Hi all
So my situation is that i cannot get bank finance, because i'm on a low income. i will be on the average income in about 12-18 months and will be able to get finance.
so for my first property (230-240k) i will be buying it with my mum. as she is a high income earner (the property is cash flow 3,600 p.a) I was thinking of my options. i live in VIC btw.
option 1. buy in her name and the cash flow will be taxed at the highest tax rate. and be in her name and i will just have a caveat on the property / maybe a POA.
option 2. buy in a trust with a company for a trustee mum being director this allowing me after 1-2 years to become director and then i'll have 100% control. but this way would cost me around 2,310 p.a in fees to hold in a trust structure
both ways aren't really that good. but the property is a good buy and i really want to start my property portfolio already.
Is it possible to have a joint venture agreement where i could have 50-80% of the cash flow so it gets taxed at my tax rate (low tax rate)?
being in Victoria is it possible for my mum to have a tenancy agreement with me and then i on rent it to the actual tenant leaving me with some cash flow?
thoughts guys?
So my situation is that i cannot get bank finance, because i'm on a low income. i will be on the average income in about 12-18 months and will be able to get finance.
so for my first property (230-240k) i will be buying it with my mum. as she is a high income earner (the property is cash flow 3,600 p.a) I was thinking of my options. i live in VIC btw.
option 1. buy in her name and the cash flow will be taxed at the highest tax rate. and be in her name and i will just have a caveat on the property / maybe a POA.
option 2. buy in a trust with a company for a trustee mum being director this allowing me after 1-2 years to become director and then i'll have 100% control. but this way would cost me around 2,310 p.a in fees to hold in a trust structure
both ways aren't really that good. but the property is a good buy and i really want to start my property portfolio already.
Is it possible to have a joint venture agreement where i could have 50-80% of the cash flow so it gets taxed at my tax rate (low tax rate)?
being in Victoria is it possible for my mum to have a tenancy agreement with me and then i on rent it to the actual tenant leaving me with some cash flow?
thoughts guys?