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  • Profile photo of SebastianSebastian
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    @sebastian
    Join Date: 2003
    Post Count: 55
    May 14, 2004 - 12:07 am

    Firstly, thanks for your responses people.

    At this stage I am trying to get a handle on investment structures prior to seeing an accountant (So I at least have a foundation of understanding, which will, hopefully, minimise the chances of my accountant loosing me in a pile of jargon). I’ve read Weath Guardian and I have trust magic on its way to me.

    Lucifer_au,

    The beneficiaries of the trust are only going to be myself and one other associate, so control of income is not a big issue. My major goals are asset protection (in case either one of us gets married or sued or whatever… you never know what will happen in the future!!) and secondly, tax minimisation.

    So the 30% CGT when you sell as a company, what would it be under a trust?

    Rob,

    Yes good point, I see very little situations where the company would get sued.

    Also, the client you speak of, who or what did they use as the trustee of the trust, another company?

    Thanks for sharing about your client’s structure, it is interesting, and one I did not even consider.

    In my situation a discretionary or hybrid with corp trustee looks like it is still the better option for me.

    Thanks Again

    Sebastian

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    @sebastian
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    May 13, 2004 - 9:12 am
    Originally posted by The Mortgage Adviser:

    The best way around this I have seen is one of my clients who bought all his properties in a company name. There is more choice when using a company name. The shares of the company were all owned by the family discretionary trust. Any dividends were paid to the trust and distributed as the executors saw fit.

    The directors of the company still have to provide all details to obtain the loan. At least the loan and the property were in the company name (which was owned by the trust).

    So would this structure give you the same protection as a trust with corp trustee? What if the company gets sued? The property is up for grabs??

    Also how are so many ppl using trusts if few lenders will lend under a trust name?

    Thanks

    SebSez

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    @sebastian
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    March 19, 2004 - 7:10 am

    Thanks for your replies.

    So basically don’t worry about the bore. So I take it that it wont add much more value to my house then it is costs.

    My main issue here is equity. Getting tenants is not a problem. I would however like to up my equity so I can borrow against for another property. That is why I am thinking garden, the retic is an improvment and then the garden will improve as a result, therefore It has a 2 fold effect on increasing equity.

    I don’t see myself needing to spend much on landscaping. I have a few garden beds, which I will dig out and put some bushy plants into. The main thing is the lawn. What I will do here is buy some runners (as opposed to roll on lawn, which is much more expensive) So with some runners in place and retic, hopefully the lawn will start looking like one!!

    Cheers

    Seb

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    @sebastian
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    November 21, 2003 - 5:23 am

    Thanks for the replies everyone.

    I think the solution may be a combination of methods. One of which is bringing $10K into the country when she comes back once per year.

    Can anyone recommend an off shore specialist?

    C2, What would be involved in being a non taxable resident living o/s?

    OzpatinQ8, I have looked into the 91 day offshore clause in the Australian Tax guide, but the way I read it is that you will not have to pay tax to the ATO if you have more than 91 days foreign service, except if you are not taxed by the counrty that the income is derived in.

    Terry, So would it not be possible to do a number of small depostits into the credit card? Something like 4 x $9000 USD over the course of a year? Would that be against the Financial Reporting Transactions Act?

    This is getting interesting!! [:D]

    Profile photo of SebastianSebastian
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    @sebastian
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    June 12, 2003 - 8:32 am

    Joff,

    Yeah I would ask your Mortgage broker if you are using one. They can arrange a deposit bond for a percentage of the amount of the bond. They are not done through the bank but through a third party. I was going to get one for an auction (but decided not to bid in the end) The name of the company that provides the deposit bond escapes me, but I’ll have a look around and let you know if I find the name. But the easiest way is to go through the mortgage broker.

    Cheers

    Seb

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    @sebastian
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    June 12, 2003 - 8:22 am

    Neo,

    Yeah I’m not expert, but with regards to extending the building and making extra profit, it really depends on the building and location as to whether that kind of improvement is something that people will see as a benefit (and how much of a benefit) for that area and that paticular property.

    Don’t know of any formula for calculating the cost of extensions as it would depend on what u want done, but I would call up a few companies that do extensions etc and from that get a general feel or average price you can use.

    Cheers

    [:D]

    Seb

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    @sebastian
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    June 6, 2003 - 2:58 am

    Yeah thanks 4walls,

    I thought that would be the case because you cannot depreciate something that does not effectively incur any “wear and tear”. I must re read that section in the book as I may have interpreted it incorrectly.

    Thanks again

    Seb

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    @sebastian
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    June 6, 2003 - 12:42 am

    Hi Everyone!

    Good to get some support!!
    The general idea of this type of network is as Justin mentioned, to share ideas, information, opinions and in general to make friends, contacts with like minded people so that we can all benefit from each others knowledge and expirence.

    I know Tracy wants to drive this and will be getting something organized, so that maybe we can all get together and meet.

    If anyone would like to email me so that we can all get in contact my email address is [email protected]

    Cheers

    Seb

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    @sebastian
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    June 4, 2003 - 8:45 am

    Tracy,

    Thanks for the reply.
    Sorry, when I said inner city suburbs I may not have been very clear. I definately do not have any plans to buy anything in the CBD! What I was refering to is closer to the city suburbs, ie. 10km radius of the CBD.

    I have just purchased a property in Belmont as it is close to the city, there has been a lot of activity there and the council is injecting a bit of money into the area.

    What are your thoughts about the rentability of places in Joondalup / Clarkson? I have not really considered these areas, what is the vacancy rate like? Do you have any expirence in purchasing property in these areas?

    Cheers!! [:D]

    Profile photo of SebastianSebastian
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    @sebastian
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    June 4, 2003 - 8:13 am

    Hi Tracy,

    I am quite new to property investment having just purchased my first property and am currently doing some research / developing a strategy for next financial year so that I may purchase at least another property before December.

    I found your idea about developing a network of Perth investors interesting, what do you have in mind? What is it that you do exactly, I notice that you are a finance consultant, what do you specialize in, home finance?

    Do you have any thoughts about some more inner city suburbs?

    Thanks

    Sebastian

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    @sebastian
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    June 4, 2003 - 12:27 am

    Hi there Neo,

    I have just recently purchased my first home and I will be doing something similar to what you are thinking of doing.

    My understanding is that as long as the house that you have applied for the grant for is your principle place of residence within the first 12 months after settlement that you will qualify for the FHOG. Therefore you may rent it out, or part of it as long as you live in there within the first 12 months after settlement, and that does not mean you will have to live in there for the entire 12 months, you may for example move in there 6 months after settlement. However, I would suggest that you do some more research into this as I will be to confirm this. A good starting point is http://www.firsthome.gov.au/ and I would also suggest giving the FHOG people a call to speak to them about your plans.

    Does anyone else have any thoughts about this?

    Regards

    Sebastian

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    @sebastian
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    June 3, 2003 - 2:34 pm

    Thats a fantastic Idea Tiffany. Well done. I have done door knocks before asking people if they would be interested in selling their property, but unfortunately I did not have much success. I would love a copy of your flyer. If you could foward to me [email protected] that would be most appreciated!!

    Regards

    Sebastian

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    @sebastian
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    June 3, 2003 - 5:53 am

    Andrew,

    Thanks for the reply. Do you happen to have Stuarts email address so that I can contact him?

    Cheers!

    Seb

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    @sebastian
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    May 30, 2003 - 5:25 am

    David,

    Thanks for the advice. I had a look at your web page and was impressed, very comprehensive services that you offer! How do you structure your consultancy, is it like a mortgage broker / real estate agent, where if you find a suitable loan product and or property you receive a fee from the lender / agent?

    Thanks, once again

    Sebastian[:)]

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    @sebastian
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    May 29, 2003 - 1:59 am

    Petra,

    Thanks for your reply. So what you are saying is that it is possible to make these lump sum replayments into a IO loan but there may be fees attached… OK Now would these lump sum payments come off your principle and hence affect your future IO replayments by reducing them?

    Thanks

    Seb

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    @sebastian
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    May 28, 2003 - 4:46 am

    Thanks for the reply trueblue. With regards to the actual rental income derived from renting part of the house out, substaintating the income to the bank will just be a matter presenting the bank with a rental contract and receipts?

Viewing 16 posts - 21 through 36 (of 36 total)
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