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  1. Terry_w

    Employment / Development / Lending and Structure Help

    Sounds good MTR, but have you discussed this with a lawyer. How is the trust set up, the structure of the commpany, project management agreements, loan agreements - initial deposit, where did it come from? Succession aspects upon death or incapacity. Asset protection aspect and strategies. How...
  2. Terry_w

    Employment / Development / Lending and Structure Help

    Even if you were to set up a company/trust to purchase the new property a personal guarantee will be required. Whoever gives the guarantee wil have at risk all of their existing personal assets. At least limiting the personal guarantee to one of you will reduce the risk of the other losing their...
  3. Terry_w

    Employment / Development / Lending and Structure Help

    Land $500k build $1.1mi = $1.6mil x 80% less existing loan for land Now you have properties jointly. Each jointly and severally liable. If you had separate ownership each of you individually could borrow more because you would have less debt. This may mean, ddepending, one of you could...
  4. Terry_w

    Employment / Development / Lending and Structure Help

    Your structure is less than ideal in terms of asset protection (none!) and in terms of serviceability. You have cross collateralised properties which is additionalaly bad.. For your development you could generally borrow 80% of land and fixed contract price.
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