Refinancing you will earn the broker a commission so they are biased. Ask them to justify why you should move lenders – it may make sense because of a lower rate, etc.

You won’t legally own the property until settlement.

Mortgages should not be confused with loans. A mortgage is a security over property. This differs greatly from coutnry to country even those with similar laws such as England and Australia.

A loan is the borrowing of money and is often secured by a mortgage. Lending requirements also differ a lot from country to country. Australia is generally…[Read more]

You should probably ask in that thread.

How do you gift equity to a trust?

A gift has to be delivered to be legally valid. If you are transferring cash it is not a dutiable transaction.

See this thread, another guy with the exact same question:
https://www.propertyinvesting.com/topic/5037398-buying-a-mortgagee-in-possesion-2

To do a building and pest inspection you will need permission to access the building. The vendor may or may not give this. The vendor is in their right to refuse.

It is also true that the bank may not be inclined to negotiate as they want a straight sale.

1. If the trustee has this power. Read the deed and the relevant trustee act
2. Probably not
3. Depends on the above. Tell ATO on the next trust tax return.

AS Benny says best to move into it straight after purchase and then rent it out. This way you can claim the 6 year absence rule to treat it as your main residence while it is rented out – which could mean you are keeping it CGT free.

But if you didn’t do this all is not lost because the CGT will be worked out on a time basis if you later move…[Read more]

Renting where you live and investing in property.

Who suggested you sell your share and why?

I haven’t seen the draft legislation, but my understanding is no travel will be claimable from a certain date – 1 July possibly.

1. no
2. no

1. Assuming Part IVA is not used by the commissioner to deny the deduction, and you structure the legal documentation correctly it would be $150k plus $45k

2. Yes, but you should use a lawyer as many other legal issues.

3. are you licenced, ABN and insured?

This sort of will be hard to find unless you have a property to secure it against. banks may lend under commercial funding using the reno proeprty as security but it would generally be costly.

The only time you should use a portfolio loan is to access equity temporarily. Once it has been drawn down it would be best to convert the loan to a term loan interest only. Lower rate and less risk.

There is no minimum time.
See the legislation at http://www.austlii.edu.au/au/legis/cth/consol_act/itaa1997240/s118.192.html

There are several things you could do
a) claim the 6 year rule on the current main residence when you move out. It could be totally cgt exempt.

b) rent the current one out and get the cost base reset to market value at this time and then later sell. Probably minimal to no CGT on this one

c) pay CGT on the existing and then treat the new one as…[Read more]