Quote:
Wow…the banks suck even more than I thought!! 15%-20% LVR!!!

There you go! ;o)

Jason, how much of your personal money would you lend to a person over 70 y.o. whose only income is the pension, and who has to pay food and housing costs out of this pension?

Terry
Finance

Hi 6*1
As I umderstand the CGT rules your PPOR is exempt from CGT, and you can only nominate one PPOR.
So any IP’s, whether held in your own name or in a trust or company, if disposed of will attract CGT. There is a 50% discount of CG if the asset has been held for more than 12 months. Have a look at the Australion Tax Office site for the official…[Read more]

‘Rental properties are for poor investors’.
Frank Loewy has been wrong all these years?

Interest rates IMHO:
money is a commodity and costs more when it’s scarce, less when it’s not.
Interest rates of 15-18%, and I paid them, were due to baby boomers all wanting housing and consumer finance in the same decade. Now these same people are…[Read more]

Hi Leigh.
The difficult part may be proving to the US lenders that you have a secure investment.
Another thought: what about currency fluctuations?
The A$ is now around US59c. What happens if it goes back to 49c, as happened not so long ago.
How many Aussie farmers were burned taking out foreign loans following the advice of their…[Read more]

Hi 111111.
The book ‘Family Trusts’ by Nick Renton is an excellent resource. It can be borrowed from libraries, but is good value!
Bruce mentioned legal changes. My thoughts are that most of the rich & powerful decisionmakers already use trusts and won’t make adverse changes for themselves!
Terry

Terry
Finance

A reply to Louise:
A trust cannot exist where the sole trustee is the sole benficiary! The legal point is that one cannot hold something in trust for oneself.
If you don’t wish to leave your wealth to anyone then you don’t probably don’t need a trust!
Who are the beneficiaries in your will? They could be the other beneficiaries in a trust besides…[Read more]

Hi Adonis.
Try http://www.creativerealestateinvesting.com.au.
There is a handbook, written by an Aussie for Aussie conditions, available on this site. Y0ou can buy an e-book or a hard copy. I found it good value!
Terry

Terry
Finance

Hi Vlad.
Welcome to the board.
With rentals yields in Adelaide at present you may find that the only cash-flow positive properties will be in “less attractive” suburbs. I think most members on this board would agree that investing in property earlier will be better than “saving”, if you mean saving in a term deposit etc. Of course, everything…[Read more]

Hi charalambous.
Do a lot of research before committing! See page 3 of “The Australian” today (3/1/03). If there is enought concern for Govt. agencies to be considering action there must be pitfalls for the unwary. (This does not mean that deposit bonds won’t work).
Terry

Terry
Finance

quote:
And now my questions…

2. If you remove Company B, and make Company T the beneficiary instead (so it’s both trustee and beneficiary), doesn’t that negate the asset protection benefits of the trust? i.e. If Company T was sued when it was only the trustee, it has nothing to lose. If Company T was sued when it was both the trustee and the…

[Read more]

Congrats, Steve. Well deserved.
A big thanks for your Melb. seminar.

Will you be the Don Burke of property?!!!

Terry

Hi, Tara.
Why sell your property? Surely you will incur costs of sale, and costs to repurchase? Draw down on your equity in your home, and use this loan to make a deposit/s on investment property/ies. I am an older baby boomer, and like my present home (in Adelaide). Age makes no difference, except that you have less time for compounding to work…[Read more]