Thanks for your feedback

Thanks for all your comments.

I have this in mind to invest in property, is it feasible?

1) Buy Property value of $500k using a HDT structure – 500 Units
2) Unit Holders as follows- SMSF 100 Units, Mum & Dad 400 Units
3) Bank Loan for Mum & Dad for $400k

With point 2, does it pass the arms length test?
With point 3, will the lenders loan mum &…[Read more]

Thanks Cata

For clarification purposes…….

Are you saying their property warrants will be “outlawed” by 2009 or was it the SMSF invetsing into a unit trust?

Thx Terry & Cata,

Terry – That was what I was thinking re. the loan between the two entities.

wow that is serious stuff. I think I should change tact [cigar]

Thanks again for all the posts.

Im sorry I should of stated the PPOR is now an IP and has been for the last 3 years. I have been claiming the Interest already as a tax deeduction.
I would like to know if I increase the loan size from $280k back to the origianl laon amount ($300k) will the $20k be still tax deductable.
The loan is interest only

Thanks for the info guys.

The reason I was doing it this way was to….

1)Allow my parents to stay in the apt from overseas for 3-6 months
2)Later on the superfund is to buy units from my parents (within the unit trust) therefore giving
the cashflow in their retirement. This way Tsfr tax dosn’t apply as the unit trust is still the owner of the…[Read more]