Property Investment
Invest in Property with Your Self-Managed Super Fund
Are you considering using your Self-Managed Super Fund (SMSF) to invest in property? SMSF Depot specializes in guiding Australians through the process of SMSF property investment, offering expert advice to help you grow your retirement savings through real estate.
Why Choose SMSF for Property Investment?
Investing in property through an SMSF offers several benefits:
Tax Advantages: Rental income is taxed at a concessional rate of 15%, and capital gains on properties held for more than 12 months may be taxed at 10% or even be tax-free in the pension phase.
Diversification: Adding property to your SMSF portfolio can diversify your investments, potentially reducing risk.
Control: As a trustee of your SMSF, you have direct control over investment decisions, including property selection and management.
Key Considerations for SMSF Property Investment
Before proceeding, it’s essential to understand the rules and responsibilities:
Sole Purpose Test: The investment must solely provide retirement benefits to fund members.
Related Party Transactions: The property cannot be acquired from or rented to a related party, unless it’s a commercial property leased at market rates.
Borrowing Restrictions: If borrowing to purchase property, it must be through a Limited Recourse Borrowing Arrangement (LRBA), ensuring the lender’s recourse is limited to the property itself.
How SMSF Depot Can Assist
At SMSF Depot, we offer comprehensive services to support your SMSF property investment journey:
SMSF Setup and Administration: Assisting with establishing your SMSF and ensuring ongoing compliance.
Property Investment Guidance: Providing expert advice on property selection and investment strategies.
LRBA Facilitation: Helping you navigate the complexities of borrowing within your SMSF.
Ongoing Support: Offering continuous support to manage your SMSF effectively.