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Borrowing With A Trust

Many people often use a trust to purchase their investment properties because of the asset protection and tax advantages offered by trusts. However, most lenders don’t know how to structure a trust loan correctly which can result in the borrower missing out on these tax advantages.
1) What is a trust?
2) Why should I consider setting up a ‘Trust”?
3) How do banks assess a mortgage application in the name of a trust?
4) What extra documents will you need to provide when applying for a loan?
5) What trust types can borrow money?
6) What do banks think about’ Trust’ mortgages?
7) Why don’t all banks lend to trusts?
8) Banks may refer your application to their Business department resulting in a higher interest rate
9) Can I get approved for a loan and get good interest rate with a trust?
10) Do banks/lenders charge higher fees for trust loans?
11) Can the trust loan be in my name?
13) Are Low-Doc loans available for trusts?

SMSF Residential Loans

Are you a Self-Managed Super Fund (SMSF) trustee and do you want to borrow money for your trust? Find out what you need to qualify and which lenders will approve your loan.
1) How much of the property value can I borrow?
2) Will I pay a higher interest rate than with a standard mortgage?
3) How will the banks assess my borrowing capacity?
4) Are Low-Doc SMSF mortgages available?
5) What can SMSF loans NOT be used for?
6) Why should I use a broker for a SMSF loan?

SMSF Commercial Loan

1) Can you borrow to buy a commercial property in your SMSF?
2) How much can I borrow?
3) Will I have to pay a higher interest rate than for a residential mortgage?

Discretionary Trust Loans

1) How much can I borrow?
2) How do banks feel about ‘Discretionary trusts’
3) What’s the best way to get approved and secure reasonable interest rate?
4) Are Low-Doc Discretionary loans available?
5) What is a ‘discretionary trust?
6) Benefits of a Discretionary Trust

Family Trust Loans

1) How much can I borrow?
2) How do banks feel about lending to Family Trusts?
3) What’s the best way to get approved and secure reasonable interest rate?

Hybrid Trust Loans

1) How much can you borrow?
2) How do banks feel about Hybrid Trusts?
3) Which banks lend to Hybrid Trusts?
4) What is a Hybrid Trust?

Property Investor Trust Loans

Many investors are now using their trusts to borrow money to invest in real estate!
1) How much can I borrow?
2) Which banks will approve Property Investor Trusts?
3) Why do accountants set up trusts that can’t borrow money?
4) What is a Property Investor Trust?
5) Are you self-employed and are using a ’Discretionary Trust’?
6) Are your trust distributions part of your ‘assessable income’?
7) What if you receive distributions but you are not part of the family?

Unit Trust Loans

Do you want to invest in the property market? You may find that obtaining finance for a unit trust is more difficult than expected, however some banks do approve loans to unit trusts.
1) How much can I borrow?
2) Can the loan be in my personal name?
3) Which banks will allow the loan to be in my name?
4) How may the ‘Trust Loan be structured?
5) What happens my SMSF’owns’ the Units of my trust?
6) How do banks feel about ‘Unit Trusts”?
7) What is a ‘Unit’ Trust?
8) Who can hold ‘Units”?
9) Advantages of a ‘Unit” Trust
10) Disadvantages of a ‘Unit” Trust
11) What’s the difference between shares in a company and units in a unit trust?