Whats your plan?

Probably best to borrow money for it as it will be income producing.

If your accountant said that he is wrong.

I assume you are looking at a unit trust? If a person borrows to buy units in the trust then the person may be able to claim the interest on the loan used to buy the units if the units are income producing.

If you borrow money to give to someone there is no ability to claim the interest because there is no income for you.

If you borrow money to gift to a trust or to settle on a trust then the interest won't be deductible if the trust is discretionary because there is no guarantee that the trustee will distribute to you. A fixed trust is different as there is no discretion, but giftin to the trust won't cut it.

And, what do you mean about less deposit if the loan is in your own name?

Not sure what you mean. I guess you mean 'lend' and not borrow. But still confusing.

Why does she want to borrow in her personal name?

(Trust name doesn't go on title, it is the trustee's name that goes on title).

Do you have a judgment?

If so then look at enforcing the judgment. You can do this by seeking further court orders to seize property of that person – bith real and personal. Start by going to the local court and picking up a few of their brochures and ask them for assistance on how to get this order.

clicked – is that a pun?

If you were deriving income from the GF then the expenses would be deductible against any income to the extend that they relate to the income.

But capital items would be deductible by depreciating the items.

Beware of the CGT sting too as there are a few issues to consider and ways to reduce its effect.

Ideally you should secure you loan to them. But if you do this then they may not be able to get finance as no lender would want to lend to them. Another option is to lodge the second mortgage after settlement.

Interest rate can vary depending on how good a deal htey are getting. Nil to 15% maybe.

You can't contract with yourself!

Who owns it now and who wants to buy? If the same then impossible. If one spouse selling to another then ok, if a trustee selling to himself then ok – subject to terms of trust.

What?

It will be hard to market if it is not complete. You will not be able to show people through etc.

There may also be other people trying to sell as well.