you mean controlling the property but not owning?

1. Company with you as shareholder, or a trust as shareholder.

2. Discretionary trust with you as one of many beneficiaries

3. Unit trust with you as unit holder or discreionary trust as unit holder.

4. Bare trust with you as only beneficiary

5. spouse's name with you living there, paying for the loan etc – could be construed as a trust

6. parent's name with you hoping to get the property via will

7 parent's name with you hoping to get control via a testamentary trust in will

8. SMSF fund

9. Custodian trust as trustee for a SMSF (if bororwings).

Tax free passive income.

He has to sell CGT impregnated property to pay this, so the real cost maybe $2mil

I had a client whose mother died and she had $150k worth of UPE from the family trust. The trust had no spare cash and it was a third party executor who was duty bound to call in her debts. In the end the executor had to sue the trustee of the trust (director was the son) so that the estate could get the $150k and then distribute it to the beneficiaries – one of whom was the son. Supreme Court = very expensive.

So be very careful about UPEs!

In Australia pre-nups are called "binding Financial Agreements" and they can be made before during or after a marriage/defacto. They are binding if done properly – this is covered in the Family Law Act.

Many are not done properly though. They can also be challenged if there are material changes in cicumstances which are not considered

There are a couple of issues

1. Are you a defacto? Will you be living together as a couple etc etc. Sounds like you are a defacto couple to me.

2. Can a person rent a property to themselves? No

3. Ca a person rent to their spouse – possibly, but not if they are living there too.

Or

Don't get married/Defacto

Are you prepared to lie under oath? Make a false declaration – 5 years prison, max.

If you go bankrupt you will need to disclose assets. Including assets held by someone else as trustee for yourself, whether the assets are in Australia or overseas.

only lawyers can draft legal documents. But you might want to talk to a broker about strcuturing loans and a tax consultant about tax issues first.

I woudn't say "minimal" risk – there is a high degree of risk which you have to try to minimise.

Think about the legal side of things

1. Structure.

2. Borrowing structure,

3 guarantees, security for the loan

4. asset protection if you or PIL banktrupted.

5. death of either you or them – properly drafted wills (can save you hundreds of thousands in legals fees later).

6. disputes about releasing secuity/guarantees.

7. Centrelink issues – are they on a pension, and will this be effected

8. stamp duty on releasing an interest

9. land tax

10. writteb loan agreements

11. interest rate – to charge or not

12. terms of loan.

13. allow them to caveat

14. Do a full agreement documenting as much as this as possible

Wayno,

There is no work around. All you can do is to work out what the deductible proportion would be (hard) and then split the loan. into 2.

Before you start looking to invest consider some asset protection strategies.