Hi All,
Just a question.
I own my current PPOR outright, but am looking at relocating and do not want to sell it, more so turn it into an investment. Somebody suggested purchasing it from ourselves through our super funds, and then using the money to pay for our new property outright. I don’t think this can happen, but would be fantastic if it could.
Perhaps someone could suggest other options, as I really do not want to go back to dealing with banks at this stage.
Thanks in advance,
Ian.
Hi there, correct you cannot purchase your own residential property.
Cheers Ivan
Redwood | REDWOOD | SMSF | PROPERTY | FINANCE
http://redwoodadvisory.com.au
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Even if, for example, your wife’s super would have bought the house that is under your name (and none of you would live there, pure investment), would you really want to? The change of ownership would cause a stamp duty event… Why not keep it as an IP under your name?
Ethan Timor | Aligned Finance Pty Ltd
http://www.alignedfinance.com.au/
Email Me | Phone MeActive Investor & Broker; Based in Northern NSW, servicing Australia wide; Author of '34 Proven Ways to Maximise Your Borrowing Power' (download free from our website)
Even if, for example, your wife’s super would have bought the house that is under your name (and none of you would live there, pure investment)
Still wouldn’t be able to do so as she is a related party.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi All,
Just a question.
I own my current PPOR outright, but am looking at relocating and do not want to sell it, more so turn it into an investment. Somebody suggested purchasing it from ourselves through our super funds, and then using the money to pay for our new property outright. I don’t think this can happen, but would be fantastic if it could.
Perhaps someone could suggest other options, as I really do not want to go back to dealing with banks at this stage.
Thanks in advance,
Ian.Get some legal advice on selling to a fixed unit trust. I just did this for a client where they borrow 105% of the property value to acquire the units in the trust which bought their former main residence. Loan is 100% deductible to the individuals. The cash released was used to pay down the new poor debt. No CGT land tax threshold in NSW.
Private rulings from both osr and ago.
The only costs were for advice and conveyancing and stamp duty.
Terryw | 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
I should say the unit trust is just one option out of many potential. There may be better alternatives.
Terryw | 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
I should say the unit trust is just one option out of many potential. There may be better alternatives.
Is any of the alternatives stamp duty exempt?
Ethan Timor | Aligned Finance Pty Ltd
http://www.alignedfinance.com.au/
Email Me | Phone MeActive Investor & Broker; Based in Northern NSW, servicing Australia wide; Author of '34 Proven Ways to Maximise Your Borrowing Power' (download free from our website)
Could be depending on. The situation.
Terryw | 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
Thanks everyone for your advice.
I will look into unit trust or other options and see if that sits right with what we want to achieve. I just want my cake and eat it too! haha.
Thanks again.
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