Vender of deal in trouble

So far.

 

A conveyancer is not a lawyer and thus cannot possibly have any grasp on the giant pile of mess you may be about to fall in.

Do not renovate property before settlement. Because to do so you are spending money but may never own the property. Use the time leading up to settlement to plan your renovation meticulously. Getting quotes, lining up order of trades for work after settlement, determining how many skip bins you'll need etc.

 

I know two people who wanted to claim cgt losses from that precise issue. ATO private ruling indicates its not a cgt asset since its not a right or possession (choose your own adventure) Lose twice? In both cases they didnt get legal advice....just assumed a contract with access prior to settlement means its an entitlement. How can you claim a right to.possess something that not yours...

I dont know. But its a risk.

 

I think the OP has done it this way so he never has to actually come up with the funds to pay for the property. Its a strategy to make money without any of your own money (except the reno costs) if everything goes according to plan and the market doesn't go backwards, but horribly horribly risky.

I think you need the backup funds to be able to settle on the property in situations like this, or if you can't get a new buyer at a profit.

 

Spot on. Like stealing stuff at coles and selling on ebay. Just ignore being caught.

Probably attended a spruiker reno seminar. Beggar school.

 

that's the one thing I don't like about real estate is all the snakes and dodgy people out there taking advantage of people that don't know better. I guess when there is large sums of money involved it tends to attract these types