Property Financial Plans

How Much would you expect to pay for a thorough Property Plan?

  • I wouldn't pay a cent

    Votes: 57 58.8%
  • About $1000

    Votes: 29 29.9%
  • About $2000

    Votes: 7 7.2%
  • About $3000

    Votes: 2 2.1%
  • About $4000

    Votes: 0 0.0%
  • About $5000

    Votes: 2 2.1%
  • I am rich I would pay $10,000

    Votes: 0 0.0%

  • Total voters
    97
  • Poll closed .
Thanks for the constructive reply Cosmictrevor. I haven't had anyone ask for a property plan yet. It doesn't seem to be something in demand.
 
Over 60% have responded they wouldnt pay a cent. Similar demand to condoms in a catholic church.

Yet people will pay for a Financial Planner or pay good money for a managed or hedge fund that over time may underperform its benchmark accumulation index

I used to love Bill Zhengs term of a Finance Strategist, it may just be just marketing spin, but we all need one of those ;)
 
They also pay spruikers 5k to 10k for advice that the average person couldnt implement yet complain about a few hundred for structuring and tax advice. A weird world redwing.
 
They also pay spruikers 5k to 10k for advice that the average person couldnt implement yet complain about a few hundred for structuring and tax advice. A weird world redwing.

A couple I know paid a "substantial" (For me, or any ordinary Joe I guess) amount for a Property options course a few years back, I hope they make a deal soon after struggling for a few years, another couple paid less with another Property options group, but have pretty much written off the investment after a year
 
I have three clients where I have seen property options work. All of them are significant developers. They basically have a guy out touring suburbs of interest and spend months and months trying to find a deal and months and months sealing the deal. You need to be looking for large blocks you are willing to landbank for as long as it needs for zoning rules to change. Then have a substantial deposit and ongoing fee to make it worthwhile for the landholder. Also a history of doing significant developments. One of my prior clients at a previous firm developed almost half of the entire upper coomera area. Options deal. But for the average joe forget it. Never seen one deal.
 
I have three clients where I have seen property options work. All of them are significant developers. They basically have a guy out touring suburbs of interest and spend months and months trying to find a deal and months and months sealing the deal. You need to be looking for large blocks you are willing to landbank for as long as it needs for zoning rules to change. Then have a substantial deposit and ongoing fee to make it worthwhile for the landholder. Also a history of doing significant developments. One of my prior clients at a previous firm developed almost half of the entire upper coomera area. Options deal. But for the average joe forget it. Never seen one deal.

You mean you can't make millions for the price of a cup of coffee with property options :eek:
 
Probably because people don't know what they don't know

Thanks for the constructive reply Cosmictrevor. I haven't had anyone ask for a property plan yet. It doesn't seem to be something in demand.

I suspect if I'm representative of the typical punter, just commencing their journey - the temptation is to over allocate time to choosing properties simply because it is a simpler process than, financing, legal structures, tax effects, estate planning, individual financial goals et al.

The punter has limited awareness that if these other things are not done well, their dreams of financial independence are subject to more risk.

I'm still in the situation where I'd like to be able to sit down with someone that has specific accounting and tax knowledge and map out a way forward and then just as importantly finesse and adjust as needed.

The Financial Advisor I worked with provided strategic advice for me based on my circumstances, which is what I needed initially. Now I'm underway what I need is someone that can bring to the table taxation and legal advice as one service. This then could form the platform for looking at financing options, legal structures for investments and how this dovetails into the tax return.

Possibly I have over complicated my own situation, but my team comprises;
1) conveyance lawyers
2) SMSF lawyer
3) tax accountants (personal and SMSF)
4) auditor (SMSF)
5) mortgage broker
6) property manager
7) financial advisor
8) lenders
9) insurers

If I could get a service that covers 2), 3) and 7) without trying to flog some product it would eliminate the back and forth I experience between different parties trying to sort out precisely what the right approach is on something.

Maybe this is a utopian world, maybe I have over complicated things!
 
If I could get a service that covers 2), 3) and 7) without trying to flog some product

You can get an accountant to do all that. No need for lawyers and financial advisers. Unless you're looking for someone to help you watch over everything, then there are advisers that offer that service, but they are expensive. Essentially they do all the heavy lifting on your behalf.

Starting to sound like a broken record, but Paul Gerrard is an accountant who specialises in SMSF and he's great. His email is [email protected].
 
You can get an accountant to do all that. No need for lawyers and financial advisers. Unless you're looking for someone to help you watch over everything, then there are advisers that offer that service, but they are expensive. Essentially they do all the heavy lifting on your behalf.

Starting to sound like a broken record, but Paul Gerrard is an accountant who specialises in SMSF and he's great. His email is [email protected].

Thanks Mr Fab, I might reach out to Paul, if this is the Price Financial at Thornleigh it would be very convenient for me, that is my part of Sydney.

My situation is sort of what you've eluded to (someone to watch over everything) but not in an operational sense (meaning not doing all the leg work). I've found that when I ask a question about my SMSF my accountant can only say; you need specific legal advice - for example; "Can my SMSF borrow money from a related party, if so, what is the most tax effective way to structure it in both the SMSF and personally?" In this specific example, a lawyer can review my deed and tell me the answer to the first part, but he/she can't answer the second part unless they have the accountancy and taxation qualifications and experience.

To further complicate things, the answer to a question like the one above can involve iteration, meaning that I'm back and forth between multiple parties trying to understand the language if you know what I mean.

I'm probably not making a lot of sense - sorry.
 
My situation is sort of what you've eluded to (someone to watch over everything) but not in an operational sense (meaning not doing all the leg work). I've found that when I ask a question about my SMSF my accountant can only say; you need specific legal advice - for example; "Can my SMSF borrow money from a related party, if so, what is the most tax effective way to structure it in both the SMSF and personally?"

Not sure why your accountant told you to speak to a solicitor? They should be able to answer the question for you and review your deed themselves.

A ten second google search came up with this: http://www.mondaq.com/australia/x/3...low+or+nointerest+relatedparty+loans+to+SMSFs

Not suggesting you should have to do this yourself, rather I suggest you find a better accountant.

Edit: on that site, there is an annoying pop up trying to force you to sign up, which if you close, closes the page, so you need to refresh - then the pop up comes back again! Might be a good idea to copy paste into a Word doc and read from there.
 
Probably because this is legal advice?

1. The tax implications of related party loans to SMSF is something an accountant should be able to address with their client.

2. I've had accountants review trust deeds for me in the past, as well as for clients. I don't see why it *has* to go to a solicitor.
 
1. The tax implications of related party loans to SMSF is something an accountant should be able to address with their client.

2. I've had accountants review trust deeds for me in the past, as well as for clients. I don't see why it *has* to go to a solicitor.

1. I agree

2. Depends on what the review is for I guess. Tax related then yes, tax agents could advise. Non tax matters then I am not sure on what basis a non lawyer could advise. Just because it happens everyday doesn't mean it is correct.

Can you cite any legislation to back up your claim?
 
1. The tax implications of related party loans to SMSF is something an accountant should be able to address with their client.

2. I've had accountants review trust deeds for me in the past, as well as for clients. I don't see why it *has* to go to a solicitor.

The Tax implications - yes an accountant can advise on that and my accountant has done so.

Whether the SMSF can borrow - sure an accountant can choose to advise, but the question I pose relates to legality of an action to borrow by an SMSF. Therefore even if my accountant is willing to advise on a matter of legality, I as Trustee have to decide whether I should accept that advice. If I accept the advice and subsequently the ATO decide I am in breach of the SiS act, then I suffer the consequences. Thus, personally I would only accept legal advice from a lawyer, not an accountant with subject matter expertise.

And thus, I'm back to the two party problem. If I can get one person or one organisation to provide both legal and tax advice and then help me structure this into a plan it would help.
 
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