Recent content by padraig

I have a “personal” LOC ($30k) account. The idea behind the personal LOC is to have a buffer source of funds for emergency personal expenses. My salary and also rental income from some of my IPs is paid into this personal LOC (those IPs in my own name, before I discovered trusts). Because of the...

I believe Kewdale holds some promise, particularly if you find a property close to Tomato Lake, or Belmont Forum/Oasis Leisure centre area. Also good access to CBD via Orrong Road/Graham Farmer freeway. The suburb is being rejuvenated, and this will continue.

I suspect the WA article above might be based on flawed research. I suspect it does not consider the number of large project builders (e.g. BGC?) who have either stopped taking orders for new homes or are cutting back on new sales to catch up on their backlog. The influx of new well paid...

I've been checking with different people here in WA (mainly accountants) --several conflicting views available. The OSR person I spoke with seemed a little unsure of the subject. I've decided to bite the bullet, spend the money on setting up a new trust to purchase a new property. Hopefully...

I have a query on the practice of setting up new trusts to legally reduce land tax liabilities. A search of the forum indicates this is a method used by several property investors. I have just got off the phone with a prominent trusts specialist located in Sydney. He advised me that in NSW a...

Dale, Thanks for answering my query so early in the morning! I referred my accountant to the Steele case and the related ATO ID. Got a call from him about 30 mins ago and he agrees "Construction loan interest is deductible in my case". What a feeling!! I used to be a frequent visitor to...

A long plea for help (maybe from Michael Yardney and/or DaleGG?) I purchased a block with an old rundown house in December 2001. Purpose of acquisition was to demolish and redevelop (build 5 townhouses). The old house was rented for a few weeks in the 12 month period between purchase and...

Many thanks for the reply, Dale. A $100 bill it will be. Padraig

I have a number of administration queries relating to trusts. I have created a hybrid trust for property investment. The settlor was an accountant. Settlement sum was $100.00. The accountant has advised me that I MUST open a dedicated bank account to hold this settlement sum for the duration...

Thanks Paul, I am in WA. I guess one option is for the investor to cancel the existing contract and introduce me to the vendor as an alternative buyer (with no change to settlement date). Would need side agreement between me and investor: Lots of trust needed! regards Padraig

I have an opportunity to buy a development block from an investor who has not yet settled. He has signed a contract and is due to settle end of November. He is looking at on-selling for a $30,000-$40,000 profit. It is still a good deal if I pay the extra amount. My question relates to stamp...

Bob, Isit necessary to prepare a formal loan agreement for the loan from you to the trust (including paying stamp duty on the loan agreement), and to keep records of interest payments from the trust to you, and from you to your lender? regards Padraig

Hello all, I have set up a discretionary trust, with my wife and I as trustees, and have just settled on first IP. A loan (80% LVR) in both our names (as trustees for the trust) is secured against the IP. The balance of 20% came out of my investment LOC account (this LOC is in my name only)...

From: Patrick Bruadair Dale/Rolf, I plan to set up a discretionary trust with my wife and I as trustees. Plan is to buy and develop a triplex site in the name of the trust, and sell two/retain one for rental. The intent is that my wife, who is a non-income earner, will be the main beneficiary...

Reply: 1.1 From: Patrick Bruadair Dale, That's a relief!. Many thanks for your reply. cheers Pat