Hey people, Just a question for people who have already SMSF. How long overall did it take to set up company trustee and have your super funds available ready to use at your disposal? Have found a house that im interested in and was curious how long it will be before i can make an offer.
you could do it in 3 weeks all things being equal, depends on the tax department and your super fund how quickly they send you you abn and rollover cheque respectively you will also need a bare trust for the property loan which your bank may insist on setting up for you, can cost $5-10K
Just sign the contract of sale with <Your Name(s)> "& / or nominees" so you wont miss out on the house. You'll then have time to set up the fund, provided your settlement terms are greater than 30/45 days just to be sure. Also, just keep your solicitor in the loop on the SMSF setup so the legal paperwork is covered on the title transfer / mortgage papers. Good luck.
It will take 3-4 weeks to get the rollover sorted .Be very careful about using the old and /or nominees ( like don't do it).Get a 60 day contract and definately have your solicitor review the contract.The ABN can be obtained by your accounatant in one day as can the SMSF company.I had a similar situation.I simply went to contract with the SMSF name and ABN which was live within 12 hours. You can pay the deposit from personal funds and have the fund reimburse subsequently. I found when you explain it to the purchaser they become even more comfortable about contracting with a SMSF. Its really quite easy and very exciting.Good luck.
Thats why I stated 'greater than' 30/45 days, and I always use and/or nominees if I haven't decided on which structure to put the property in.
Nominee Clause gives the right to 'nominate' another person or entity other than oneself. Stampduty applied accordingly, with the final purchaser details in da transfer of land docs.
I have seen two examples of those contracts get a double stamp duty assessment under a Qld Stamp Duty audit . Just saying mate.Do what you want to do?
Thanks... looks like i will have to put the clause in the contract until smsf and cash is good to go. Got alot of research and work ahead of me, its all good
If the nomination was made before the contract was signed this is correct and no worries, otherwise double stamp duty is assessable as Kawa said (the Stanps Office treat it as a transfer to the Buyer named and a second transfer from that Buyer to the "Nominee"). If you had the details of the SMSF you'd use that in the contract, so just relying on a blanket "or nominee" is fraught with dangers. See your lawyer first! Caveat IANAL (but I spent over 15 years writing land contracts)
Im taking da view u wont 'onsell' to da SMSF. Hence, there shud only be 1 transfer in da sale, either yr name or who you nominate, 'before' settlement. Hence, only 1 charge of stampduty. Have used this clause on every property purchase since '96, and it was my lawyer who told me to use it so we had da time to get any structures in place i.e family trusts etc. Yes, suggest u speak to yr lawyer.
From getting the trust documents to **RECEIVING** the money in my SMSF bank account = 13 weeks. YES, sometimes things take forever. Each department needs to work at their own pace. Then you have to rollover and some Super Funds will try to stop you every step along the way. Don't rush! Another deal will show up better than the one you miss. Always does.
I would not use my own cash and then have the super fund reimburse me either. The super laws are sooo ano-retentiveyou really don't want to go there. Thinking laterally perhaps you could use a deposit bond which makes it arms length, but again speak to a solicitor each state has differing rules relating to the purchase of property. Kind Regards non recourse
13 weeks, damn thats a long time.. sounds like they stalled at every opportunity. Property is a pretty good deal, basically every room rented out (multiple shared accomodation) bringing in $1500/week before power/ water bill which is included in weekly rental for tenants. Waiting for copies of bills to be emailed so i can see the costs. Asking less than 380000. Just wondering why they would sell a money machine like that so cheap.
