invest in property with your Super and borrow.
Self Managed super (SMSF)is now perfect for gearing up direct property. Self Managed super has now become the asset ownership structure of choice in most circumstances. This is the single biggest reason to choose a self managed super fund over a public offer or corporate super fund for members on high salaries and above average balances.
The new legislation changes that came into play last year(2007) are embodied in section 67(4A) of the Superannuation supervision Act 1993(SISA) which enable a self managed super fund to borrow to fund the acquisition of an asset on the following conditions.
Recourse of the lender against the SMSF is only limited to the asset itself not other assets of the super fund in the event of a default.
The asset that is being funded could be legally purchased by the fund if it had the available cash.
The asset is held on trust for the SMSF.
The SMSF acquires a beneficial interest in the asset from the outset.
The SMSF has the right to acquire legal title on making one or more instalment payments.
This is how it works.
1. Set up a Self Managed Super fund (SMSF)through selfmanagedsuper.com.au
2. Set up a trust structure to allow your super fund to invest into the property or other asset that is appropriate
3. Roll over your existing superannuation accounts into the SMSF bank account.
4.Secure lending through the lender for the purchase.
5. Sit back and relax.
selfmanagedsuper.com.au will set up your fund for free and administer your fund for $550 per member per year.
For our free PDF booklet email us info@selfmanagedsuper.com.au