longer and harder than I ever did but love every minute of it.

I can take a day off any time I want to attend a school function or take the wife to lunch but then often sit in the office late at night answering emails and writing proposals for clients.

All i would say is "Plan to retire" but keep the mind active and have an interest or activity to keep you going.

Start small and build your portfolio using responsible gearing and time.
Pay off bad debts that do not generate an income or are tax effective.

Get yourself a good mortgage broker who has trodded the same path as you and work with them. I have clients who i have financed 10 -20 homes for them and they still come back and back. Only limiting factor is your income.

Remember it is Time in the market and not Timing of the market that drives long term success.

As this is your opening post Greg you understand that we maybe suspicious that you work for them or are associated with them in some way.

Matt

Are yu sure that wasnt Kevin Samphy who became Kevin Young overnight.