smsf initial setup .. , page-26

  1. 3,890 Posts.
    Mate - get advice if you're going to have almost 100% of your smsf in direct, leveraged, residential property.

    Things to consider:
    -cash-flow for loan servicing, including long periods of no tenancy (how will you fund your loan obligations? -be aware of caps)
    - can you improve/develop the property?
    - what happens if there is a forced sale?
    - ownership structure (this may not be as straight forward as you think) - direct property is a lumpy asset. How will you: a) realize value in future b) transfer between accumulation and pension AND draw down it's value?
    - is it better to own property inside or outside super (not as straight forward as you may think)
    - what happens if super rules change in future?

    I'm not stating your strategy is right or wrong but there are many many more complexities when super is involved.
 
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