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Using wifes equity to purchase another investment property

Discussion in 'Accounting & Tax' started by investor, 30th Jun, 2016.

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  1. investor

    investor New Member

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    Hi, my wife has an investment property under her name only. Is she able to refinance and use the equity to put a deposit on an investment property to go under my name only? Is there any tax implications by doing this or is it fine?
     
  2. bob shovel

    bob shovel Well-Known Member

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    I believe it's joint loans but make sure single title.
    There has to be tezza thread out there with proper info:D
     
  3. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    She can borrow and on lend money to you to invest.
     
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  4. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

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    What Terry said.
     
  5. investor

    investor New Member

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    So there are no tax issues with her giving me the money? Even if her property is under her name only and the new one under my name only with only my name on the loan?
     
  6. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    Yes there will be tax issues if you 'give' her money. Neither you nor her could claim the interest.

    You must lend her the money
     
  7. investor

    investor New Member

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    It will be her lending me the money. How do i make it a 'lend'?
     
  8. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    A written loan agreement - seek legal advice.
     
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  9. TwoDogs

    TwoDogs Well-Known Member

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    For the loan or the divorce ?
     
  10. sanj

    sanj Well-Known Member

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    how do you borrow a significant sum from any person or institution? with a loan agreement stating amount, period of loan, interest rate, etc.

    like terry said seek legal advice, a simple agreement won't cost much. if youre pretty savvy with legal agreements you could pay for an online one and tweak where necessary but wouldn't recommend here because there are some decent basic ones snd some iffy ones out there
     
  11. MikeLivingTheDream

    MikeLivingTheDream BCOM MCOM MTAX CPA CTA Registered Tax Agent

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    just recently seen a similar scenario where the client has got it all wrong and interest isn't deductible. not only get advice but ask questions along the way.
     
    Terry_w likes this.