SMSFs and property

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Investing in real estate through Self Managed Super Funds or SMSF is popular in Australia. Why? That’s because many are attracted to this sort of investment because of the potential tax benefits and the draw of having a tangible asset to boost your retirement savings.

However, the challenge for potential investor like you is to ensure the success of your SMSF property investing.

First of all, you should know the rules and the cost of the investment. Strict rules, restrictions and limitations apply to self-managed super funds and buying property using your superannuation. There are certain rules in such investment and it is your job to ensure to familiarise the rules as imposed on trustees by the Australian Taxation Office or ATO.

Setting up and managing your SMSF will incur costs both in time and money. You need to determine your financial capacities, willingness to commit, and future financial plans; also, make sure that you are capable of making sufficient contributions to fund your SMSF because individual needs, goals and requirements vary the costs involved will differ.

SMSF is truly a great way to invest in property. However, knowing whether or not the investment is right for you is difficult, not to mention the challenge of using the right property. Thus, it is advisable to hire a professional to give you some helpful advice.

Read this to learn more on property investing through SMSF: