Super Property Solutions

[raskolnikov]

I'm being courted by this group at the moment.

https://superpropertysolutions.com.au/

Their idea is to buy an investment property using your super. Hopefully this then increases in value over the years. So, for example, if you bought a property for $400k hopefully by the time you retire it's worth $800k. Has anyone done this or looked into it? I can see pros and cons about the idea but just trying to evaluate the risks.

 

[BIRDBRAIN]

Wouldn't touch it with a 10 foot pole. What's wrong with leaving your super invested in shares? That stuff goes up too. This will be a rort where they take tens of thousands of fees out of your super to set all this up.

 

[Gigantic]

I haven't looked into it but let me guess, they get you to set up a SMSF?

SMSF are not cheap to run, and if you're talking about a $400,000 property, you're probably better off keeping your money in your super.

 

[raskolnikov]

Wouldn't touch it with a 10 foot pole. What's wrong with leaving your super invested in shares? That stuff goes up too. This will be a rort where they take tens of thousands of fees out of your super to set all this up.

The guy that was talking to me said that if there was a global crash like a few years ago super invested in shares would take a massive hit, whereas property is less likely to suffer a loss.

 

[raskolnikov]

I haven't looked into it but let me guess, they get you to set up a SMSF?

Yep.

I've decided I'm not interested. Just too many variables, risks and costs associated with it. And I'm not one who likes to take risks financially like that.

 

[Gigantic]

The guy that was talking to me said that if there was a global crash like a few years ago super invested in shares would take a massive hit, whereas property is less likely to suffer a loss.

That's not necessarily true. In the US, median house prices fell 30 - 40% following the GFC. And that's despite over $1 trillion of financial support in the form of rescue packages and loans.

Are we likely to see a GFC-type crash in Australia? Probably not, but there's nothing fundamentally that prevents house prices from taking a massive hit just like shares.

Yep.

I've decided I'm not interested. Just too many variables, risks and costs associated with it. And I'm not one who likes to take risks financially like that.

Yeah, for most people, SMSF just aren't worth the trouble unless you know what you're doing and are very diligent with it. It's definitely not a set-and-forget strategy.

 

[BIRDBRAIN]

The guy that was talking to me said that if there was a global crash like a few years ago super invested in shares would take a massive hit, whereas property is less likely to suffer a loss.

Wow what a genius he is. You should listen to him.