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SMSF Investment Property
Topic: SMSF Investment Property
Posted: 16/February/2017 at 10:47
Good morning all. I will start this off stating I still need to sit down with a SMSF/Financial planner.
Just roughly speaking with sums of money - If I purchase a $250,000 holiday let, and I borrow $130,000 from the bank.
Being a seasonal holiday let would be busy in summer and quiet in winter.
Yearly repayments on the loan $20,000
Holiday let year revenue $15,000
Can I contribute the $5,000 gap from my super from my fulltime job?
Is that satisfactory for the auditors/ato or does the holiday let's revenue have to be higher than the total cost of the repayments/upkeep.
|Quote Reply Posted: 20/February/2017 at 12:52|
Yes you do need professional advice as buying a property with an SMSF is more complex than general property purchase, and as I understand it banks are less keen to lend money to an SMSF.
Do you already have an SMSF or are you looking to start one?
It is not clear why you need another $5000. If you are still working and not retired then no it doesn't sound as though you could access your super from a super fund that is not an SMSF unless you can roll the money over to an SMSF and use it that way.
You should be aware, if you are not already, that you and your family will not be permitted to stay in the place if it is purchased by the super fund.
I cannot answer the last question which sounds like it is an issue for the bank.
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