I think the builders will be paying GST on all materails etc used in construction and this should reflect in the higher price of new property. established property wouldn’t be effected. I think

Terryw
Discover Home Loans
North Sydney
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All of your details are made public when using a company. Trusts are very private.

Terryw
Discover Home Loans
North Sydney
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There are a few new tax rulings on vendor financing that came out early this year. Julia from Bantacs has made a few postings on these, and it seems the rules are different if the property has been rented out for a period before wrapping it.

Terryw
Discover Home Loans
North Sydney
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I agree with Steven who agrees with Simon.

Geo I doubt that Dave is the same Dave as Steve’s Dave.

Terryw
Discover Home Loans
North Sydney
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I don’t know. But think that any property held under a trust is not really ‘owned’ by you, so it is better to hold this way than not.

But if just walk away and they sell the property with still money left owing, they will come after you. Being ina different country will make it alot more difficult though.

It will be hard for you to buy anymore properties in the near future if they list a default on your CRAA – you will have to go to a non conforming lender to get a loan, with much hgiher rents.

Terryw
Discover Home Loans
North Sydney
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Tracey

I think I claimed the intial option fee as a capital gain, and then when excerised, the sale price less the purchase price is the gain. The sale price will already have taken into account the reduction due to the option fee coming off, so it wouldn’t be included twice. I don’t see why tax returns would need amending??

Terryw
Discover Home Loans
North Sydney
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Hi Pete

If it were me, I would change all of my loans to IO, and save all of the extra money into a 100% offset account rather than pay off Principle – this gives you the option of paying extra when you like, or if you like.

If your properties are not cross securitised, then you could probably take the first one, and borrow up to 80% of the value as a LOC which would give you about $78,000 extra.

You could then use this money as deposits for the next one or two properties.

if you may reside in no. 2. that changes things. I would then put all my spare cash into an offset account linked to this loan. That way if you do not end up moving intothe proeprty, you can just take your money out of the offset account and still claim the whole itnerest on the loan.

I also think it is better to keep all of your loans as separate accounts and to not have all of your loans with the same bank. This gives you much more flexibility with increasing loans and accessing equity etc.

Terryw
Discover Home Loans
North Sydney
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One yar is a long time. Why don’t you write a letter, asking for the payout figure and exit fees and say it is because you have decide to move banks as they won’t give you an increase. I bet they quickly change their minds!

It is better in writing as it can’t get brushed aside by some nobody like on the phone.

Terryw
Discover Home Loans
North Sydney
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I beleive that you can use an existing property as additional security for your wrap proeprty, but once you have onsold a property under a terms contract, you cannot then use that property as additional security for another loan – afterall you do not own the equity, it belongs to the wrapees. LOs can avoid this drama.

Terryw
Discover Home Loans
North Sydney
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If they can get the grant and are working part time, then they may be able to qualify for finance themselves??

Maybe you could lend them 20% deposit instead and take a second mortgage (say 20%) and they could get the finance in their names. You could then avoid paying stamp duty twice and still make a profit and still help them.

Terryw
Discover Home Loans
North Sydney
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