Self Managed Super Fund and Investment Property Loans Boom Specialised Investment Property Loans & Self Managed Super Fund Loans (SMSF’S)

Self Managed Super Fund and Investment Property Loans Boom Specialised Investment Property Loans & Self Managed Super Fund Loans (SMSF’S)

Melbourne, Sydney, Perth , Adelaide, Brisbane, Australia (PRWEB) November 24, 2011

Investment Property Loans

There are a range of investment property loans and loan features available – ranging from simple home loans to more complex loans that allow you to structure your repayments.

There are many types of investment properties and many more investment property loan options on offer, as well as gearing options to suit different investment strategies.

There’s a lot to know about investments, such as how to choose the best investment loan that meets your needs and goals. A good investment loan can make property investment a much smoother process.

Investment loans vary depending on what you are looking to achieve, and can be either very simple (like your standard home loan), or something more complex that helps you make effective use of tax, gearing and repayments. You can also make good use of loan features such as redraw, offset and additional repayments to help manage your investment loan.

It is important that you use this position to secure the right loan for your finance needs at the most competitive offer.

Investing in property is one of the most popular ways to create wealth and it’s important to plan ahead to ensure you make the most of your assets.

Self Managed Super Fund Loans

You may be able to borrow money to purchase property using a Self-Managed Superannuation Fund loan (SMSF). Any property purchased using a SMSF loan works in the same way as any other investment property loan.

With a SMSF loan you can:

    Plan your retirement on your own terms
    Choose an asset class that suits your lifestyle and investment objectives
    Gear into property by borrowing within a Self Managed Super Fund
SMSF loan can be used to purchase property including residential and commercial, or even a holiday home as a property leveraged investment. However, a key characteristic of SMSF loans is that they can only be used to purchase property from a member or related entity for business purposes – any residential property must be purchased from an unrelated party or arm’s length vendor.

Self Managed Super Boom

The facts about self managed superannuation

The amazing growth we are seeing in Self-Managed Superannuation Funds (SMSFs) in Australia is unlikely to falter any time soon according to the latest figures released by the Government.

As at 30 June 2010, statistics issued by the Government indicate that there are now over 425,300 SMSFs operating with 810,450 members and an average fund balance of $ 835,580.

Although the establishment rate of new funds in 2010-2011 is unlikely to match that of 2006-2007, where almost 45,000 new SMSFs were established as a result of the revamp of the super regime, in the five years to 30 June 2010, the SMSF sector grew by an annualised rate of 16.9%.

The SMSF sector now holds the largest proportion of superannuation assets – approximately $ 420 billion of a market now worth over $ 1.23 trillion. According to the Australian Prudential Regulation Authority (APRA), this gives it a bigger market share than retail, industry, public sector and corporate funds.

Why are we seeing such large growth in the SMSF sector?

This phenomenal growth is being driven by one of the most severe stock market declines in history and is synonymous with economic downturns.

Whenever share markets take a severe beating and most of the big super funds report record losses resulting in negative returns for investors, people conclude, rightly or wrongly, that they can do a better job themselves with their own DIY super fund.

Bear markets always result in a sharp increase in the number of new SMSFs being set up because most people become disillusioned with the “buy and hold” policy of most large super funds and are attracted to the flexibility and control that a SMSF can offer them.

Expectations are that the SMSF sector’s share of super assets will continue to expand rapidly because people are becoming increasingly disturbed by the negative returns some super funds, particularly retail funds, are reporting.

More and more people are now taking a strong interest in their superannuation for the first time and are deciding to actively manage their own retirement savings rather than leaving the responsibility to a financial adviser or fund manager.

An increasing number of people also want to hold unlisted shares and real estate assets directly through their SMSF, something that cannot be done through large super funds. And with the sharp falls in share and property values, now is an opportune time to transfer such assets from their own names or their businesses’ names into the concessionally taxed environment that a SMSF has to offer.

The great advantages of self managed super

The appropriate set-up and good management of a SMSF can lead to many advantages. Some of these benefits are:

Control over the assets of a super fund

Unlike public offer or retail super fund membership, SMSF trustees enjoy complete control over the assets inside their super fund. Subject to certain legislative restrictions and the fund’s trust deed, SMSF trustees are able to make their own investment decisions and include a diverse range of investments in their super fund ranging from direct property to shares and managed funds. SMSF trustees can also bring their own management style to the administration of their SMSF.

Cost effectiveness

SMSFs can be extremely cost effective when compared to public offer superanuation funds. As a general rule, SMSFs with superannuation balances above $ 200,000 are more cost effective to run than alternative super fund providers because costs are limited to actual running costs rather than a percentage of funds under management.

Flexibility

One of the great advantages of operating a SMSF is that the SMSF trustees can change the balance of investments in their investment portfolio in a timely and effective manner based on economic or market conditions. SMSFs allow trustees to be proactive rather than reactive with their investment decisions and the management of their investment portfolio. Rather than wait for an appointed fund manager to make changes to the composition of a superannuation fund’s investment portfolio, SMSF trustees can act quickly and decisively to conditions and time their investment choices.

Tax effectiveness

Superannuation remains one of the most tax effective investment and wealth creation vehicles for individuals in Australia today. This is because income and capital returns inside a complying superannuation fund are taxed at no more than 15%, with the possibilty of reducing this even further by utilising franking credits from investments in listed Australian shares that pay franked dividends. Property trusts can also provide deferred income advantages through depreciation write-off costs.

One of the great benefits of having a SMSF is that once the SMSF converts from the accumulation phase of building up superannuation assets to the pension phase of utilising superannuation benefits, any income generating assets that support the payment of the pension become income tax exempt. This means that the unrealised capital gains of these assets are no longer subject to capital gains tax after the trustees of the fund declare that a member’s balance is in the pension phase. As such, when any assets that support the pension are sold down, the potential capital gains tax liability is effectively eliminated.

Asset protection

Assets held in superannuation funds are generally protected in the event a member becomes bankrupt. In relation to a SMSF, this means that the assets would be protected from the administrators and could not be liquidated to meet the settlement of debts to creditors.

Estate planning

SMSF death benefits do not ordinarily form part of a member’s deceased estate upon their death. However, a member can nominate who will be entitled to receive their superannuation death benefits upon their death through the use of binding death nominations. Binding death nominations allow for the payment of superannation death benefits in accordance with the deceased member’s wishes and does not allow the trustee of the super fund any discretion as to who should receive the deceased member’s death benefit payments.

Portability

SMSFs are portable and can continue indefinitely for future generations.

SMSF’s Lending Is an extremly Complex Funding Scenario . We can set up Your Smsf, and Bear Trust within Days and Settle within 30 Days. When you purchase property We Provide a complete Turnkey Proposition From Start to Finish

We Are The Specialists in Investment Property Lending and Self managed Super Fund Lending .(Smsf’s.) for Property With.Strategic Alliances With Financial Planners Australia Wide

It is Critical you get the Best Loan and Best Advice to maximise your returns on your investment

We will Potentially save you 100,000’s of thousands of dollars over the life of your Investment.

We Have consultants In Every State In Australia .

Our Group Currently Settles 1 in 3 Home/Investment Loans In Australia.

You Can purchase property In An Smsf Structure with As little as $ 100,000 In your Super

I consult to Mums and Dads to Ceo’s Of 100 Mill Publicly listed companies

We have Advanced Solution Based Strategies for our clients Unlike 95% of Accountants, Mortgage Brokers , Real estate Agents and Financial planners Who Focus on transactions Only

For the Best Service , Best Advice and Attention to Detail ,pls call Myself On 0433 357 888

For a Free Personalized Analysis Australia Wide.

Best Regards

Bill Trikos – Principal

Strategic Property & Financial Solutions

Mortgage Australia Group.

http://www.mortgageaustralia.com.au/brokers/vic-melbourne-outer-east.php

# # #

©Copyright 1997-

, Vocus PRW Holdings, LLC.
Vocus, PRWeb, and Publicity Wire are trademarks or registered trademarks of Vocus, Inc. or Vocus PRW Holdings, LLC.