Richard, until they have set fee for service as a requirement for all Planners, I think it is near impossible to find an impartial one. They get paid huge upfront and trailing commissions from a variety of different suppliers.
I have a mate who is a Financial Planner (and handles some of my insurance needs) and he charges fee-for-service. I admire his choice!!! He advises, I select, he sets up and I pay. Everything is disclosed at commencement. It is nice and easy.
$14,500 sounds unusable unless your house is worth about $100,000. Regarding your family’s property, it is better if they just apply for their own loan and give you the money. It is much harder to use guarantor’s these days. Them getting their own loan also keeps things nice and tidy and very simple.
That article lost my interest the second it said “Home owners beware”. Why does the media feel the need to use scare tactics to get people to read a story? The article was as mild as any economic article could be. I guess I better “beware” and hide all my money because the writer thinks something terrible is about to happen!
Councils do not like commercial business operations in a residential zoned area. Home offices or home businesses are an exception to this. I don’t think they will approve a commercial lease in a residential zoning. It sets a dangerous precedent.
I think a 3rd bedroom would add more value if the living space that is left is sufficiently large enough for a family of four allowing also for visitors.
Regarding where to get funds, a whole lot MORE information is needed regarding what you have accessible to you (eg: family with property, equity in other property, etc…).
Lenders also have exposure limits that can be restrictive regardless of how good your serviceability.
I find that for people who are always wheeling and dealing with their finances and compulsively applying for credit for whatever reason tend to have a lot of problems. It does not show any type of loyalty to a lender so they respond in kind.
Most lenders do not make any money from a loan in the first year or two so they do look at whether you will most likely be with them for at least that period of time.
Back to credit cards, I thought it would be the too many enquiries excuse. Credit card providers really hate this as it increases their perceived risk of default exponentially.
I personally do not see the benefit of going to all the hassle for 20,000 rewards points that might equate to $50 worth of products especially when you already have a card to take this benefit. How much money and how many hours have you spent on this and how much is your time worth?
You have to live in the house for 6 consecutive months within 12 months of purchase. This means you can rent it out for 364 days and move in on day 365.
You will only be entitled to the FHOG and Stamp Duty concessions if you do this otheriwse you will have to pay it back or risk being prosecuted.
I totally agree with you from a cashflow perspective. I would be happy to lose the deductibility on the capitalised interest to be only required to pay 4 cents a month in interest increasing by 4 cents each month IF I required cashflow.
Unfortunately, this type of structure would only be available to or used by the equity rich and cash poor who were not looking to maximise their purchasing of additional properties.
I am not concerned by any legal proceedings. I have merely stated my opinions and concerns supported by excerpts from other websites. I don’t think they will challenge me when ASIC has already publicly stated similar comments and won in Court.
It is interesting reading stuff about these guys. I see comments in various places about over 6000 properties settled and not one complaint to ASIC or Fair Trading. I guess Court proceedings do not count as an unsatisfied client if they don’t make a formal complaint.
Bear in mind that many seminars have audience plants, so if you see some enthusiastic true believer in the audience dressed in a suit and offering up inane questions then this may be the case. I saw such a gent at an Investors Club seminar and Amway meetings always are full of them.
“The Investors Club obviously are trying to appeal to people with this whole “nice guy” routine with their name. Although The Investors Club is in every sense of the word just another property marketing company, calling themselves a “Club” falsely implies that they are not a for-profit organisation whose sole raison d’être is to make Kevin Young incredibly wealthy and hopefully prevent him going bankrupt again.”
“03-028 ASIC secures undertakings to protect investors
Wednesday 29 January 2003
The Australian Securities and Investments Commission (ASIC) has secured undertakings to protect investors in two Queensland-based, allegedly unregistered managed investment schemes, ahead of an urgent trial on 10 February 2003.
The undertakings were provided by company directors Mr Kevin Young and Ms Kathleen Clair Young, The Investors Club Ltd, Lisson Pty Ltd, Self Help Investors Group Pty Ltd and Club Loans Pty Ltd (the four companies) in relation to the two schemes, ‘Joint Venture Projects’ (JVP) and ‘No Tenant? No Problem? Program’ (NTNP).
The undertakings were provided to the Supreme Court of Queensland. The two schemes, JVP and NTNP, are operated by The Investors Club and its associated companies, which ASIC alleges act in breach of the law.
The undertakings by Mr Young, Ms Young and the four companies include that:
they will not borrow money from the public or members of The Investors Club in relation to the JVP and NTNP schemes, pending the final resolution of proceedings;
they will not to accept further investments in JVP or NTNP schemes, pending the trial or earlier order;
pending the trial, they will not encumber any property in respect of the JVP scheme, excluding payments to the builder in respect of the 8/10 Lloyd Street, Southport development;
no unit will be sold by them to any member of The Investors Club or any other person or entity relating to the JVP scheme (excluding the 8/10 Lloyd Street, Southport development);
every Friday up to the trial, they will provide details of any monies transacted with members of the public relating to the JVP and NTNP schemes.
ASIC alleges that The Investors Club, a property club which offers members property investment opportunities through the JVP scheme and a rental guarantee program through the NTNP scheme, is in breach of the Corporations Act
ASIC also alleges that the Youngs and their four companies carried on the business of providing financial services to consumers, even though they have never held an Australian Financial Services License.
ASIC had sought the appointment of a Receiver however due to the urgency of the matter the Supreme Court was satisfied with undertakings and the urgent hearing of the trial.”
“03-093 ASIC obtains orders winding up Queensland property schemes
Tuesday 25 March 2003
The Australian Securities and Investments Commission (ASIC) has obtained permanent orders in the Supreme Court of Queensland against Mr Kevin Young, Mrs Kathleen Young and the four companies of which they are directors, The Investors Club Ltd, Lisson Pty Ltd, Self Help Investors Group Pty Ltd and Club Loans Pty Ltd (The Club).
The orders relate to the operation of two unregistered managed investment schemes, and the offering of financial services without an Australian Financial Services Licence (AFSL).
‘This action has been taken by ASIC to protect the interests of investors and to ensure that schemes which are being run in breach of the law are removed from the market’, ASIC Director of Enforcement, Mr Allen Turton said.
The Club is a Queensland-based property club that offers members throughout Australia and New Zealand property investment opportunities and services that include the Joint Venture Projects (JVP Scheme) and the No Tenant? No Problem? Program (NTNP Scheme).
Mr Justice Muir made permanent injunctions restraining Mr and Mrs Young and the four companies named above from further promoting or operating the JVP Scheme and the NTNP Scheme, or any substantially similar scheme.
The Court also ordered that the JVP Scheme and the NTNP Scheme be wound up by the respondents, under the supervision of ASIC.
ASIC’s costs are to be paid by Mr and Mrs Young and the four companies.
The injunctions and orders for winding-up followed declarations by the Court that the JVP Scheme and the NTNP Scheme were managed investment schemes which had been operated in breach both of the licensing provisions, and the managed investment provisions of the Corporations Act.
‘Under the law, managed investment schemes must be operated by a responsible entity, namely, a public company that holds an AFSL, and must comply with the managed investment scheme provisions of the Act. The rights of investors are only fully protected when a scheme fully complies with the law’, Mr Turton said.
This Media Release supersedes and replaces previous Media Release 03-093 which also referred to these various orders.
Background
On 24 January 2003, ASIC obtained undertakings from The Investors Club Ltd and its associated companies, and Mr and Mrs Young, which prevented them, pending final resolution of the proceedings, fromthem borrowing money, or accepting further investments in relation to the JVP and NTNP Schemes.
The respondents also undertook not to encumber any property in relation to the JVP Scheme, or to sell any units to people or companies associated with the scheme, subject to certain exclusions.
On 21 February 2003, the court made preliminary findings that the JVP Scheme and the NTNP Scheme were unregistered managed investment schemes and that appropriate orders would need to be made after further submissions. needed to be wound up
The matter was adjourned to enable the parties to negotiate a process for winding up the schemes. As no agreement was reached, Mr Justice Muir made subsequent orders to wind up the schemes after further submissions were made to the court by both parties on 5 March 2003.”
I am still concerned that all these people are selling real estate and giving advice without being licensed. I don’t care how many disclaimers there are, it just cannot be done legally in my opinion. Maybe ASIC or Fair Trading should take a look???
1. Can Aussies actually buy and own US property?
2. Do you get taxed in the US on any positive returns?
3. How much tax is charged on funds making it back to Aus?
True, I have absolutely no idea where you stand on economic reform. You seem entirely satisfied that there are no problems whatsoever with the economy and that the Howard government can do no wrong. Government backbenchers are more critical.
And there you go putting words in my mouth again. Why does it matter where I stand on economic reform? I am not an economist. I am confident I can make money in any economic climate. I also have the benefit of being able to do whatever I want in Europe and the Middle East. It is all about me remember???
I have not once said there are no problems or that the Libs (personally, I dislike Howard) can do no wrong. I am just confident that we are in a better position than YOU try to portray and I am certain that the economy would go straight into recession if Labor was in control.
Having said that, I find most of the good posts in this forum appear in that forum as well and vice versa. I personally also prefer the layout and colours on this site. Much more appealing