Our Backyard – Anglesea

Great news again for new home buyers with the option for people to save for a deposit using their superannuation fund. This was introduced from July 1 this year, however there has been talk of making further changes again making it more appealing.

The idea is for buyers to put savings into their super fund via their payroll, so salary sacrifice which will minimize overall tax. Currently it’s been up to $30K in total, however as we all know $30K is not enough for a house deposit, so there is a potential increase this amount up to $60K. Once the savings reach that maximum amount buyers can then withdraw that money to use for a home deposit.

Definitely worthwhile keeping watch on the ‘home super savings scheme’ to see if these changes are implemented. For investors being able to use funds from their self-managed super funds to purchase property also very enticing. The main guidelines around this is have approx 20% deposit for the property & only some banks offer it, so worthwhile using a mortgage broker to find the ones that do. Of course the property can only be used for tenants not personally and there are guidelines around the type of housing. As changes and alterations can’t be made to the property, it really works best for a new home or home in great condition.

I’ve always thought it would be great for a couple of friends to purchase property using their super funds and then rent to each other! The guidelines don’t allow for renting to family members from my understanding.

So if you are a first home buyer and thinking you’ll never be able to get into the market, perhaps 2018 will deliver some options you hadn’t previously factored into the mix. Sometimes it’s worth thinking outside the box! Chat to your accountant and see if there are options you hadn’t considered. Maybe the New Year will have a silver lining for you.

Have a great weekend. Look forward to seeing you at the opens & private appointments.

 

Regards

 

 

 

 

 

Kellie Saddington

Branch Manager

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