Advisers ‘don’t know enough’ on SMSF property
Financial advisers and accountants leave decision-making to clients when it comes to buying property inside SMSFs as they “don’t know enough” to assist them, according to a property investment consultancy.
The Successful Investor managing director Michael Sloan issued a statement yesterday saying clients aren’t getting the advice they need from professional advisers when discussing investment properties.
“Buying property inside your SMSF is clearly the flavour of the month, and the growth in this sector has been rapid. But it seems that many clients aren’t getting the advice they need in this area,” said Mr Sloan.
“A financial adviser has a lot to say when a client decides to purchase a particular parcel of shares for $400,000 in their super, but they are remarkably silent when the same amount is being spent on an investment property,” he added.
Mr Sloan explained most financial advisers and accountants “don’t know enough” about investing in property to assist their clients.
“They leave the entire decision to the client, and many clients are getting it wrong,” said Mr Sloan.
Analysis from the SMSF Professionals’ Association of Australia and Australian Tax Office has found investment in residential property rising 17.72 per cent to $20.5 billion in the 12 months to 31 March 2014.