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A couple of things to consider, selling the property will affect the asset test for your parent's pension. Renting the property out will directly affect their pension (however they may be getting more income) and also be able to take advantage of the 6 yr rule for the PPOR. It may be a pertinent time to see a) Centrelink b) a financial planner c) your accountant d) estate planner etc to decide how best to move forward.
You can only claim losses (ie negative gearing) on income producing property. Vacant land is not income producing so you will not be able to offset the losses against your income until you sell the block.
Look at a couple of cheap units or townhouses
ryan mclean wrote:It is a complicated question because you are talking about complicated business structures. The way I understand it is this (could be right or wrong I don't know): – When you buy a McDonalds franchise (usually over $1million) you are often responsible for buying the real estate which that franchise is on.Wrong, Micky D buys & develops the site. They are a successful property developer with a tenant who sells a very popular product. That is, they develop the site, sell the franchise, franchisee pays rent, turnover rent, locked into purchasing products through their supply chain etc.
Gary, although unlikely in the short term with interest rates rising, however if the economy tanks, interest rates drop, the recession that we didn't have hits & you need to exit the loan (possibly for a cheaper loan), what exit fees will be charged ie not just early break fees but 'loss of interest' etc?
Yes, if the tenant is paying a net lease, they either pay or reimburse the outgoings. A semi-gross lease allows partial recovery eg: rates & taxes over a base year etc.
I'd be recommending that the house could be sold (right to assign the property) however the option would remain in place (level of risk but speculative for an investor who is looking at a possible short-term winfall).
god_of_money wrote:Ryan,
the CF+ in Moree is normally cost <100k, and 20% deposit is only 20k
My main concern is the house get burnt down and difficulty in finding 'good' landlord insuranceScott,
I don't think the police would like to tell you. There is an area with NO GO ZONE for police. Do you have any IP in Moree?No but I was involved in both the purchase and leasing of property for a client organisation – this is where I got my guidance from. Paid over $500k for the house.
Also remember that if you put the tenant on a commercial lease then you may be able to get all of your outgoings (even if you do it at a lesser net rent considering the way that water & land tax costs will increase over the next few years).
It depends on the lease that you put in place. If they sign a residential tenancy agreement then no gst is payable and gst is taken as an input whereas if the lease you sign is a commercial lease agreement, then GST would be able to be charged regardless of the gst status of the tenant (and you being registered for gst).
RH, you NEED THE OWNER'S CONSENT IN ORDER TO GET AN EASEMENT OVER THEIR PROPERTY. Even a tenant with a registered lease has rights over the property that they occupy and if it were a commercial site adjoining, then you would need to get their consent.
The creation of an easement over the adjoining neighbour's property can be a problem and probably more effort than it is worth. It is up to the developer to determine the best course of action, remembering that if there is another solution, even if it is more costly, then you may have to do it if it means not burdening the adjoining property with an easement. PS old people aren't silly and no amount of advice will change their mind about their property (gardens are valuable).
The relocation of a house will inevitably result in lots of cracks etc in the finishes, a transport company will exclude this from their contract.
The discovery of asbestos is up to you, your building inspection/testing will need to uncover it and negotiate the remedial cost out of the contract price. Unless the asbestos is posing a hazard, then just negotiate the best price.In the first instance, contact the licensee of the business, they may not know you have an issue with the property manager (unless the PM is the licensee).
Discuss the matter with the office of fair trading, they may be able to take action on your behalf on the basis that the PM is incompetent.
The problem is he cannot discharge to the street without creating an easement over the neighbour's property, obviously the neighbour is reluctant (and won't do it for love nor money). The purpose of the pump is to get the water out of the pit (which would be below street level).
If the neighbour has an advisor they would advise against creating an easement.
The first stop should be the local cop shop. They know all the good v bad areas and where on the street it changes. The new recruits rent alot of property up there (they get blooded in the area before being sent elsewhere).
A hydraulic engineer will design a solution for you (including the calculations, pump & pipe sizing etc). Pump size will be limited by the flow rate which is permitted by the council – they want a detention tank to slow down the load on their stormwater system not so that you can pump it out as fast as you can.
A special resolution has to be approved by a larger % of the body corporate. Things like that generally occur only whilst the developer still has control over the BC (and post registration of the strata plan). If the owner at the time was compensated for the 'loss' then it just flows with the title. A typicial example is exclusive use whereby garages/parking or an enclosed courtyard is located on common property however if exclusive use resolutions (which are contained in the by-laws) are passed then individual owners may be granted exclusive use over a parking space (and it will not appear on the title). These provisions exist to enable compliance with council requirements but give flexibility to the owners to use the property as they require.
Before thinking too much, consult your family law solicitor. If you buy her out before there is a judgement made against you for support and division of assets, then you may end up having to compensate your ex twice for the one property. ie buying her share now, and again later when you are judged to have $X in assets and splitting those between you, your ex and your kid.
If the rooms are not 'habitable' they may either have low ceiling heights (ie less than 2.4m), be other rooms like hallways, bathrooms, kitchens, laundries, garages etc but not a lounge/dining/bedroom or have inadequate waterproofing to meet the 'habitable' standard eg single brick wall.
If the agent is advertising the house as having x bedrooms, can they show you those rooms? It would be a long bow to draw but unless you had deep pockets to prosecute on the grounds of misleading advertising then it is caveat emptor (probably worth keeping any hard copies of adverts/brochures that they may have & take them to fair trading).
Dreamer, your artichoke is dreaming. That said, it all comes down to the construction detailing.
Assuming that you are going to use a standard 10KL tank, you must excavate to suit (about 10-11 m3 of soil), the top/inlet of it needs to be below the lowest point to be drained. (You may be hard pushed to find a 10KL tank which will withstand the forces of being buried as well as being able to withstand traffic loading, so the retention pit will probably be a formed concrete pit or precast concrete.
Yes, you will need 2 pumps (standby + backup) + float valve.
More than likely is that the area has had a special resolution passed granting use of this area to all units. The previous (possibly original owner or developer) may have received some payment for granting this benefit (reduction of area) and subsequent owners have benefitted from a smaller lot size (& price tag).
