Im pretty new to this, so excuse me if this has question has been posted before (although I couldn’t find it by using search!)
I have read numerous times in these forums that controlling the assets but not owning them is the way to go (even Steve suggested this is part of his strategy).
Is there anyone/multiple people out there who understand the benefits/drawbacks of using either or all of these systems, and what is the best place to start?
I have been studying up all year, bought a place to live in and have $35K to get started with, but I’d really like to start in the right direction and not make a fasle start.
Thanks guys,
Cameronany compelling reason why you don’t do it in your own name?
cheers
brahms
Mortgage Broker
[email protected]Brahms,
I think I can answer that. Taxation benefits (dependent on income) and asset protection. I will never buy a property in my name again as long as I live.
People will argue all day that a trust is better than a company structure and vice versa. I have come up with the answer – USE BOTH!
I listened to Steve and Mark Unwin and have decided that the company and trust structure is the most appropriate one for my needs.
Bluemackart, each structure is different to each investor. It will all depend on what your individual needs are.
Talk to any Accountant about what you NEED!
Robert Bou-Hamdan
Mortgage Adviser0414 347 771
[email protected]
http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter – Click Here
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty LtdCameron,
As Rob said, talk to your accountant (or one who’s knowledgeable about trusts and property investing if yours is not). What’s best for you will depend somewhat on your circumstances. Note though that I’ve seen a number of comments on these forums, and have experienced myself, that some accountants who are not particularly savvy about investing tend to dismiss trusts as not being a good way to go. While it may well be true for your circumstances, first ensure that your accountant has experience with property investing and trusts (ie. has other clients with property portfolios and preferably invests in property himself). Also ask what he knows about hybrid trusts (very few apparently know anything).
For a brief summary of the different options, take a look at:
http://www.strategicwealth.com.au/e2content.asp?Request=Structure.Structure
Generally a trust with a corporate trustee is considered the best from an asset protection point of view, but it’s also relatively expensive to operate.
For a good b00k on family trusts, you could buy Dale G-G’s “Trust Magic”:
http://www.gatherumgoss.com/shopping.htm
It’s not the cheapest b00k you’ll ever find on the topic, but compared to Nick Renton’s b00ks, it’s a lot easier reading. And Renton doesn’t cover hybrid trusts (at least not in his b00k I read).
And yes, I think getting it right from the start is definitely the best idea. Changing structures down the track can be very expensive.
GP
Thanks for the feedback GP, Robert and Brahms..
I guess it all does come down to the basics of getting the right advice from someone who is doing it – and can see into your situation to give you an ‘experts opinion’.
This I’ll definitely do.
Does anyone know of some good accountants who specialise in property investing residing in Melbourne??!
I have a couple to call early next year, but I’m thinking that with all the people in this forum who sound like they know what they are doing…. there’s bound to be someone who has found a great one!Thanks again and have a great New Years all!
Cameron.Mark Unwin is the guy I will be using from next year. He is also Steve and Dave’s accountant.
Email him at [email protected]
He is in Melbourne.
Robert Bou-Hamdan
Mortgage Adviser0414 347 771
[email protected]
http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter – Click Here
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty LtdThanks Robert.. sounds like a no muck around way to get started!
I am not into mucking around anymore. It is all a means to an end….. THE BOAT!!!
Robert Bou-Hamdan
Mortgage Adviser0414 347 771
[email protected]
http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter – Click Here
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty LtdOriginally posted by bluemackart:Does anyone know of some good accountants who specialise in property investing residing in Melbourne??!
Dale Gatherum-Goss is used by a number of regulars on these property forums, with no complaints that I’ve seen. He also posts on the Somersoft forums:
http://www.somersoft.com/forums/index.php.
GP
Dale’s web address is
http://www.gatherumgoss.comTerryw
Discover Home Loans
Mortgage Broker
North Sydney
Click below to email meTerryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
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