Hello Everyone, I was listening to an "Everyday Property Investing Podcast" today and there some mention about ensuring that you setup an appropriate financial structure when purchasing property so that your own personal circumstances matter less when applying for future loans and went on to cite an example where even though he had no PAYG income, the banks were able to loan money based on the ownership structures, equity and income from other properties. I know that this is a little vague but i am hoping someone on this forum may be able to shed some light on this and decipher what is meant by setting up an appropriate financial structures to aid with growing your property portfolio. Interested in your input. Regards, Q
'financial structure' sounds a bit vage. Look at different ways to structure ownership of a property and different ways to set up financing of property acquisition. For starters, I have made some tips in the legal section.
Unless the existing properties were u encumbered I doubt you can get a loan without an income, regardless of the 'structure'.
From a tax structure perspective, definitely have a great accountant in your service. One key ingredient of any good structure in property investing is building your team around you, and a quality accountant is a crucial part of that. They can work with you to develop a robust tax strategy that works for your personal situation and your growth ambitions
