Superannuation money is already locked away anyhow.  Might as well put it to awesome good use.  Further, when you salary sacrifice income into super, you simulataneously reduce your taxable income, which in turn saves you tax.

Agree with Jamie.  Have your cake and eat it too.  Done correctly, an investment property can be funded with little or no money down.

Hi again Kane

The order in which to do things will come down to serviceability which is best commented on by one of the brokers.

I'm wondering what's happening with your block of land in WA which is accruing mortgage interest but is not earning rent because there is no dwelling on it. I thing this is something to ponder.

As to the new versus…[Read more]

Hi again Joe

It is always a very nice thing to keep a substantial cash buffer in an offset account.  This helps you save on mortgage interest but is also a supply of readily-available cash in the event of scenarios such as periods of unemployment.

This can be achieved by going for a higher LVR, thereby keeping funds in your control rather than…[Read more]

ps have you considered using your superannuation to purchase investment property?

Hi Kane

I am wondering what industry sector you work in, and as such whether it is likely that you'll have to up and move from Newcastle after a short period of time.  A lot of money is lost in the buying and selling process (Stamp Duty, Agent fees etc) so if there is the possibility that Newcastle is a short-term thing I would weigh this up…[Read more]

Hi Tom, further to what Jamie said, keep in mind that if you will be opting to do broking part-time in addition to your current job for a while, you'll need to be aware you'll be using all your spare evenings and weekends either at your desk writing loans, or out visiting clients.  It would be a good idea to be very honest with yourself about how…[Read more]

My vote would be for neither.  It's nice to avoid strata fees where possible and instead go with a clear title property elsewhere.  Naturally depending on the pricepoint you're shopping in, it may be unavoidable.

Hi SirDangerMouse

First and foremost is important to be aware that it is not necessarily guaranteed that you'd be able to get finance for a demolish and rebuild venture.  It is important to look into this from the perspective of whether you would qualify for such a loan from a serviceability perspective, and whether a lender would happily finance…[Read more]

Lenders offering SMSF loans dictate a minimum yield on properties.  As such this is one of the essential parameters you will need to work within.  Another such parameter is that your SMSF needs to have some reserve cash "just in case".  

Sorry forgot to answer your question.  Richard Taylor (https://www.propertyinvesting.com/user/qlds007)  is a Financial Advisor and specializes in SMSF setups nationwide.

Hi floody

The most powerful part of purchasing property in super is the leverage (ie the ability to borrow money from the bank… which tenants will pay off).  No, it's not smart to pour all your funds into one property.  Better to split the pile of cash into 2.  Or purchase 1 now and another in a year when your fund has a wee bit more cash by…[Read more]

Taking a step back, is there a reason why you're thinking of going down the trust route?  Or is it that you've heard about trusts and are trying to figure out if using them is appropriate for you?

Hi Elegy

Welcome!  Hope you find us helpful here on the forums.

I'm just going to suggest that you be sure in your own mind that you feel comfortable with a provider before you have them help you with your investing.  Don't just follow opinions of the others.  Understand the reasons why you believe the provider is best positioned to help…[Read more]

You can listen to what has someone has to say and learn bits n pieces from it.  You can be matter of fact in your evaluation of whether or not that person's information is useful to you or not (and why) without needing to be paranoid.  It is a good thing to expose yourself to lots of people in your chosen field because the more you listen to, the…[Read more]

Hi Rick

As opposed to saving for the next 12-18mths for a deposit, have you considered purchasing a property that pays for itself on 100% finance?  That would then enable you to direct your surplus salary income into your home loan.  Best of both worlds.

Hi Chris

Sure happy to elaborate.

The first thing to say about "trading properties" is that a fair whack of money is lost in doing so.  You pay stamp duty to get in, you pay selling agent fees and capital gains tax to get out, which erodes a fair whack if not all your profit, and them you have to stump up stamp duty to get in again.

Did you…[Read more]

Essentially yes, though you would then need additional money to pay for stamp duty, building and pest inspection, solicitor/conveyancing and bank fees.

Would be good to understand what your objectives are though.  It might be that you are focussing your eyes on the wrong kind of property for reaching your goals.

Hi Kallan

You have said the magic words…. money in super.  Would it be rude to ask if you know how much is in there?  This will help us see how many properties you could buy straight up front with the funds already in your super.

Hi Spongy, may I ask if you know what it is that is frightening you?  It might help to define that first.  eg Frightened of adding more debt to the portfolio, frightened portfolio will be negatively geared, frightened of choosing the wrong property etc etc.