Property via SMSF

Discussion in 'Superannuation' started by GRETZKY427, Aug 25, 2015.

  1. GRETZKY427

    GRETZKY427 Active Member Silver Stacker

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    Me and my wife are both under 35, has anyone on this forum brought property via a SMSF around our ages as well ?

    We do understand the pro's and con's and what is involved in settling one up, just want to know what peoples thoughts are about buy property with your super ? ( i do understand its more in case putting your eggs in one basket type of thing)

    Or if perhaps it would just be best to continue building up our super as per normal ???

    Cheers, HAPPY STACKING :)
     
    GRETZKY427, Aug 25, 2015
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  2. silver addict

    silver addict Active Member Silver Stacker

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    silver addict, Aug 25, 2015
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  3. asdfghjkl32

    asdfghjkl32 Member

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    Thought of it before, but not all banks lend you the money, and the borrowing ratio isn't high so the leverage of capital gain isn't high either. Decided not to go in afterwards.
     
    asdfghjkl32, Aug 25, 2015
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  4. aussiesilver

    aussiesilver Well-Known Member Silver Stacker

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    Esuperfund.com.au is a very good read on SMSF investing in property. Normally the banks that they support will lend 70 percent of the purchase price but the rates are generally 1 percent over the odds.
    Cheap and easy to setup and self compliance could be done by a monkey wearing gloves
     
    aussiesilver, Aug 25, 2015
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  5. Chubbsng

    Chubbsng Member Silver Stacker

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    It depends on what your current super arrangement are I reckons. If you have an expensive retail fund which isnt returning much then go for it if you feel you can out perform what they offer.

    I keep my super in industry funds mainly for the insurance and its my back up for if banks are going to forclose my mortgage then it can be accessed under hardship rules. Thats just for my personal scenario as Im rolling the investment dice in a few other ways. I try to keep one as 'security' even though we dont know how the superannuation goal posts might change.
     
    Chubbsng, Aug 25, 2015
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  6. AngloSaxon

    AngloSaxon Active Member

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    Go for a corporate trustee setup from the start, as most SMSF lenders are unwilling to lend to individual trustees.
     
    AngloSaxon, Aug 25, 2015
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  7. Roswell Crash Survivor

    Roswell Crash Survivor Well-Known Member Silver Stacker

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    Another set of keywords you'll want to find useful: "limited recourse borrowing" or "limited recourse lending"
     
    Roswell Crash Survivor, Aug 25, 2015
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