7 Reasons why a SMSF is a great way to purchase investment property:
1. You can reduce your tax and potentially improve your net asset position by over $1,000,000 in a 15-20 year period.*
2. Rental income from your investment property is taxed significantly lower when it is paid directly into a SMSF.
3. In retirement after age 60, income derived from assets held within your SMSF is 100% TAX FREE.
4. It is possible to leverage your home equity and self-finance the property purchase at commercial interest rates, significantly reducing your home loan repayment time.*
5. Certain tax benefits of this strategy can allow you to completely pay off your investment property in one investment cycle of 7-10 years.*
6. The entire setup cost including legal costs can be funded through your SMSF.*
7. Capital Gains Tax (CGT) is NIL after age 60 and in retirement on the profit you realise through the appreciation of your real estate assets in a SMSF.
*This information is based upon a specific case study and current market conditions and does not take account of your objectives, financial situation or needs. No part of this information should be construed as a solicitation to make any financial investment. It is provided for information purposes only. We recommend you obtain financial, legal and taxation advice before making any financial investment decision.