Thanks Scott, will be giving them a call on Monday.

Joe, I live in Maribyrnong.

Thanks I'll look them up.

The land was previously the government explosives and chemical site and while I understand tests would have been done prior to releasing the land I have a few sick family members all getting ill at the same time.  I could just be paranoid but it's better safe then sorry.

Terryw wrote:
Thats about it. If the trust buys a property that is negative geared it will need a cash injection to continue to operate. A gift or further loans.

Thanks Terry – but what about protection, I have been reading this thread with interest:https://www.propertyinvesting.com/forums/getting-technical/finance/4331681A few months ago I…[Read more]

Dan42 wrote:
No, they can carry forward until used up.

Thanks!

Terryw wrote:
I think it is possible to claim the interest – but you will be receiving interest from the trust so these will cancel each other out. The net result is the trust gets the deduction. There is no real way around this as the interest you pay on the LOC will only be deductible if you are using the money borrowed for investment/business…[Read more]

Dan42 wrote:
On your first point. With a family trust, the losses stay in the trust. Over time, as rents increase, the property will eventually become cash flow positive. The losses in prior years are offset against future years income.Second point – I don't think that is your only option, but I'll leave that to someone more…[Read more]

Hi Terry,Helpful as always!Correct when I am doing my calculations I am hoping to claim a personal tax deduction on the LOC interest as well as the home loan for the IP – but I don't believe it can be possible with a trust from what I've read.Thanks

Hi guys, just want to piggy back on this thread as my question is in relation to a LOC and tax deductibility.  I have been reading much on using equity to finance loans to acquire further investment properties and being able to claim tax deductions on your personal income for the interest accumulated on both the LOC and new loan.This is all great…[Read more]

Absolutely awesome tip Richard – much appreciated.  Never thought of doing it that way.

Thanks for this thread, it has some good info.Can I ask how a LOC would work if the situation is this:- My parents own our PPoR under their name and the bank loan is also under their name- We have been working together to pay off our PPoR (there is only a small percentage that is unpaid at this stage)- Now I wish to use some of the equity in our…[Read more]

Thanks for the prompt reply Dan, clears it right up.

I was going to start another thread but my question relates to this one so here I go.  I am a little confused on conflicting information I have obtained regarding negative gearing and trusts, namely unit trusts.In Tony Melvin and Ed Chan's book "How to legally reduce your tax" they claim you can use a unit trust and as an income unit holder you…[Read more]