Add CategoryHow can SMSF investors get the best return through property?
Anthony Wamsteker, Director, SMSF Property Australia:
But there is another type of property investment where you do the property development so you manufacture the end product, if you like, by buying the land, contracting with the builder to build on that land then create the product and then sell the product at the end for the profit. So that's typical property development.
But what we've done is we've put that property development inside a managed investment scheme so its accessible to retail investors and most importantly we've done it in a way that there is no debt in the model and so probably one of the big risk in property development has always been the amount of debt involved for the first time we're able to offer property developments) with no debt at all so there's no risk of bank foreclosing if there’s any difficulties as we go through the development process.
How can investors make sure they are in compliance?
So what we've done is we've established structure which is regulated by ASIC, the Australian Securities and Investment Commission. And through that structure people are able to make an investment that is fully compliant under superannuation law.
Find out how much you can borrow using our SMSF calculator.