Investing with Children

MTR

MTR

Hi All

Does anyone invest with their children??

My plan is to start this within the next 2-3 years as a bit of a leg up. One is going to uni next year, the other is o/seas for 12-24 months.

What I would like to do is continue my current strategy of developing 3/4 unit sites.

We would initially have to provide the funds for the projects, and on completion we would either sell up, or a mix of holds/sell and our funds would be reimbursed or reused and profits distributed to my daughters to continue re-investing.

My thoughts were to set up another Trust specifically for my daughters, 50/50, not sure whether this is the way to go??

My idea was also to teach them what I know so eventually they will have the funds and knowledge to continue on their own. Both have partners and I don't want them involved whatsoever at this point as it will just complicate things and one of the partners is very conservative.

Anyone doing stuff with their kids or thinking of ways to help their kids??

MTR:)
 
I am thinking similar with the kids, however they will have to contribute some kind of initial capital to the project. I won't gift to them.

My eldest has seen the benefits of property and my other two are working it out.

You can teach your kids to fish, and also they have seen you walk this path first hand.... Good on you for including them....
 
baby blue eyes said:
I am thinking similar with the kids, however they will have to contribute some kind of initial capital to the project. I won't gift to them.

My eldest has seen the benefits of property and my other two are working it out.

You can teach your kids to fish, and also they have seen you walk this path first hand.... Good on you for including them....
Click to expand...

Baby Blue
Thanks
My parents did not have a lot but they helped me.... and I want to do the same.

If we have skills to pass on then why not, if we have the cash to help then why not, they need it when they are young and struggling... my thoughts. I am not trying to preach what parents should do, just what makes me happy.:)
 
D.T. said:
Still no!

Also, why try to get MTR to adopt when we can just marry into the family? :p
Click to expand...

Very funny:)

Italians they are a bloody close lot, however the last generation broke the mould and started marrying skips, all welcome now:p

MTR:)
 
Not sure - I invested with my father once in a passive buy and hold. Not too bad because I put in the least equity and call the shots.

It's hard to train your kids.
 
I am also in that process with my two eldest - 21 and 19. I learned from my father and I will pass it on. I am finding that, once you've decided that you will help your children get a foothold into the property market, there are many other decisions to be made. I am still doing my homework. Thanks to advice SS, I will be on-lending the money to my eldest, as that protects her. There are now other issues for me to consider.

Ps. you can do what my dad did with me. Every time I had a spare $20,000, he would take it and buy property in my name. (I know that is hard when they are still at school, as mine are as well.) First, an ip. The second time he wanted my spare cash he took $20,000 and bought a $60,000 for an old house on a big block. The title had my parents' names and my name. A few years later he developed the land and built three units on it. My one third is one of those units. I learned by helping with all his building contracts.
 
my dad helped me in starting investing by buying a commercial property in my name and funding the deposit. It helped me see how passive investing can be and gave me experience to go forward and do more for myself.

I want to help my brother get started too...but he seems really uninterested. So, i think the main problem comes with kids is when they are mentally not ready for the responsibility and not motivated to achieve for themself. You don't want to spoon feed them through every little step. Don't know whether my dad should just do the same for my brother, just buy in his name and leave him to deal with it. Or should we wait til the person is ready to achieve for themself.
 
Agree, its dependent on whether your children have a desire to do this.

My eldest daughter is very keen, when she returns from London we will start looking at this closer. We discuss strategies and she comes with me to view my developments and takes an interest in the designs etc.

My youngest is not interested whatsoever, but I think this is more about her age.

MTR:)
 
You must log in or register to reply here.

Similar threads

S
NEWSTART ALLOWANCE IF YOU OWN IPs
2 3
Replies
59
Views
21K
RumpledElf
RumpledElf
M
Getting Started - QLD
Replies
13
Views
3K
Colin Rice
Colin Rice
T
26 Year old looking for advice
2
Replies
25
Views
4K
Tim86
T
K
encouragement to invest
Replies
4
Views
3K
kum yin lau
K
P
My Strategy -The next 20 years
2
Replies
25
Views
5K
Chomp
C
Back
Top