Could buying property in a trust be the ultimate hack to bypass serviceability limits?
Summary
AI-generatedThe video discusses the strategy of buying properties within a trust structure in Australia to potentially bypass serviceability constraints when obtaining loans. The presenter mentions that if the property can service itself with a 6.5% rental return and a 20% deposit, lenders might not consider other debts, thus unlocking additional borrowing capacity.
Key insights
In Australia, buying property in a trust structure might allow you to be less affected by serviceability constraints when securing loans.
Mistakes to avoid
Don't assume buying property in a trust structure is universally advantageous; local regulations and lender policies can vary.
Tools & resources
Trustservice
A financial structure that allows for property ownership and potentially avoids serviceability limits.
Curated by Learn STR by GoStudioM · Summary & key insights generated by AI · Reviewed by editorial