Paul

Hate to say a pipe dream it is:

You are unable to transfer non business property into your superanuation fund and any lending within the fund needs to be non recourse.

The transfer of property into Super would trigger if possible (Commercial / Industrial is ok) both stamp duty and CGT.

Hi Pappy

If i have it the right way around you would move into the new house and rent out your current PPOR.

Only problem you have there is that the interest on the new loan will not be tax deductble whilst your current townhouse will be positvely geared and the net rent after expenses together with the income you receive from your father will be added to your income and taxable at your highest marginal rate.

Depending on the actual figures you could look at selling your current Townhouse to a Trust structure , borrowing 100% of the current market value and use the net loan after repayment of the $70,000 as deposit on your new property.

This converts the non tax deductible debt into tax deductible interest although as mentioned all of the information is required to make a worthwhile comment.

Stamp duty will be payable but again depending on how long you intend to stay in the new home will determine whether the exercise is worth it.

Problem is in doing that Linar you are unable to redraw the excess payments down the track and claim them the interest as a tax deduction.

Craig

I have no problem =with such a product where the cirumstances dictate and the property is in a good capital growth area.

Similarly an Equity Finance Mortgage or Equity Share product also has a place for the right borrower. This unfortunately is a Full Doc product and currently not available for investors yet.

As long as you are not paying a high rate premium for the money management it is the same as capitalising the interest yourself through a  Line of credit product. 

Max

An investor orientated mortgage broker can often alleviate some of the issues you have outlined.

Unless you can tie up the property under contract with subject to terms there is never a fool proof way of avoiding gazumping but a quick valuation and the ability to move forward when required can often help put a vendors mind at rest.

Perhaps no one has told Metricon then.

Hi Elka

No sure about the encyclopedia bit but thanks anyway.

Section 17A of the SISS must be satisfied for the SMSF to comply. This section requires that :

1) Each member must be a Trustee or if the Trustee is a Company each member must be a Director of the Company.

2) A person who is not a Member may not be a Trustee or a Director of a Company which is a Trustee:

There are very limited exceptions for Legal Personal Representatives to become Trustees however the LPR would require authorisation from the Regulator. They would also need to be a Director of the Company.

I thinkit would be a tough to expect your Lawyer to take control of the SMSF and secondly be tought to get the Regulator to approve his appointment especially where it was deemed he was appointed to avoid the non residency requirements.

Not saying it couldnt happen just wouldnt fancy your chances.

I couldnt agree with you more mrdenn.

Would you use a broker who wasnt a property investor or use a Financial Planner who mapped out some wonderful strategy for your retirement if they themselves hadnt already retired.

All i was saying I believe in supporting people who make a worthwhile contribution to the forum hence my recommendation for Alistair.

Many guys come here in the hope they can snare a bit of business. Members like Alistair dont need the business but still give up their time to assist new investors in asnwering questions and providing information.

What State is the property in ?

Simple Post – You dont.

You can only offset with the lender that you have your home loan with.

Many clients are looking at offsetting against their fixed rate and there is a limited number of lenders but is still doable.

Unfortunately the CBA Misa  loan is not quiet a true 100% offset.