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NRAS property example

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When you purchase an NRAS approved dwelling anywhere in Australia it is exactly the same as buying any other investment property. You own it, you have title and you may choose opt out of the NRAS scheme at anytime.

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For example if you purchase a property for $400,000 with a current market rent of $400.00 per week. Your tenant will have their rent of $400 per week reduced to $320 per week. (i.e. 20%)

However are now receiving from the government $183.00 per week. This will bring your total income up to over $503 per week on a $400,000 property purchase.

All the normal risks and benefits associated with acquiring a traditional investment property still apply however with an NRAS Property you get the benefit of a cash bonus from the government.


How to purchase a NRAS property

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Before purchasing a NRAS property it is important that you completely understand the NRAS Process.

Even though the property has been NRAS approved by the government it doesn't become an actual NRAS property until the tenant moves in. Most of these properties available under NRAS are off the plan and are yet to be built.

At all time your are in control of the process and you own the property. Because you own the property you can sell it at with or without the NRAS attached to it and you can choose to opt out of the NRAS Scheme at any time.

When you meet with our consultants we talk you through the process and make sure you fully understand your options. The only thing you have to decide on is which property you wish to buy.

If you need assistance with finance we can also assess your eligibility and recommend the most suitable loan products for your situation.

Once you have decided on a property a $1000 refundable holding deposit is then transferred into the vendor solicitor's trust account

Contracts are drawn by vendor's solicitor then sent to you. Contracts have a 21 day finance clause. Settlement usually occurs 14 days after unconditional on finance.


Dos and don'ts of buying property in SMSF

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Sound financial advice is essential when buying property through your Self Managed Super Fund (SMSF) to ensure decisions made are compliant and reflect your investment strategy. There are several Do's and Don'ts when buying property in a SMSF

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SMSF Do's

????????? Ensure your SMSF is set up correctly

????????? Make sure your SMSF fits withing your overall investment strategy

????????? Get advice about gearing before committing yourself

????????? Consider holding your business's commercial property in SMSF

SMSF Donts

????????? Dont wait until June 30 to do something

????????? Dont ignore compliance and administration obligations

????????? Dont let your trust deed go out of date

????????? Dont be concerned if you have no expertise - ask an expert