A wrap is just a sale, with a bit of a twist. I guess how long it takes depends on how good you are at onselling. Management should be less hassle than a normal rental as you don’t have to worry about repairs, etc.

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You could possibly consider offering a precentage discount on the market rate in x years time in return for higher rent now.

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Very good, but where can you buy land that cheap!?

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No, there is no difference. Don’t know what you mean by being charged on home owner mode. I don’t think there are many lenders out there these days that charge differently for owners and investors.

What the ATO looks at is the interest charged.

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If you add someone to the title, it is the same as selling. Stamp duty will be payable on the percentage sold, and CGT would apply. Even if no money changes hands, the ATO would require you to pay CGT as if the property had been sold at market rates. Same with stamp duty.

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Hi Toni

Yes, can buy shares in a trust. Though there are special rules with regards to dividends (family tax elective).

If you are buying a property, the trust must be set up first. Otherwise you will have to pay stamp duty again when transferring it to the trust.

The title goes in the name of the trustee – which may be an individual or a company.

Can buy in different states using a trust.

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You do not need a company set up as trustee, but this adds additional expenses. Cost of company is about $1000. Having yourself as trustee is free with no yearly asic fees, but offers slightly less protection.

Cost of discretionary trust is about $200+ online or $1000+ with an accountant.

Hybrids are generally not available online, but I think http://www.chrisbattern.com.au has them for about $1200+

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Any other opinions on this topic?

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Without equity or deposit it will be hard.

Some options include:
-100% loan (eg St george)
– Find a vendor willing to lend you the deposit
– Borrow a deposit

If you rent out your own home, it may have CGT implications – you can only claim one home as your main residence at one time (except for a 6 month overlap period).

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Most low doc loans require the applicant to be self employed for a period of 2 years or more. Evidence of this is the registration of an ABN. So the sooner you get one hte better!

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