Investing in property is a dream for many Australians. Did you know you can use your superannuation to help make it happen? Let’s break down how this works and why it’s worth considering.

Can You Really Buy Property with Your Super?

Yes, you can! But there’s a catch—you need to set up a Self-Managed Super Fund (SMSF). An SMSF lets you control your super and invest in different assets, including property.

The Ups and Downs of Investing Super in Property

Upsides:

• Leverage: You can borrow within your SMSF, meaning you might be able to buy a more valuable property than you could with your super alone.
• Tax Perks: Super funds enjoy lower tax rates, which can make your investment even sweeter.
• Diversification: Adding property to your super portfolio can balance out risks and give you more security.

Downsides:

• Complexity: SMSFs and property investment rules are tricky, so you’ll need expert advice.
• Costs: Setting up and running an SMSF isn’t cheap, and borrowing costs can add up.
• Liquidity: Property isn’t easy to sell quickly, so it might not be the best choice if you need fast access to cash.

The Bottom Line

Using your super to buy property is a great way to grow your wealth, but it’s not without its challenges.

How a Mortgage Broker Can Help

Buying property through an SMSF isn’t as simple as getting a regular home loan. This is where a mortgage broker comes in. We can guide you through the process, help you find the right home loans, and make sure everything ticks the legal boxes. Get in touch with us today, and let’s start your journey towards property investment!