More and more people are taking control of their Superannuation and using it to buy investment properties. How? By starting up a Self-Managed Superannuation Fund (SMSF), you may be able to use your super to leverage into a property that could triple your asset base. The average Australian needs $1 million dollars, and a couple needs $1.8 million to be self-funded retirees and live a comfortable lifestyle. It is extremely difficult to get that in an Industry Superfund ... but by using our strategies below, you could triple your asset base and work your way into 6 - 10 properties over a 10-year period.
Did you also know that less than 0.60% of Australians own 3 or more investment properties, and less than 0.10% own 6 or more? Let us show you how you can become a savvy Investor, buying a property every 12 - 18 months over a period of 10 years, again, just by following our strategies below.
4 FUNDAMENTAL PRINCIPLES OF PROPERTY INVESTING
or never sell
Buy for 10 years plus,
or never sell and have no
Capital Gains Tax to pay
Yields should cover the
should cover the holding costs
(loan repayments, rates, insurances & management fees)
Capital growth should exceed the cash rate
The percentage the property is growing in capital, should be higher than the rate at which we borrow (i.e. the interest rate)
Vacancy rates should not exceed CPI (Consumer Price Index)
If we are borrowing money from an external source (i.e. a bank), then we have to have another source to pay it off (i.e. a tenant).
This is what creates the balance, the Yin and Yang of investment.