I think it is 5 years

Different

Joe, you only pay after the work has been completed – unless money goes into a trust account.

Thanks Jamie.

With property it is best to use a lawyer from the state you are buying in. I wouldn't act for a property matter in SA as I am not familiar with state laws there or the procedures etc.

I don't know how you should choose your lawyer, but someone with a experience in the area you want to focus on – area as in topic. You can also look for an accredited specialist in property or just someone that seems to specialise without being a formally designated specialist.

Coordination 10 people is hard. Have you ever tried to organise a group of 4 to eat? what, where etc is not easy. Imagine with 10.

1 will almost certainly lose interest and want to pull out etc. Constant hassles like this. Choosing a property that everyone agrees on will be a nightmare. Except if they are just shareholders and there is one director who decides maybe.

Trusts effect on borrowing capacity would be similar. Each unit holder would be required to provide a personal guarantee as well as the trustee or company directors of teh trustee. Each guarantor would be guaranteeing the whole loan amount. So if you bouhgt a $500,000 property you may 'own' $50,000 of it but you would be guaranteeing $500,000 loan. Each subsequent loan would look at you owing $500,000 but only getting an income of 10% of the rent…

Heaps of issues but income tax probably won't be much of an issue.

Does this breach the Corporations Act managed investments without a prospectus?

How many directors?

How many shareholders?

Who would be shareholders?

CGT 50% discount

Loans – who guarantees?

death – what if one shareholder dies?

bankruptcy – shares fall into hands of creditors.

Divorce – shares fall into the hands of a spouse, family court orders over company etc

shareholder's agreement for various issues

injecting money – loan or equity?

etc etc

JS, I have seen many people try this none have succeeded.

Do you realise the effect this would have on an individual's borrowing capacity???

You need to think through the various issues. there are many.

next move would be to speak to your tax advisor. and keep detailed records

I dont' know if annullment means void from the begining or not. If it did it would be like the bankruptcy never happened.

And look at the contract carefully.