Self Managed Super Fund Finance - North Shore Mortgages

The Super Fund Home Loan (SFHL) is designed to provide loans to authorised Australian Self-Managed Super Funds ("SMSF") for the purpose of purchasing residential investment property.

The borrowing structure involves a loan to a SMSF Trustee with a Security Custodian purchasing the residential investment property on behalf of the Super Fund. This Security Custodian, which must be a limited liability company, then holds the property as an asset in trust for the Super Fund, which has the beneficial right (but not the obligation) to acquire the underlying asset at a future date.

The loan is secured against the investment property and while the loan is ideally self-servicing from the rental income derived from the property, servicing may also come from any other income received or assets held by the SMSF Trustee.

The loan is limited in recourse, with the Bank’s right against the SMSF Trustee limited to the Bank’s right as mortgagee in relation to the property. There is no recourse to any other assets of the SMSF or to either the SMSF Trustee or Security Custodian.

Have a question regarding Self Managed Super Fund Finance? Chances are, you will find the answer here.

The benefits include:

· Diversification of possible investment strategy to include direct property acquisition

· Flexible repayment options supporting continued investment diversification

· Potential to accelerate wealth accumulation

· Potential for improved returns

· Gearing & Capital Gains Tax benefits may be realised (independent financial advice

must be sought)

For more information, contact us.