The country’s strong property market conditions are attracting more and more SMSF (Self-Managed Super Fund) property investors looking to secure their financial future.
SMSF Property Investment
Self-Managed Super Fund investors can purchase a property asset either directly or indirectly through collective ownership vehicles like a property fund. That is why more and more investors are being strategic with their investment. They are also looking for opportunities that are ideal for SMSF and their financial preferences.
Australia’s progressive property market is giving investors more confidence and they are finding better value in investing with SMSF. Investors are attracted to this option mainly because of lower tax rate upon property disposal. During the accumulation phase, tax rate on investment income is capped at 15 per cent and non-taxable in the pension phase. Another advantage of this super fund is acquiring rental income paid to the SMSF for utilisation of the asset.
Educated investors can adjust their investment mix that benefits them and is ideal for the current property market conditions. They can also adapt to personal circumstances and/or super rules and align their objectives with their investment ventures.
Australia’s current property market is on in the midst of what CoreLogic described as the “fastest market recovery on record” especially on the SEQ where affordability is consistent for both owner-occupiers and investors.
SMSF on the Rise
Investors and experts are predicting an increase in the number of SMSFs in the coming years. According to the Australian Taxation Office, there are 598,582 SMSFs made up of 1,124,699 members and total estimated assets of just over $746 billion as of September 2019.
By 2035, SMSF can and will dominate the post-retirement superannuation market. An estimated total asset ranging from $850 billion to $900 billion is projected.
Invest with Gallery Group
Gallery Group is inviting potential investors looking to leverage their SMSF for a guaranteed ROI. We offer a 12 per cent return for investment as low as $25,000. We also have a team of professionals to help investors better understand the aspects of an SMSF investment. Contact us today to learn more so you can start investing tomorrow.