The trust bank account can transfer the deposit directly to the agents trust account for the purchase.

Money from the trust should not touch your personal bank account for a variety of reasons – but if it did that doesn’t mean it is income and tax is payable on it.

The trustee could borrow against their property. If they pass away the mortgage would probably need to be discharged so the trustee will need to either pay out the loan or find other security or other sources of funds to pay out the loan.

2. never to an existing trust, consider a new testamentary discretionary trust in the will. Powers might…[Read more]

A trust is not a legal person so it cannot enter into a contract. It is the trustee that enters into the contract and goes on title and gets the loan. Same as buying property normally really. The trust should pay hte deposit out if its funds (trustee holds these funds as trustee separately from their own personal funds).

A trust distributes…[Read more]

Financial ombudsman look after companies offering financial advice and/or products – banks, financial planners etc. It is an external dispute resoluation service for members and their clients.

strata is not a financial product and they would not be a member of FOS so they could not assist. What we have here is just a plain old civil dispute.

I dont think the financial ombudsman would have any jurisdiction over this.

You would think they would have tied to contact you.

I have a woman call me a few years ago who was actually bankrupted because she didn’t pay the strata fees for a couple of years. She was actually solvent but had some sort of dispute with the building management and refused to pay. She was served legal documents and ignored them. Next thing she…[Read more]

Actually a contract is binding when accepted.
But with property a contract would be unenforceable if not in writing. This means getting a contract with the vendor’s signature.

That doesn’t make grammatical sense!

The company is either acting as trustee or the shares of the company are owned by a trustee of a trust?

Either way you would have to supply the finnacials to a lender

I don’t know if there is anything preventing an agent from showing still as there is a chance the contract could fall over or be subject to a cooling off period.

THe law is clear. You contracted to pay a certain amount and you didn’t – you breached the contract. The other side incurred a loss due to your actions and they incurred additional costs which you should be liable for. They shouldn’t be liable for your actions.

What is there to change?

after settlement it is a bit late to do much.
Seek legal advice from a strata/property lawyer.

You cannot pay yourself a wage, only another entity can. If you set up a company but you own the properties how do you get the income into the company? Even if you do start a company you will be self employed so the lender will want to see the company financials.

I don’t think you will have much luck.

The lender will assume the salary sacrifice is not happening as long as it could be stopped.

Is the trust a related party? The lender will likely want to see the financials for the trust and will take it into account.

There is no contract until the offer is accepted (in writing)

Thanks Ethan, but I don’t practice property law. I am a structuralist!

in NSW try Tony Cordato (lawyer)

You probably won’t be able to borrow without an income other than rent because of the minimum living expenses the lenders will assume.

Hi Corey

Actually with something like this Part IVA wouldn’t be applied because it would fail deductibility under s 8-1 ITAA97.

You can borrow to do as you propose but the interest won’t be deductible.