hi Misty1

When Paul Keating was treasurer he brought in a CGT exemption on your PPR, often called the “6 yr rule”.

It works like this, if you move out of your PPR because say your employer asked you to work interstate for a couple of years and during that time your rented your home and did not have another PPR ie you rented, you can later sell your PPR and not be up for CGT on any gain. During the time it is rented you have to declare the income and pay tax on the profit or get a refund on the loss.

Regards

Tony

Hi Cal

No one is talking about an offer and acceptance here. To put a property on the market in NSW the vendor must have a contract.

And just like an offer and acceptance in WA, you can have a solicitor write one up, you can buy but there is a small problem when you want to COPY one and reuse it. It’s call copywrite law.

Best of Luck

PS Chris isn’t in the eastern states he is in the 7th state

Jack

The first place to go to is the duty planner on your council front desk.

Take the DP & Lot # and a survey plan, that ought to be attached to the contract. And ask the planner, “can this be done here.” Having done it many time ourselves it can be done quickly and without a great deal of cost, however our aim was not for a higher LVR.

Things to look out for;

if the block slopes away from the street, and you cannot get the stormwater away without an easement, then don’t bother, (there are easier deals out there), and

people who mean well but don’t have a demonstrable track record.

Gook luck

Tony

Hi MC

1) Via discretionary family trusts,

2) asset protection.

Cheers

Tony

P.S. hybrid trusts are often touted on this forum as magic puddings – if you are concerned, (and you should be) that they may fail to deliver the promised tax benefits, get a PRIVATE BINDING RULING from the ATO prior to entering the arrangment.

ATO now forgive but will never forget….

Hi,

Travel prior to settlement of the land is strangely neither, deductible or added to cost base, (check on ATO web site under rental properties).

As you have settled then incurred expenses prior to deriving income, (rent) the expense is capital in nature and added to the cost base (S6 1 ITAA) as it doesn’t fall under the decline in value (depcn) divisions it cannot be written off.

There is no golden thread of common sense with tax so I guess it keep us in a job.

Regards

Tony

Joe

NSW OSR land tax is based on the land value. Unlike other states NSW uses their own dept values rather than the VG, (which many councils uses to base their rates). And as of 1/1/05 all land, (except PPR & farming) will be subject to land tax…. Guess somebody has to pay for Sydneys transport solution.

Regards

Tony

Jumbo

Try CGU $5mil cover, $500 excess, premium $462 in NSW
my broker Oamps got it for me.

Regards

Tony

Matty73

You need to take a position on investment property now. ie are you in or out, now.

We took the postion we are in. And in the last 3 months have bought;

11 x +ve cf residential ip’s ($572K total all in country NSW pop.> 10K)

and a +ve cf commercial building ($432K)

These are all buy & holds and we are looking for more.

Set your goals, make a plan and take the action.

Good luck

Tony

Hi Celivia

Coming from Newcastle, where every building pre Dec 89 has cracks in it from that earthquake or the one in 1930(?) and the one in 1896(?)or from mine subsidence means we don’t freak out as much when we see them.

However, we are in the process of purchasing an 8 x 2 bd unit block in NSW country built on highly reactive clays, (as is the whole town) with minor, (ie not gaping) cracking in 2 units. The cracks have discouraged other purchasers, so we go looking for a problem and a solution and our building inspector advised us it can do 3 things. Stablise itsself. Require stabilising, ( there is new technology to do this)or fall down! We know from prior experience costings on stabilising, so we put in the budget and they still show up +ve cf. We just tried to remove as much chance from the outcome.

good luck

Tony