CAPITAL GROWTH and the type of gearing heavily impact the overall profitability of your property purchases. And so this article will explain how they can significantly affect your bottom line. [Read more…]
With Property … How to Stay Cool When Things Get Hot
19 February, 2014 by Leave a Comment
A RECENT CASE in the Queensland Civil Administrative Tribunal (QCAT) has brought the laws governing cooling-off periods into sharp focus. And the ability of vendors to retain termination fees where contracts are terminated was challenged.
While the laws relating to cooling off periods differ in each state, this article will discuss the general principles of cooling off periods … and what you need to be aware of when seeking to exercise your rights. [Read more…]
Commercial Property Loans: Fixed Rate for How Long?
18 February, 2014 by Leave a Comment
IN PART 1, we gave you some advice if you are deciding whether or not to fix your loan.
Today, we continue where we left of with three guidelines to help you avoid a few more common pitfalls when it comes to fixing a loan. [Read more…]
Commercial Property Loans: To Fix or Not to Fix?
11 February, 2014 by Leave a Comment
INTEREST RATES REMAIN at historically low levels. And the competition for business between banks and non-bank lenders is fierce.
As a result, you can find some very attractive fixed rate options in the market at the moment.
However, if you are considering fixing an existing loan or taking out a new fixed loan, you must understand some fundamental rules that govern these loans.
The following guidelines will help you structure your fixed loans to provide the most benefits for both your residential and commercial investments. [Read more…]
Limit The Security You Grant to Your Lender
29 January, 2014 by Leave a Comment
IN MY LAST ARTICLE, you read about the various securities lenders can take over your property, in addition to mortgages.
This article will highlight various options for improving your security position when borrowing as a means of maximising your asset protection. [Read more…]
The Previous “BEWARE” … Has Now Become LAW!
21 January, 2014 by Leave a Comment
THE LANDMARK DECISION of Willmott has recently been upheld by the High Court. The decision confirms that a liquidator has the ability to disclaim a lease, meaning that the tenant will no longer hold a leasehold interest in the land.
In our article published in September last year, a case summary was provided of the Victorian Supreme Court of Appeal decision. This article will focus on the reasons provided by the High Court. [Read more…]
How to Rectify Your Non-Complying SMSF
24 December, 2013 by Leave a Comment
LET’S REFRESH: In Part 1 we looked at areas of non-compliance; and then moved onto the potentially draconian tax consequences in Part 2.
If you have a non-complying SMSF, this final instalment will give you some direction (and hope) as to the action you can take.
If you have admitted that you are non-compliant to the ATO, the following considerations will determine your outcome. [Read more…]
The Very Serious Taxation Consequences of Having a Non-Complying SMSF
18 December, 2013 by Leave a Comment
IN PART 1, you discovered the main breaches that lead to non-compliance. This article outlines the very ugly tax consequences of being labelled non-compliant by the ATO.
Taxation Penalties
SMSFs are subject to income tax but receive concessional treatment — provided they are complying funds.
A complying SMSF’s assessable income is generally taxed at a rate of 15%. BUT for a non-complying fund the rate is 45%. [Read more…]
Getting All The Adjustments Correct at Settlement
3 December, 2013 by Leave a Comment
IN THE CONVEYANCING stage, before settlement, the vendor and purchaser adjust the purchase price to deal with the following matters:
- Periodic payments of all statutory outgoings (such items as council rates, water rates and land tax); plus …
- Rent and outgoings payable by a tenant under a lease. [Read more…]
Part 2: More About Your Loan Security
27 November, 2013 by Leave a Comment
IN THE LAST article, you read about two different types of security that lenders can take other than the mortgage. They were “Fixed and Floating Charges” and “Personal Guarantees”.
However, there are a few other forms of security that you should be aware of before entering into any agreements. Read on to find out more. [Read more…]
What Creates Security for Your Loan?
20 November, 2013 by Leave a Comment
WHEN YOU TAKE out a property secured loan, you understand that a lender will register a mortgage against the property that is being secured.
However, typically, when you read through actual loan agreements, the mortgage is just one part of the security that is taken.
In this article, we will be looking at some of the other types of security that lenders will typically request when applying for a loan. [Read more…]
