20 Jun 2016

Can you see the trend?

What happens now is you’ve got a court case against you for something to do with one of your properties. When you bought the property, the verandah was unsafe and despite this being in the building report upon purchase, you didn’t do anything about it. The tenant had an incident and hurt themselves. The insurance company doesn’t want to play ball because in this instance you knew about the verandah and didn’t take due cause and care to have it fixed within a reasonable timeframe. So the insurance company says “sorry mate, it’s your entire fault.”  You’ve got a $2 million dollar claim against you.

Because the bank has all your properties as security, they are all totally exposed. You will lose your family home. If the other 2 aren’t in trusts, you could potentially lose them too.