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Looking to build portfolio and reduce income tax

Discussion in 'Property Experts' started by cazar, 12th Jan, 2016.

  1. cazar

    cazar Member

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    Hi, we are looking to build a property portfolio and reduce income tax. Who would be the most legit and best advisors to help with restructuring our current loans and getting us maximum borrowing capacity as well as help reduce income tax?

    I'm finding the process overwhelming at the moment. Information overload but keen to get some honest advice as we just want to start the process the right way and tailored to us.

    Thanks in advance.
     
  2. Jamie Moore

    Jamie Moore MORTGAGE BROKER - AUSTRALIA WIDE Business Member

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    I'm biased but start with a decent broker and accountant.

    Best not to invest in property primarily to reduce tax.

    Cheers

    Jamie
     
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  3. hobo

    hobo Well-Known Member

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    Hi @cazar, welcome to the forums!

    What has set you on the path of property investing? And has your accountant (or a friend) mentioned something re tax, or is this a plan you've come up with on your own?

    I'm sure you will find many helpful and knowledgeable people here. Best of luck!
     
  4. cazar

    cazar Member

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    Hi, we don't have a good accountant as yet. Weve used brokers in the past and they dont seem to be very kbowledgable. Still searching for reliable and honest professionals to help us set up a structure to build our portfolio and help reduce the amount of tax we are paying. So any recommendations would be helpful. I've looked at Empower group and Margaret Lomas company but still very skeptical on using property investment companies.
     
  5. Jess Peletier

    Jess Peletier Mortgage Broker - Australia Wide Business Member

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    Also am biased, but most of the brokers on the forum have an excellent handle on how to structure your loans appropriately to maximise tax benefits and increase your borrowing capacity. Along with a great accountant, you'll be heading in the right direction.

    I agree regarding being wary of investment advisors, and as you've noticed many brokers out there have no idea about the tax side of investment lending.
     
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  6. cazar

    cazar Member

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    Would like my husband to slow down and spend time with his family. Work is stressful so an early retirement would be nice and a great incentive and also to setup our kids so they don't have to struggle to find good investments.
     
  7. No Probs

    No Probs Well-Known Member

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    I've found my broker to be very knowledgable so maybe you just haven't found the right one, or one that suits you. There are plenty of good brokers on this forum who won't charge you a cent to have a chat. Jamie has already replied on this thread, maybe give him a shot.

    I'd be careful about getting stuck in the mindset of investing to reduce tax, the tax deductions help but shouldn't be the main reason to invest.
     
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  8. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    A broker for the loan advice, but only a lawyer or tax agent can advise on the tax advice.
     
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  9. Esel

    Esel Well-Known Member

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    If you are in melbourne JPH Group - More than just accounting and taxation

    We've just had our first appointment and found it really useful.
     
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  10. cazar

    cazar Member

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    Thank you, yes reducing tax would be a plus but not our main focus. I'd like to earn money from property investing.
     
  11. cazar

    cazar Member

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  12. cazar

    cazar Member

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    Hi Jess, Can Brokers setup Family trusts? Or will that need to be done with a solicitorsolicitor?
     
  13. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    Only solicitors can set up trusts.
     
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  14. cazar

    cazar Member

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    Ok thank you. Is there anyone who covers all aspects of investing in real estate?
     
  15. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    Probably not as it would involved 5 different licences. I cover loans, tax and law, but renting or selling.
     
  16. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

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    That'd be like your GP also being your dentist, lawyer, hair dresser, relationship counsellor and personal trainer :)
     
  17. cazar

    cazar Member

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    Ok point taken. So a broker to structure the loans and increase borrowing capacity. A lawyer to set up trusts, a property advisor for advice on growing a portfolio and a buyers agent to help with choosing and purchasing a property??
     
  18. hobo

    hobo Well-Known Member

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    Certainly the first two. Not convinced you need either of the 3rd & 4th, especially the "property advisor", whatever that is.
     
  19. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

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    Basically, yeah. And add a great property-savvy account.

    Though as @hobo suggests, a property advisor and buyer's agent are not necessarily critical if you are willing to do some learning yourself. Can be good options for the time poor/not likely to take action without them though.
     
  20. Chilliblue

    Chilliblue Well-Known Member

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    Personally I would find a good financial planner and see if property is actually what you want/need.