Investing in Australian property can seem like a dream. But did you know that you can use a self-managed super fund (SMSF) to buy property through your super – and potentially boost your retirement savings at the same time? Talk to our in house SMSF expert and he can answer all your questions or queries. We can sit down face to face & explain the process from start to finish.
REASONS TO CONSIDER PROPERTY INVESTMENT WITH YOUR SUPER
1. DIVERSIFY YOUR FUND ASSETS
A key benefit of SMSFs is that they offer a wider range of investment options than traditional super funds – including direct property. By spreading your savings across asset types, you may help reduce risk while still investing for growth.
2. BUILD A BIGGER PORTFOLIO SOONER
An SMSF can borrow to invest in residential or commercial property, with lenders typically funding up to 70% or 80% of the purchase price. So you can take advantage of low interest rates to build a bigger portfolio now, and potentially earn more income and capital growth in the future. As long as your returns outpace borrowing costs, you’ll come out ahead.
3. POTENTIALLY SAVE ON TAX
SMSFs can use negative gearing to claim a deduction for borrowing expenses, just like individuals. And investing through an SMSF can have other tax advantages as well. Rental income paid to your SMSF is generally taxed at just 15%. And if you are over 55 and commence a Pension in your SMSF, then the rent you receive is tax free. More importantly after commencing a Pension in your SMSF, any capital gain when you sell the Property is also tax free!
At Future Finance Group we have access to some of the following lender partners:
AFM, Australian Financial, Bank of Melbourne, CBA Commercial, Homeloans Ltd, NAB, St.George, Westpac