Property still a significant draw card for SMSFs, new research shows
New research has shown that with many Australians still bullish on the property market, the ability to invest in property with their superannuation is still a major attraction of SMSFs, according to a new research report.
A new research report has shown that one in two Aussies thinks property is the most secure and profitable long-term investment, compared with shares, gold, cash and fixed interest.
Out of the 1,006 respondents, 41 per cent stated they would invest in property with their superannuation if they met the criteria.
The same proportion said they would consider investing in direct property within an SMSF, with 33 per cent stating they would consider establishing one in the future, while 8 per cent said they already had one.
Respondents who had not already set up an SMSF were also asked why they had not done so.
Among those who do not already have one, 28 per cent said they lack funds in their existing super. A further 19 per cent of respondents admitted they lack good advice to get them started, 18 per cent said they are not focused on their retirement yet, and 18 per cent said they did not have the time or energy to set it up.
Financial adviser Helen Baker said the survey findings indicate that Australians are still confident in investing in our property market, despite the swaying effects of the pandemic.
“Our property market has shown resilience over the past six months, with house prices not falling nearly as low as experts had predicted at the start of the shutdowns,” Ms Baker said.
“This high level of confidence is also echoed in the fact that many would invest in property within an SMSF to fund their retirement. However, not many people know how to establish an SMSF.”
Ms Baker said while setting up an SMSF can be complicated and time-consuming, it can reap substantial benefits in the long term where appropriate.
Miranda Brownlee
Miranda Brownlee is the deputy editor of SMSF Adviser, which is the leading source of news, strategy and educational content for professionals working in the SMSF sector.
Since joining the team in 2014, Miranda has been responsible for breaking some of the biggest superannuation stories in Australia, and has reported extensively on technical strategy and legislative updates.
Miranda also has broad business and financial services reporting experience, having written for titles including Investor Daily, ifa and Accountants Daily.
