Browse Forums Home Finance 1 Feb 08, 2011 8:47 am I've heard of a mob in South Australia whom can get this done. Has anyone else heard of how you can use your SMSF to purchase an investment property rather than watching the Funds Manager cowboys throw it all at shares which seem to stagnate? I'm in Victoria so a local broker or Financial Planner would be ideal! thanks in advance. TtT Don't fall for the "Freebies" scam Re: SMSF for Investment Property 2Feb 08, 2011 5:05 pm Hi TtT, If you already have a SMSF, your accountant should be able to give you advice on this. The directors of a SMSF are able to make decisions on their funds investment strategy, which can include property. A SMSF is not permitted to borrow funds for investments, so you would need 100% of property purchase price. A few years back the rules weren't so stringent, so our SMSF bought a block of land & went into partnership with our co which borrowed the funds to build an investment property & we rented it from trust Then the rules changed & we found ourselves with a non-compliant fund so had to either sell house or move - sold to wife & bought a factory unit which our co now rents from SMSF. Got a life, just can't find it! Re: SMSF for Investment Property 3Feb 08, 2011 8:41 pm tim the toolman I've heard of a mob in South Australia whom can get this done. Has anyone else heard of how you can use your SMSF to purchase an investment property rather than watching the Funds Manager cowboys throw it all at shares which seem to stagnate? I'm in Victoria so a local broker or Financial Planner would be ideal! thanks in advance. TtT Most people who owns a SMSF buys Ip.....it's the standard and that's really one of the point of the SMSF You really need 200k in your Super, before a SMSF is variable. Michael Chan | Australia wide Mortgage Broker Michael@ShapeHomeLoans.com.au | 1300 74 5626 | Fax: 02 8212 8909 http://www.ShapeHomeLoans.com.au Re: SMSF for Investment Property 4Feb 11, 2011 12:25 pm tim the toolman I've heard of a mob in South Australia whom can get this done. Has anyone else heard of how you can use your SMSF to purchase an investment property rather than watching the Funds Manager cowboys throw it all at shares which seem to stagnate? I'm in Victoria so a local broker or Financial Planner would be ideal! thanks in advance. TtT A SMSF can purchase any property it likes as an investment subject to its investment strategy allowing it to do so. Residential property must be purchased from an arm's length vendor however non-residential property can be purchased for full value from "related vendors" so long as the property is let solely for business purposes. If your looking to borrow within an SMSF then this is where it gets complicated as SMSF's can not legally mortgage an asset however in 2007 the SIS Act was amended so that it was now allowable. Also, effective 7 June 2010, changes were made to the SIS Act in an attempt to clarify certain issues on borrowing through a SMSF. In simple terms the contract for sale to purchase the property must be entered into in the name of a "bare trust" custodian who holds the asset for the full benefitial ownernship of the SMSF and its members. The SMSF then obtains a loan approval from a SMSF lender whose loan terms must be on a non recourse basis. Loan terms and conditions from banks are not as attractive as home loans rates and fees and charges can be considerable. Re: SMSF for Investment Property 5Feb 12, 2011 12:37 am shape tim the toolman I've heard of a mob in South Australia whom can get this done. Has anyone else heard of how you can use your SMSF to purchase an investment property rather than watching the Funds Manager cowboys throw it all at shares which seem to stagnate? I'm in Victoria so a local broker or Financial Planner would be ideal! thanks in advance. TtT Most people who owns a SMSF buys Ip.....it's the standard and that's really one of the point of the SMSF You really need 200k in your Super, before a SMSF is variable. Not sure why you would buy at the top of the market. Cash looks much better at the moment. Or shares. I have a SMSF but steer clear of residential property Re: SMSF for Investment Property 6Feb 12, 2011 7:52 am free will shape tim the toolman I've heard of a mob in South Australia whom can get this done. Has anyone else heard of how you can use your SMSF to purchase an investment property rather than watching the Funds Manager cowboys throw it all at shares which seem to stagnate? I'm in Victoria so a local broker or Financial Planner would be ideal! thanks in advance. TtT Most people who owns a SMSF buys Ip.....it's the standard and that's really one of the point of the SMSF You really need 200k in your Super, before a SMSF is variable. Not sure why you would buy at the top of the market. Cash looks much better at the moment. Or shares. I have a SMSF but steer clear of residential property he poster didn't mention where they were going to buy so how do you know it's the top of the market? They only said where they live. and BTW there are bargainbs to be found in any market. You just need to know where and how to look. Can't see the point of your post at all really. OP wants to know about buying property with SMSF. Re: SMSF for Investment Property 7Feb 12, 2011 8:25 am travelbug he poster didn't mention where they were going to buy so how do you know it's the top of the market? They only said where they live. and BTW there are bargainbs to be found in any market. You just need to know where and how to look. Can't see the point of your post at all really. OP wants to know about buying property with SMSF. People also want to know about buying avocado coloured bathrooms. And some sensible people suggest that perhaps it is not a good idea. It's a forum for discussing ideas....... Were not many bargains in the share market in 2007 and there are not many bargains in Australiain property which is the most expensive in the world from recent research. The estate Covenants (design requirements) must be included in the land contract. If you purchased a resale block then the vender is required to provide/include a copy… 2 9165 You might be able to apply to divert the sewer at your expense. 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