Hi, I am newbie to this forum. Learnt lots of fascinating insights from the experts active members around here.
Here is my situation:
1) thinking to set up JV with friend to invest property in NSW
Budget circa $800k
2) each will pool in capital$85k for deposit+ expenses.
3) strategy is to buy and hold for min 7-8 years, maximise negative gearing.
4) I am single live in Melbourne and he is married with kids, live in NSW
5) both of us work as profession with no side business.
Given the above context, would JV tenants in common be appropriate?
Considering the risk and priority of following :
1) asset protection: low to medium. He might divorce, wife file caveat against selling the property.
2) estate planning : low priority
3) borrowing capacity: high priority, I am at acquisition stage.
4) ability to transfer to SMSF: low priority.
5) JV partner bankrupt default: low. Even if so, I am prepared to buy off the other
6) minimise tax( land tax, stamp duty & CGT).
I know it may seem a lot start of; but would like to get understanding of the risks involved, things to look out; so that I am prepared. Any helps will be appreciated.
Here is my situation:
1) thinking to set up JV with friend to invest property in NSW
Budget circa $800k
2) each will pool in capital$85k for deposit+ expenses.
3) strategy is to buy and hold for min 7-8 years, maximise negative gearing.
4) I am single live in Melbourne and he is married with kids, live in NSW
5) both of us work as profession with no side business.
Given the above context, would JV tenants in common be appropriate?
Considering the risk and priority of following :
1) asset protection: low to medium. He might divorce, wife file caveat against selling the property.
2) estate planning : low priority
3) borrowing capacity: high priority, I am at acquisition stage.
4) ability to transfer to SMSF: low priority.
5) JV partner bankrupt default: low. Even if so, I am prepared to buy off the other
6) minimise tax( land tax, stamp duty & CGT).
I know it may seem a lot start of; but would like to get understanding of the risks involved, things to look out; so that I am prepared. Any helps will be appreciated.