Hi everybody
I'm hoping for some information on how to improve my situation.
At the moment I have a unit trust that only owns one property in Sydney. The Trustee Co borrowed the funds to buy the property and I have to pay the shortfall of some $4K per month. As the trustee borrowed the money I cannot claim the negative gearing which is a huge drain.
The unit trust, inclusive of the bank loan to buy the property, and what it owes me for the payments I have made, is in a negative equity situation.
I was hoping to (re)borrow the bank loan in my own name, and then somehow transfer that to the units I have already?
I've done some research and think that if I cannot do it with my current structure???, that perhaps I can have the trustee redeem all outstanding units (they're all issued to me anyway) and then I could buy new units with my loan funds?
Noting that there is negative equity, does that mean that the units would have a zero market value for redemption?
Is this the right track to be going down? I'm at a bit of a loss at the moment.
I'm hoping for some information on how to improve my situation.
At the moment I have a unit trust that only owns one property in Sydney. The Trustee Co borrowed the funds to buy the property and I have to pay the shortfall of some $4K per month. As the trustee borrowed the money I cannot claim the negative gearing which is a huge drain.
The unit trust, inclusive of the bank loan to buy the property, and what it owes me for the payments I have made, is in a negative equity situation.
I was hoping to (re)borrow the bank loan in my own name, and then somehow transfer that to the units I have already?
I've done some research and think that if I cannot do it with my current structure???, that perhaps I can have the trustee redeem all outstanding units (they're all issued to me anyway) and then I could buy new units with my loan funds?
Noting that there is negative equity, does that mean that the units would have a zero market value for redemption?
Is this the right track to be going down? I'm at a bit of a loss at the moment.