@Terryw conjunctions are fairly common but I have never done one. I don’t believe they work very well for the buyer in most instances. It makes for a cranky sales agent every time. Only desperate agents in very quiet markets accept conjunctions. In any warm to hot market it will fail to get through every time, why would an agent say goodbye to…[Read more]

Thanks for the responses guys, to clarify:
– The business has gone extremely well renting out office space to other small business owners, and as a whole this concept of co-working spaces has grown exponentially over the last 3 years.
– I run Your Desk (www.yourdesk.com.au) and over the past 3 years we have built up to offering 80 desks, with a…[Read more]

Cheers for the responses, was just throwing it out there.

There's nothing stopping me from moving in initially (i should of clarified that I haven't moved out from the oldies place yet as I'm only 20). It's purely a financial decision as I currently have low expenses.

I am aware that it's illegal to simply rent the place out whilst claiming that…[Read more]

Ynchai wrote:
Thank you so much for your replies. Really helpful.

@TerryW, i just read the tax case you referred to, it sounds like the interest on creating capital is not tax deductible, and construction could ve argue as capital creation even with intention to rent out the property so based on this case, it wont be tax deductible during…[Read more]

Ynchai wrote:
Thank you so much for your replies. Really helpful.

@TerryW, i just read the tax case you referred to, it sounds like the interest on creating capital is not tax deductible, and construction could ve argue as capital creation even with intention to rent out the property so based on this case, it wont be tax deductible during…[Read more]

Thank you so much for your replies. Really helpful.

@TerryW, i just read the tax case you referred to, it sounds like the interest on creating capital is not tax deductible, and construction could ve argue as capital creation even with intention to rent out the property so based on this case, it wont be tax deductible during construction. Am i…[Read more]

@Terryw – Thanks again for clarifying and supplying your valuable insight –  great thinker.

@Reenee – Living as a one income family and having a combined risk profile (from what I read) as quite low – I am hoping that you read Terryw's comments about "asset protection".

Everyone's situation and goals are different and you will have to find your…[Read more]

@Shape and @Terryw thanx for the valuable info.
I read about Trust etc….but dont really want to get into that right now considering it’s my first IP.

I’ll just make an appointment with a property accountant to go over this.
I also look in the contract for the “Tenants in common’ can’t find it.
My next step is visit an accountant and see what…[Read more]

@jacqui_03 – just wanted to get back to you…I didn’t actually raise with my guy until recently, tax time and all…he was happy with it, using same reference as @Terryw had provided above, for what it’s worth. The usual caveats apply of course, namely—seek your own professional advice!

cheers

Thoroughly helpful, and so quick – thanks @Terryw!

Cheers @Terryw, I look at it this way too, I just thought that I’d put it out there to see whether anyone had run aground on the ‘nexus’ point. With respect to the notion that all I’m doing is a periodic ‘refinancing’, I don’t suppose you could point me to any ATO guidance that explicitly talks about how interest on investment-related debt remains…[Read more]

@Terryw, I hadn't considered that before (The bit about not being able to get professional accreditation). Could you please point me in the direction of more information about the professional limitations of bankruptcy?Also, on the subject of trusts, I understand that using trusts can shield me from personal liability if something goes wrong with…[Read more]

Thanks everyone for all your feedback! Very informative indeed.

It is good to see that it wasn’t such a crazy idea after all. As I mentioned in my first post, the motive behind wanting to do the subdivision thing is savings. I haven’t done the numbers yet to determine whether there will be much in the way of savings after paying subdivision…[Read more]