Generally if you have bought half a property (with another person buying the other half with you) without any formal agreement (formal partnership for instance) then by default you have what is known as an informal partnership and the capital gain would be split evenly between the 2 of you.

So you will need to include 50% of the gain in your tax…[Read more]

Michael & Kaye, or Terry – I’ve got as far as Wealth Guardian explains… what is a Hybrid Trust?

What are the benefits over the family trust with corporate trustee/beneficiary that Steve outlines?

Apologies – I have just come across another post with all the info i need on this (entitled Hybrid Trusts funnily enough).

Regards,

Tas Investor

Great post Mini, I have read Who Moved My Cheese as well…

If you can adapt to what is happening around you, rather than being static (afraid of change) then you will prosper. Thinking ahead… you have to wonder where will the money go TO when it comes out of the property bubble? Perhaps our strategies should factor this in too?

The…[Read more]

Hi Lizzie – There are some tax issues too, dont forget.

Under option 1 (lower purchase price due to the rent) you will have a larger capital gain should you later decide to sell the property. This is because the initial purchase price (the cost base) is lower – unless you are somehow able to carefully word the contract to specify the reduction…[Read more]

or, if you are referring to Steve’s Wraps Live event – it’s at the Chifley Hotel on Flemington St this saturday!
Cheers [8D]

I’d love to meet you all there beforehand, but unfortunately wont be arriving until about 10.30pm fri night. If I walk in and there is a noisy group in the bar – I’ll know it is you guys though, ha ha []

Can’t wait – can you?

Hwd007 – the rents are the best part! (must admit I cannot compare with Bris though, not my area… yet!)

Vacancy rates seem lower than other places I’ve researched, and typical rents are $150-$180 p.w. for a 2 bed home and $180-$220 p.w. for 3 bedder.

This is for purchase range say $100,000 – $200,000.

A unit will typically rent for $90 -…[Read more]

Thanks everyone.

Hwd007 – I must admit I was initially thinking along the lines of buying a NEW IP through a trust and then renting it. So the benefit is simply another investment property, but with me as the tenant = the easiest investment property you will own, and no dead money with me renting a home from someone else. Its not meant to be a…[Read more]

Hey Ish… I guess that’s what we will all call you from now on that we know the forum will delete any damn profanity it comes across (tee hee).

Good tip Sooshie,

I pick up my copy in Sydney at either Wynyard Station or Town Hall Station (there are other newsagents that get it too) around 11am on Fridays (when it arrives), or they will save a copy for you on request. Its about $1.25 – $1.50 depending on where you go.

Tas

OK – thanks for that Terry, and sorry vluu27 for any confusion.

I have learned something new today too!

A lot of marketers (eg Cameron Bird) have been selling the fact that Virgin Blue and Qantas are providing many flights to Cairns now, and many flights come in from Asia (for tourists, weddings etc…) its the new Gold Coast.

I am a diver, and imagine having a property up there one day so that I can fly up for 2 days to inspect it (and get in 1-2…[Read more]

Hey Willrogers

All Tassie residential RE prices (not just Hobart are booming) – that’s definite. 3 properties I purchased exactly 1 year ago have recently been appraised higher by between 30% – 50%, and a property I bought 2 years ago is worth almost double.

There is huge demand by mainland investors – and ads in the RE guide you may have seen…[Read more]

Very interesting Ishita, thank you for the summary.

I can fill in a couple of the gaps you mentioned:

Protection is not grandfathered means if someone is suing you, you cannot simply set up a trust and ‘protect’ your assets. I think. []

Streaming (to maximise concessionally taxed income) is the same as income splitting, but relates more to the…[Read more]

Danczer, your first post and no one has replied[] I’ll have a go for you… (and no the questions are not naive my friend – it sounds like you have a nice opportunity to create a win/win solution here.)

My first query is: Why does she have to pay any CGT when she is selling her own home (principal place of residence)? It is exempt from CGT,…[Read more]

Hi everyone,

I was frustrated with my building insurance (through a mortgage broker) because when it came to be renewed there was a $100 broker fee attached to each property (x4) and I had not received any service (I know this is prob. not the case with all ins. brokers). The premiums quoted were similar to yours listed above.

I didnt really…[Read more]

I also had a similar case last Christmas. The tenants partner left him and he could no longer afford the rent and simply left!

When the property manager called around to follow up after the Christmas break regarding the late rent she found a note explaining the situation in the kitchen, with the keys.

Fortunately the tenant was contacted and…[Read more]

Hi, I am no expert here – but you need to be clear as to whether you don’t meet the lenders LMI criteria, or the LMI insurers criteria.

The reason for this is that there are only 2 (3?) mortgage insurers operating here, so if it is the insurer declining your application (not the lender) then it will be pretty much impossible to get it through…[Read more]

I’m 29 and work for a financial services/planning company in Sydney – in the NSW head office. I look after our branches and financial planners in Sydney and some regional areas – mostly in the training, business planning and compliance areas.

I am a CFP myself – but a bit rusty given its all qualifications and no experience!

Brendan,

I would suggest you have a brief chat to the bank, but a mortgage broker will probably be better able to outline your options and go through them with you. May be better to talk to a broker first, then your bank (more to confirm than discuss).

Also you mentioned extensions could have ‘possible bay glimpses’. Mate – you should get up…[Read more]